S3D Re: paypal?

[Dennis Mahoney <snappy57@xxxxxxxxxxxxxx>]

At 12:33 PM 3/2/00 -0700, you wrote:
>The latest trend in internet auctions is paypal, a free
>service that allows the buyer to charge items in his credit
>card.  Details are here:
>
>www.paypal.com
>
>I asked, how can this service be free, considering that
>a credit card company charges 3% for each transaction?
>I was told that they will make the difference through
>interest accumulating in open accounts.
>
>This does not add up.  My suspicion is that the charge
>will appear as a "cash advance" instead of a regular
>credit card charge.  This means that the credit card
>holder will be charged (by his credit card company)
>a fee, plus interest will start right away.  Even if this
>is the case, it still might be an attractive service for
>some buyers (not myself.)
>
>Has anyone here seen charges from paypal and can
>verify or deny my suspicion?  It is possible that initial
>charges appear as credit card charges to lure people
>into using this service and then they will switch to
>cash advance charges.
>
>George Themelis
>
>
>
>
I used PayPal once with a Visa/debit card, so none of the above would
apply. What I did find, however is that there is a charge for transactions
under a certain amount.  I my case this exceeded the 10.00 credit to my
account for signing up. 

Also you are credited 10.00 each time you bring in a new member.  
My second transaction never went through. The rep from Paypal said the
problem was on the payee's end, and the payee said it was on Paypal's end.
Needless to say I didn't get my $10.00 credit. 

In short, it worked fine for me once, even though it did cost me -  the
second time it bombed. I've avoided it ever since.

Any other feedback?
Dennis Mahoney