Pay Pal Credit

[morgacj2004]

I have a $750 line of credit thru Pay Pal that never has reported on any of my bureaus. Is this standard practice and if so why does Pay Pal not report.

Mods I apologize ahead of time if this is in the wrong area.

[Anonymous]

Yes that's normal and most people consider it a benefit that they don't. As for why.  Who knows but it's entirely up to any creditor whether to report or not.  There are others that don't as well.

[SunriseEarth]

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@morgacj2004 wrote:

I have a $750 line of credit thru Pay Pal that never has reported on any of my bureaus. Is this standard practice and if so why does Pay Pal not report.

Mods I apologize ahead of time if this is in the wrong area.

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PayPay Credit is what some refer to as a "hidden TL".   One benefit of this is that opening the account won't reduce your AAoA.  Another is that having high UTIL on this account will not negatively affect your UTIL.   I enjoy that feature.   I mainly use mine to pay my auto insurance.   I receive a discount for PIF, but then I can use the promotional financing to make payments.

[CreditCuriosity]

Also the main way you get a CLI with paypal credit is trying to go over your limit, thus it would be bad for this TL to report as well as that is how they "typically" perform CLI's and that could get alot in trouble being maxed for a short period of time.. I personally like the hidden TL.

[morgacj2004]

Was not aware of that. Have only used the acct a couple of times.

[Anonymous]

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@CreditCuriousity wrote:

Also the main way you get a CLI with paypal credit is trying to go over your limit, thus it would be bad for this TL to report as well as that is how they "typically" perform CLI's and that could get alot in trouble being maxed for a short period of time.. I personally like the hidden TL.

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Exactly! If this reported to the bureaus, then those times that I make a purchase over my limit (in hopes of a CLI) and then take advantage of the 6 months no interest no payments promo,, my credit score would drop significantly because it would show 100% util. (completely maxed out). The best thing about PayPal Credit is that it's a hidden tradeline!

[CreditCuriosity]

Ya if you have a CL of $1k you know you can charge that, but lets say you try to buy something for 1.6k it will either go through or it won't, if it goes through then 1.6k is your new CL.  rinse and repeat.. That is how you get 4-5k CL with paypal credit that are hidden.  @3k myself started out at 1k I believe 4 months ago approx?

[Anonymous]

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@CreditCuriousity wrote:

@Anonymous if you have a CL of $1k you know you can charge that, but lets say you try to buy something for 1.6k it will either go through or it won't, if it goes through then 1.6k is your new CL.  rinse and repeat.. That is how you get 4-5k CL with paypal credit that are hidden.  @3k myself started out at 1k I believe 4 months ago approx?

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Wow Comenity must love you. The first time I tried to go over my limit (I think it was right after I got approved though) it was denied. So I waited 6 months, tried again, and it worked. Then to top it off I noticed last night that they gave me an auto CLI of 1k... must of happened sometime in the last 2 months.

[Anonymous]

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@Anonymous wrote:

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@CreditCuriousity wrote:

@Anonymous if you have a CL of $1k you know you can charge that, but lets say you try to buy something for 1.6k it will either go through or it won't, if it goes through then 1.6k is your new CL.  rinse and repeat.. That is how you get 4-5k CL with paypal credit that are hidden.  @3k myself started out at 1k I believe 4 months ago approx?

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Wow Comenity must love you. The first time I tried to go over my limit (I think it was right after I got approved though) it was denied. So I waited 6 months, tried again, and it worked. Then to top it off I noticed last night that they gave me an auto CLI of 1k... must of happened sometime in the last 2 months.

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The $1K CLIs happened to a lot of us several days ago.  I think PayPal is trying to encourage more use of their product.

[CreditCuriosity]

I personally bumped up against it 3-4 times in the last 4 months and paid it off, thus my limit increases..