I have been charged a Cash Advance free for using PayPal to pay for an item on Aliexpress. They are treating it as a "Pay Anybody" transaction instead of a normal Credit Card payment. This means you will incur a cash advance fee and interest payments on your Credit Card if you buy something using PayPal as a payment method.
I spoke to my bank about this an they refunded me as a one off goodwill gesture but I will not be using PayPal again with Aliexpress.
*Myer
I've never come across this with Aliexpress and paypal.
Debit card though and not a CC though.
Of course Debit card wont have an issue if your Bank account is in Credit.
You heading is misleading though, it should read……
My sh*tty CC provider is charging cash advance on paypal payments….
Nah it's just you.
Also not telling us which bank/cc is not very helpful as they are all different.
ING Orange One.
Feel free to ignore it if you are happy paying cash advance frees, its all over the internet too, google it.
I just did 5 transactions with 28 degrees, no problems
I can see a fair few people are the same.
with my first recent purchase wit AE, i got slapped with a foreign currency transaction fee :(
Yep got one too.
did you pay in USD$ or AUD$?
What does it say in your statement? How do you know its being classified as cash advanced?
I recently paid with PayPal on my macquarie cc so I'm a little worried. Never used cash advanced.
If this is true, I wonder why they've set it up like this?
I don't see cash advance fee in my 28 Degrees account. The purchase details in Paypal show I bought a coffee grinder, the bank would have a hard time saying it's a cash advance.
agree…. doesnt make sense. its just paypal. doesnt matter ali or myers or kfc or ferrari, the bank see as purchase
28 Degrees is good. I have seen similar posts reporting what OP mentioned.
Is this a new problem? I wonder if it's a recent change to their system (either paypal or ae)
PayPal wasn't offered on aliexpress until recently.
Are you sure it was a cash advance fee and not a foreign currency fee?
Paypal is saying *alipaysinga AI that is why FX transaction fee.
Given such low home loan interest rates the banks are making money back some how.
Yep, I had this on my Bankwest platinum card (mentioned it in one of the older posts about PayPal now available on AliExpress)
They told me Alipay comes up as financial services so it's cash advance. Reversed the fee but won't be using PayPal again on AliExpress unless there's a card I have that doesn't trigger that
Are cash advanced fees charged immediately?
Some banks will charge it immediately, others will when your bill is due.
I am pretty sure it has nothing to do with the bank, all banks will have this charge if you are using a credit card, some may just be delayed until monthly bill is due.
https://www.reddit.com/r/Aliexpress/comments/jko8b8/everyone…
https://www.reddit.com/r/PersonalFinanceCanada/comments/jmyw…
https://www.paypal-community.com/t5/Payments/AliExpress-Purc…
https://www.paypal-community.com/t5/Disputes-and-Limitations…
https://www.paypal-community.com/t5/My-Money/Charged-5-00-as…
It is how Aliexpress is calling the PayPal payment API, nothing to do with your CC/Bank. Obviously there will be no charge if you used a Debit card.
showed up out of bill cycle so assume it was immediate
back to regular old CC via aliexpress rather than paypal
I spoke to Bankwest about the same issue and the guy said he was 100% sure the bank wasn't classifying it as a financial service and that it was all paypal's fault.
No idea if its true but its a very annoying situation.
I just used my Zero Platinum on AliExpress with PayPal then and haven’t had it show a cash advanced fee yet. Did yours show up right away?
Will see if it shows up over the next couple of days, seems they may have fixed it (either on BW’s or PayPal’s end)?
I can't remember unfortunately.
@Nousernamehere: Spoke too soon, it finally settled on my card today and this is when the cash advanced fee showed up.
So yeah, basically avoid PayPal if you’re using AliExpress. Pretty ridiculous this is even happening.
I've just had this happen with 2 transactions. Rang the bank and they confirmed what the OP has posted. Rang Paypal and they said it was charged as normal and will look into it.
I was using a Bankwest Platinum CC.
I've got charged a cash advance fee too. Was using paypal with Bankwest Platinum.
Same i have multiple Cash advance fee of $4 for Bankwest Platinum Zero.
Worst part i bought items less than the cash advance fee.
Spoke to bank and the will waive 2 of the $4 charges. Will have 2 more once the transaction completes.
The cash advance fees are instant after the charges switches from authorisation only to posted
Wont be using paypal for AE
Thanks for the warning.
purchased just over a week ago no cash advance fee on my ANZ visa
Note if there ever is I will lodge complaints to the bank,paypal and the banking ombudsman as this is clearly a merchant service not a cash advance service, so it's up to them to correct the billing and not charge for a service they are not supplying or they should have to notify you before the transaction clears that it is a cash advance not a purchase
bank,paypal and the banking ombudsman
You're buying someone from aliexpress, being billed by alipay finance via paypal (they just bill the outgoing in line with the incoming request)
Not sure a banking ombudsman is going to help you for a chinese based company and finance company :/
Same here with my ING CC. Even the international transaction fee is not waived off as usual. I moved away from paypal when it comes to Ali Express
Wow so dodgy. So I've been buying things off Aliexpress for years and up till a few weeks ago used my credit card as they did not have Paypal. I was hence happy when they brought it in. I've since used Paypal (linked to my credit card) a few times and looking at my credit card statement I now have cash advance fees and associated interest. I just got off the phone with BankWest and they said the fee was due to Aliexpress and their Paypal setup. Note I've never had cash advances via Paypal. Bankwest was kind enough to refund me the fee and interest as they are aware of this problem due to other customers having the same problem.
I have an ING Credit Card and I also got the Cash Advance Interest Charge and the Transaction Fee not rebated due to the Aliexpress Paypal transaction.
Just got a Cash Advance Interest charged on my bankwest credit card.
I knew about the paypal situation, but this time I used my credit card to pay for order with Aliexpress.
And they still charged me this fee.
Spoke to bankwest, and they're not going to waive the fee.
So beware with Aliexpress, I'm not going to purchase anything else in the future, you will get charged either way…
I've used my Bankwest credit card several times and never got hit with the Cash Advance fee.
I've the BankWest Platinum MasterCard. Just found out from BankWest that MasterCard International has recently categorised credit card purchases on Aliexpress as "cash advance" transaction. Does not matter if you didn't use PayPal. The Debit MasterCard is not affected.
I'm still getting charges of cash advance interest after making 2 purchases (total $39.89) on Aliexpress via PayPal on 1st Dec. Was charged $4 cash advance fee and reversed after contacting BankWest. On 18th Dec, there was cash advance interest of 51 cents. Reversed again after contacting BankWest. 22nd Dec cash/debit adjustment $39.89. Then 20th Jan, another charge of cash advance interest 7 cents. Reversed. Credit card is paid in full.
anyone else can confirm this…..
its weird because the bank see that you make a purchase to paypal of aliexpress. what is the difference with purchasing using paypal to pay for myers…. i dont get it.