The way it looks on the payment page, (listing the instant transfer from bank account xxx-xxx and the credit card as the Backup Funding Source) seems to me that the credit card should automatically be charged if there isn't enough money in the bank. WRONG!!!
If there isn't enough money in the bank, you will be charged as a bounced check or insufficient funds! Then, PayPal will wait and try again after a set amount of time, and BAM! another insufficient funds charge!
The "Backup Funding Source" credit card is NOT automatically charged if the bank account can't cover the purchase. I wound up with 3 insufficient funds charges, thinking that my credit card was supposed to cover the purchases.
I think the way PayPal shows the information on the payment page is misleading, and it made me assume that the system would switch to credit if the bank was empty. I learned the hard way! Don't make the same mistake!
Always be sure your account can cover purchases, and if not, manually switch payment to credit card.
I hope this helps you avoid any problems like I had! Be sure to click YES below if you found this info beneficial! Thanks! Don C.