[Update] Paypal Invoice Pay – Conveniently Pay Payments With Your Saved Playing cards

Replace 3/2/25: American Categorical sending out an e mail that they may not be a payee on Paypal Invoice Pay as of 4/1/25 (ht reader E.A.)

Replace 2/15/24: Tons of payees that individuals have been utilizing received eliminated yesterday from the Paypal Invoice Pay system.

Replace 2/9/23: A number of Reddit studies (1, 2) speak about a problem whereby Paypal modifications the cost methodology after the very fact to your financial institution. YMMV

Replace 1/16/23: lots of people are experiencing very delayed funds, myself included, so use this feature with warning.

Authentic Put up:

Typically there are issues staring us within the face that we simply don’t discover. I realized this week about Paypal Invoice Pay. (Perhaps everybody already is aware of about this?)

Paypal Invoice Pay permits paying utilities, insurance coverage, cellphone payments and extra straight out of your Paypal account with the entire common cost strategies allowed by Paypal. Distributors discovered within the Paypal Invoice Pay system will probably be paid by way of ACH financial institution cost.

Most insurance coverage firms and utilities possible enable direct bank card funds, so this invoice pay system won’t be helpful for most individuals since you’ll be able to pay with a bank card, regardless.

For years I’ve been paying a big month-to-month insurance coverage invoice with financial institution ACH cost since they don’t enable card funds. This week, I added the invoice to Paypal Invoice Pay and despatched a $1 cost with my saved bank card because the cost methodology. Two days later the cost is being mirrored on my insurance coverage firm steadiness.

It’s also possible to pay bank card and mortgage payments with Paypal Invoice Pay, however for these you’ll be able to solely use financial institution or Paypal steadiness because the cost methodology.

Potential makes use of of Paypal Invoice Pay:

• Payments corresponding to insurances or utilities sometimes gained’t settle for bank card funds. Or they might cost a payment for card cost or they gained’t settle for AmEx playing cards or Visa present playing cards. These is perhaps payable with Paypal Invoice Pay.
• Paypal is typically a bonus class on varied playing cards, and Paypal Invoice Pay is a pleasant means to make use of them.

Just a few notes:

1. Paypal doesn’t seem to permit splitting payments throughout a number of playing cards when utilizing their Invoice Pay service.
2. There’s a message on the cost display that your Paypal steadiness is at all times used first. Be sure you switch out any Paypal steadiness earlier than making a cost if you would like the cost to cost your card.
3. Random attention-grabbing tidbit FWIW: I see that the class of the invoice carries by to the cardboard issuer when utilizing Paypal Invoice Pay. My insurance coverage invoice cost is displaying “Service provider kind – Insurance coverage gross sales, underwriting and premiums.”
4. Be sure you double verify your cost methodology – there are a lot of studies of Paypal switching the cost methodology afterward, see this Reddit thread.

Hat tip thefrugaltourist