Paypal safe for lodging payment?
 

I've never used Paypal before, and would like to know if it's safe to give my credit card info to it to pay for my stay at a small B&B. Or is it better to call the B&B directly and give them my credit card info.

The thing is this B&B is very small, and there are no reviews of it in any guidebooks (only 3 online). Not sure how much I can trust it, but I've called them up and seemed ok.

If there's a problem, is it easier to deal with the credit card dispute via PayPal or directly with my credit card company?

Please advise.

Thanks.

That's a good question

Although giving your CC info to Paypal is pretty safe, if it were me, I'd deal direct with the B&B.

big question too, is whether they will be charging a deposit right away or only holding the info to guarantee the reservation.

I've used Pay Pal for years,mostly through Ebay, but I've noticed alot more companies and sites using it as well. Very safe and secure IMO. Pay Pal will also help you settle disputes,so you have the option of going through either if there is a problem.

By the way-throw the name of the B&B out there. It's very possible a fellow Fodorite may know it!

If the B&B requires you to use PayPal for credit cards, they likely cannot process the credit card themselves. That's why they are asking you to go through PayPal.

I've been using PayPal for over 3 years now to send and receive payments for Ebay items, and I have never had a problem. It is very secure, in fact, since only PayPal has your credit card number and not the merchant, it is more secure! PayPal also provides an avenue for you to revoke a payment if an item is not delivered/shipped, so it gives you an extra way to resolve a problem.

A word of caution if you use Paypal: There is a scam out there where they send Paypal users a message saying an unauthorized person tried to access your account. It looks very authentic and includes the Paypal logo. It asks you to click on the link to get to your account and log in to verify the account is correct. But, when you click on this (fake) link, you unknowingly give someone your account information so they can log into your account and make payments.

This happened to me, and that said, I must say Paypal was GREAT about helping me resolve the issue. Just know Paypal's policy is that when they contact you in an email, they will always use your first and last name, which the scammers are unable to do with generic account information. They also suggest that you do not use any links in a message if you suspect it to be a scam. I felt dumb falling for this, but Paypal told me it happens a lot and they are taking measures to improve security. However, because of this I prefer to pay directly when I can.

If they take credit cards directly, do it that way. If you read all the fine print in the Paypal agreement, you'll see they can very difficult to deal with, if there's a dispute. They are not bound by the same laws as the credit card issuers.

I'm guessing that small establishments who use Paypal do so because they do not have the capability to process credit card payments themselves.

I've used PayPal for years without incident.

PayPal is absolutely safe. It would seem that if you use PayPal you'll actually be protected in two ways.

You can always dispute the payment with PayPal - and you can always dispute the payment with your credit card company to PayPal.

As noted, the only thing to look out for is scammers who will try to get you to login to their site - pretending to be PayPal (this is called "phishing" - it's a term for these particular scams because the abusers are fishing for information about you).

Here's a phishing example if you want to keep your eye out for something similar:
http://www.snopes.com/inboxer/scams/paypal.asp

"You can always dispute the payment with PayPal - and you can always dispute the payment with your credit card company to PayPal."

Read your Paypal user agreement. You cannot dispute a payment with your CC company. You gave aweay that right when you signed up. If you do, Paypal will close your account.

I have used PayPal for years on the internet. It is now owned by mega giant, Ebay. I have never had a problem.

As ChristieP suggests, the B&B is small and is not set up for CC payments. The B&B actually has to pay a 2.9% fee for you to use PP. It is a convience for you, not the B&B.

I second Barry's warning regarding Paypal.. Their "buyer protection plan" is useless (i.e. doesn't apply) in cases of rentals or other service purchases.

Keep the transaction between you, your credit card company and the B&B if at all possible.

If the B&B takes a credit card - do it directly. If not - do it via Paypal only if they take CC payments. (Some sellers take Paypal only if linked directly with you bank accout - in which case you have lost the protection of your credit card.)

(Have had 2 disputes through sellers with Paypal and they fixed both with no problem - but if they hadn't I could have just refused the CC payment.)

If the B&B takes Paypal only through the bank account withdrawal I would find another place to stay.