[PLUG-TALK] Paypal verification process, is it safe?

Michael C. Robinson michael at goose.robinson-west.com
Tue Dec 16 20:26:42 UTC 2003


> You will find details on this in their service agreement.  Did you bother
> to read that?

I looked, but you don't trust what someone says about their own company
blindly.  They claim that your account number and routing number are
given out every time you write a check.  Doing google searches and
reading slashdot threads, I've found that giving out a bank account
number is strongly discouraged along with leaving funds in paypal.  
My understanding is, so long as you don't give out a pin and noone 
has your pin or soc number to use to get into your account, having 
your account number does them no good.  Walking into a Washington 
Mutual bank to withdraw money, it usually takes photo id. I don't 
know what they do for online transactions.

On the other hand, somewhere I read that the abiword fund 
hosted on paypal was robbed.  If accessing an account registered
with paypal requires having a pin or soc number, and a paypal 
login password, maybe I'm safe.  I never want to transfer money
from my bank account to paypal anyways.  Credit card companies 
can reverse or cancel charges in fraud cases.  If you pay in 
e-check, debit, or cash, how can you get your money back?

Paypal claims to treat confidential information properly, but how
do I know they will?  Another thing, what is minimally needed
for an e-check?  If my bank account is robbed through paypal, 
what does the thief have?  Is this a case where I tell the bank,
"don't ever make a payment to paypal with me coming in and
consenting to it in person?"

Some people on slashdot have said that paypal tried to dip into
checking or savings accounts they registered with the system
without asking.  Wamu did have a disturbing policy that it 
could pay without permission any claim against an account 
holder.  Maybe these claims only include legal ones.  Are 
banks liable for fraudulent online transactions from checking
or savings accounts?  If it happens, what do you prove it 
with?  Maybe this is a case where I should have a seperate
account at a seperate bank eventually and just keep the minimum
amount in WaMU.  With their $300 minimum balance though, you
could potentially lose a lot of money.

-- 
-----------------------------
Michael C. Robinson

Associates of General Studies 
PCC March 2003.

Views held by me do not 
necessarily coincide with 
every view posted on a 
mailing list this message 
appears on.
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