Is paypal good for a savings account? Are there any dangers in keeping a high balance with paypal?

Tony W: Is paypal good for a savings account? Are there any dangers in keeping a high balance with paypal?
Paypal’s moneymarket interest rate is around 5% right now, which is competitive, if not just better than, local savings and cd rates. My temptation is to use paypal as a place to store some savings, like up to $ 8000 over the next year or so. I’m curious if others are doing the same? Are there any reasons not to? It’s still relatively liquid, right?

Answers and Views:

Answer by Wes Martin
Absolutely not! Unless you wish for your money to disappear. Look at this site for the horror stories: https://www.paypalsucks.com .