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Paypal / bank statements - considered the same?

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    Paypal / bank statements - considered the same?

    With PayPal being used now by many people, that is the primary way clients pay me in my business. I also pay a couple things from that account using the PayPal debit card. I know we have to turn in bank statements, but has anyone specifically been told to turn in statements from PayPal as well if they use that account similarly to a checking account? I'm curious because I have printed out income received through PayPal but not a statement showing expenses as well, although I should because I consider PayPal fees a business expense.

    Also, we have been cashing paychecks and spending the cash for bills - paying cash or buying money orders - for years and barely use our checking account. I keep track of expenses using Quicken and a written budget just as I've done for years. Is that frowned upon and will it show a red flag or should we start using the checking account and debit card in the future?
    C in GA - Filed Chapter 7 Aug '09
    341 Hearing Oct 8, '09 - DONE

    #2
    Wondering how you deal with student loans? They usually want you to sign up for automatic checking account withdrawals. I think the cash basis is good. A whole lot simpler than the complicated math of banks.

    -Frank

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      #3
      I guess I'll see what they say in the future. Right now the loans are still in deferment. I don't really like auto debit but I do have it for Netflix (through PayPal debit card) and our car insurance. It's not my favorite thing to do but if I have to I will.
      C in GA - Filed Chapter 7 Aug '09
      341 Hearing Oct 8, '09 - DONE

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        #4
        Yes you should print out the paypal statements (inputs, outlays, expenses)
        May 31st, 2007: Petition Filed by my lawyer
        July 2nd, 2007: 341 Meeting Held
        September 4th, 2007: Discharged and Closed.

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          #5
          I have Paypal but I never really used it for anything major, just to pay for ebay items. My lawyer did not ask for any paypal statements. Isnt' it tied into your regular bank account anyways?

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            #6
            The UST asked me for copies of bank statements and registers for ALL accounts. I included Paypal just in case...

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              #7
              In our case, when we purchase an item on eBay and pay with PayPal, PP draws the payment from our CU. We really don't keep any money in it.
              "To go bravely forward is to invite a miracle."

              "Worry is the darkroom where negatives are formed."

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                #8
                Originally posted by AngelinaCat View Post
                In our case, when we purchase an item on eBay and pay with PayPal, PP draws the payment from our CU. We really don't keep any money in it.
                This is the key. If you are stashing cash in Paypal's bank then you will need to produce the account statement.

                If you only use Paypal as an agent with access to your personal checking account as AngelinaCat does it's not necessary.
                Well, I did. Every one of 'em. Mostly I remember the last one. The wild finish. A guy standing on a station platform in the rain with a comical look in his face because his insides have been kicked out. -Rick

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