You open your email and see a PayPal invoice for something you never bought. Panic sets in. Did someone hack your account? Is your bank info compromised? The invoice looks real, it’s from PayPal, and there’s a customer service number listed to dispute the charge.
Stop right there—that’s exactly how scammers get you.
This new scam abuses PayPal’s own invoicing system to send fake invoices that look 100% real. And since they come straight from PayPal, people assume they must be legitimate. Spoiler alert: they’re not.
How the PayPal Invoice Scam Works
Scammers are now using PayPal’s built-in invoice system to trick people into thinking they owe money. Here’s how it plays out:
1️⃣ You receive a PayPal invoice for something you never purchased—usually tech support, a subscription, or even a fake investment.
2️⃣ The invoice includes a customer service number to call if you want to dispute the charge.
3️⃣ When you call, you’re connected to a scammer pretending to be PayPal support. They might:
- Trick you into handing over your PayPal login
- Ask for your credit card details to “refund” you
- Convince you to install malware on your computer
The worst part? Since the invoice comes directly from PayPal’s system, it looks completely real.
📌 Source: Pennsylvania Attorney General
How to Verify If an Invoice Is Legitimate
🔎 Check the sender’s email address:
- Real PayPal emails always come from:
se*****@****al.com - Scammers use fake emails like:
pa*************@*yz.comorpa****@************re.com
🔎 Log into PayPal directly (never click email links):
- Go to PayPal.com and check if the invoice is in your account.
- If it’s not there, it’s a scam.
🔎 Look for red flags in the message:
- Urgency tactics: “Immediate Action Required” 🚨
- Weird wording: “Your account have serious problem” (scammers aren’t great at grammar)
- Generic greetings: “Dear Customer” instead of your actual name
Real-Life Example: The ‘Palomino Bazaar’ Scam
In Connecticut, scammers sent over 200 fake PayPal invoices impersonating a real business called Palomino Bazaar. The invoices claimed people owed around $1,000 and directed them to call a fake support number.
The kicker? Palomino Bazaar wasn’t even an active business anymore! The owner, Kate Ferguson, had no idea her company’s name was being used in a scam. After dozens of confused calls from victims, she reported the fraud to the Better Business Bureau.
📌 Source: CT Insider
What to Do If You Accidentally Paid a Fake Invoice
If you already paid, take these steps IMMEDIATELY:
- Contact PayPal’s Resolution Center – Log in to PayPal, go to the Resolution Center, and report the transaction as unauthorized.
- Call Your Bank or Credit Card Company – Dispute the charge as fraud if PayPal won’t refund you.
- Freeze or Lock Your PayPal Account – If you gave scammers your login info, change your password immediately and turn on two-factor authentication (2FA).
- Check Your Device for Malware – If you downloaded anything at their request, run an antivirus scan ASAP.
📌 Source: PayPal Resolution Center
🚨 The ‘Fake Refund’ Scam Variation
Scammers may pretend to be PayPal support and say:
- “We’re sorry for the mistake! We’ll refund you, but we need your banking info.”
- “To process the refund, we need remote access to your computer.”
🚩 RED FLAG: PayPal never asks for remote access or bank details to issue refunds.
How to Stop Scam Invoices from Even Reaching You
✅ Change Your PayPal Invoice Settings
- Go to PayPal Account Settings > Notifications > Invoices
- Turn off automatic invoice emails if you don’t use PayPal for business.
✅ Block Suspicious Senders in PayPal
- If you keep getting scam invoices, log in to PayPal, find the sender’s name, and block them.
✅ Check Your Email Filters
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- If the scam came through email first, mark it as spam and set a filter to automatically block similar messages.
📌 Source: PayPal Security Center
💡 Why This Scam Works So Well
This scam is so dangerous because it preys on our trust in PayPal.
- It uses PayPal’s real invoicing system – which makes it seem legit.
- It pressures people to act fast – creating a false sense of urgency.
- It exploits confusion – people assume it’s an error and just want it fixed.
That’s why scammers are raking in millions with this scheme.
📌 Source: FTC Fraud Report
Final Thoughts: Stay Skeptical, Stay Safe
These PayPal invoice scams work because they look real—and that’s what makes them so dangerous. Scammers are banking on you panicking and reacting fast instead of slowing down and checking things out.
🚨 Golden Rule: If you get an invoice for something you don’t recognize, assume it’s a scam until proven otherwise. Always log in to PayPal directly and never call any random numbers listed in emails.
💬 Have You Received a Fake PayPal Invoice?
Drop a comment below! Your experience could help someone else avoid getting scammed. And before you go, subscribe and check out GetOutOfDebt.org for more scam-busting tips! 🚀
