Fix: Paypal credit not working (Reasons & Solutions)

Are you having problems with your Paypal credit?

Is Paypal credit not working for you?

Are you looking for the reasons why Paypal credit doesn’t work for you?

Well, if you are looking for the answers, you have reached the right web page. As here, we will be discussing the reasons why Paypal credit is not working. And along with that, we will try to provide some solutions which can fix any issues with it.

Why is my Paypal credit not working

Paypal is probably the most renowned payments services in the world, with millions of international users as well. And international payments is not the only service offered by Paypal. There is a digital, reusable credit line service by Paypal, which is called Paypal Credit. 

With Paypal Credit, users get the option to cover their purchase cost for a period of 6 months. So, if your monthly payment hasn’t arrived yet, Paypal credit can help you out in covering your expenses. And you have 6 months to return to payment.

Well, Paypal Credit is a popular service that is widely used by USA citizens. But, sometimes, users report problems with Paypal Credit, where the service stops working for them.

There could be many reasons why Paypal credit is not working for you.

Sometimes, action taken by the users can trigger the problem, whereas sometimes, technical issues can cause the Paypal credit not to work.


1. Purchase exceeds your current available credit

Paypal credit is a great feature by Paypal, which allows you to request the amount for a specific period of time without any extra charges. And as you already know, you can pay a limited amount of money using the Paypal credit.

Generally, new Paypal credit members do not get higher-paying limits.

But, what happens when you try to make a purchase which exceeds the limit of your Paypal credit?

Well, your purchase will be denied, and your Paypal credit might not work. And now, you know the first possible reason for that.

There is a way to increase your Paypal credit limit very easily. We have discussed the procedure in the next part of this guide, where you will find several ways to fix Paypal credit not working issue.

ALSO READ: [Fix] Why am I not eligible for Paypal Credit

2. Further verification required

Paypal is one of the most secured payment platforms out there. The secure payment medium has received the trust of users from all over the globe.

Paypal system keeps checking for any kind of security compromises in the system.

While checking out a payment using Paypal credit, the security system might ask for the verification once again. And if for any reason, the details you shared don’t match the details provided in your account, your purchase will be declined.

Sometimes, if the details submitted by you on the merchant’s website do not match your account details, your payment will be declined in that case.

3. Paypal credit account is closed

If the reasons mentioned above do not make sense to you, check if your Paypal credit account is closed.

If your account is found inactive on the day of the billing statement, your payment through Paypal credit will be declined.

To check if this is the reason for the Paypal credit ‘not working’ issue, you can check the “Important Account Information” section for any type of notification.

If your Paypal credit account is closed, you will be informed there.

4. Paypal credit is not accepted

Let us see one of the most common issues.

Sometimes, merchants do not even accept Paypal credit as a payment method. And if you try to pay for the services using the Paypal credit, the payment will be simply declined even if your Paypal credit account limit supports the payment.

Well, sometimes Paypawl credit is not available as a payment option if the system detects any kind of risk in the money transaction.

PayPal Credit may not be available for the transaction. This is often due to some element of risk detected.

5. Problem with Paypal services

Well, sometimes, there could be issues with Paypal services. If Paypal servers are not working as intended, you will surely observe the failure of not only Paypal credit services but other Paypal payment methods.

6. Network Issues

If you have made sure that the reasons mentioned above are not the ones triggering the Paypal credit ‘not working’ issue, you should check this last possible reason.

Sometimes internet issues might be causing failure of the payment through Paypal credit. As you may already know, you need an active internet connection for making online transactions.

And that’s all.

You might resolve the issue on your own now, but if you need some assistance and more details, you can check the next part of this post.

ALSO SEE: (Solved) Why Paypal Pay in 3 not working

Fix: Paypal credit not working

Now that you know all the possible reasons for the Paypal credit not working issues, we will now discuss some ways that can fix this problem.

Simply start with the first fix and proceed with the next one if the first one doesn’t work.

1. Check if Paypal credit checkout is available

As we have discussed in the first part of this post, you cannot use Paypal credit as a payment method everywhere.

Not all merchants accept payment through Paypal credit.

So, before you even try to initiate the payment, you must confirm if Paypal credit is accepted as a payment method by the merchant.

Simply contact the merchant and ask for the payment method. And before even bothering the merchant, you should check the available payment methods included on the website.

2. Attempt purchase again

Sometimes, some technical issues and glitches might be causing the failure of payment through the Paypal credit.

You can try the most common troubleshooting method.

Simply re-try purchasing the item, and you might be able to complete the purchase this time.

3. Enter correct personal details

As discussed in the first part of this guide, Paypal asks for the verification sometimes just before the user tries to checkout. And if the details submitted during the verification don’t match the account details, payments will be declined.

So, always make sure that the details you submit for the verification procedure are correct. As your payment will be declined, it doesn’t matter which payment method you use.

Sometimes, the merchant asks for the submission of the user’s details before the payment. Always make sure that the name, billing address, and other details are correct.

Avoid using fake names, nicknames, or unofficial names during this procedure, or your payment will be declined.

4. Increase Paypal credit line

If the payment you are about to make through Paypal credit exceeds the limit provided by the Paypal credit account, your payment will be declined.

But, you can easily increase your credit line. And it can be done in real-time during your payment checkout through Paypal credit. Well, actually, Paypal increases the credit line on its own; you cannot apply for increasing the credit line manually.

And if you want your Paypal credit to support the increased limit, you must maintain an account in good standing.

Timely payback and regular use of Paypal will help you increase your Paypal credit limit.
And in case your Paypal credit account doesn’t support your current purchase, you will have to try for the lower amount purchase only.

5. Update/ Reinstall Paypal app

Sometimes, issues in the Paypal app might be triggering the Paypal credit not working issue.

You can try fixing this on your own. The simple troubleshooting method is to update the app and reinstall it if required.

6. Contact Paypal Support

If you have tried every fixing method mentioned above and still have the same issues with the payment.

We will suggest you contact Paypal support for assistance. Let the concerned team know about the issues you are facing.


7. Try other payment method

If you are getting through the Paypal credit ‘not working’ issue, we will suggest using another payment method.

Paypal can be used to make payments through your bank account and debit card. You can even use your Paypal balance.

If you use apps like Cash App, Venmo, Zelle, you can use any one of them to make the payment.


1. Why is Paypal card not working?

There are many reasons why your Paypal card is not working. Sometimes, Paypal restricts the users from using the Paypal card if the user doesn’t verify his identity on the platform. Occasionally, technical issues with the Paypal servers might have caused the problem. Whereas, if you have already reached your current Paypal credit, you won’t be able to use your Paypal card.

Final Words

And that’s pretty much it, guys.

We first talked about the possible reasons why your Paypal credit is not working. You check out all the reasons in the first part of this post.

In the second part, we have tried to provide you with some solutions to solve the issues.

The solutions must be easy to implement, but if you need some assistance, do let us know in the comments section below.

Further Reading:

(Solved) Why Paypal Pay in 3 not working

[4 Conditions] Why Does Paypal charge a fee [Saving tips]

How to get money off hold on PayPal