When credit is checked, PayPal says that reports from all three credit reporting agencies are used, and “FICO or business credit score is used to determine tier.”. ... Another way a PayPal account could potentially affect your credit is through bad debt.Why am I unable to pay with PayPal Credit?
Re: Unable to pay Invoice with Paypal Credit? It could be you having PayPal Credit and/or PayPal for just a short time, your transaction history, and degree of success in completing other PayPal transactions, origin of the funds and destination of transaction, and other undisclosed criteria of PayPal's complex internal security system.Can PayPal collection affect my credit?
PayPal collections can hurt your credit score and remain on your credit report for up to 7 years regardless of whether you pay it or not. Unfortunately, paying the collection could even lower your credit score.