How does eBay and Paypal work?

I'm a totally new to eBay even though I've heard of it before. I'm making a paypal account so I could shop online in eBay. I'm planning to buy an iPhone 4S. I'm currently bidding. So I have some questions I still don't get.

How does PayPal work? I know how it actually work but how will it work to the sellers? If I win an auction do I message the seller? What do I do with paypal? Does PayPal let me check my money? Is It like a bank account? Do I send the sellers my paypal account or will it be on my ebay's profile? I'm still making a paypal account and my bank account but I still have no idea. Can you help me with everything?

PayPal is not a bank account. What happens is that once you win your auction, eBay will send you a notice telling you to pay. There will be a link and it will take you to PayPal, where you will either make a PayPal account or sign into the account that you have. I assume you're going to use a credit or debit card, so PayPal will charge that card and send the money to the seller.

  • What happens if you use paypal to avoid ebay fees? A friend of mine is big into ebay and sells and buys alot. He wanted to buy an iphone for a little less and offered the seller less to go through paypal to go around ebay and save on fees. The seller said if he would just send an invoice through paypal. I told him he could probably get screwed doing it like that but figured i would ask. So if he pays the invoice would he have any protection if the seller decided to be mean and not send it out? Or would he be SOL
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  • How to get eBay refund as PayPal guest? I recently purchased a new iPhone LCD and digitiser from eBay unfortunately when they arrived the digitiser was faulty and after several weeks I have managed to get the seller to offer a refund. However, I paid via PayPal as a guest, how will I go about getting my refund? They have said they will transfer it into my PayPal account so will it go straight to my bank even though I don't have a PayPal account? I'm confused.