paying merchants via paypal to get credit card rewards/avoiding credit card fees

paying merchants via paypal to get credit card rewards/avoiding credit card fees -- i've called paypal a few times about this and gotten wildly different answers. i want to do a test run of course but won't be invoiced for a few more days so i'm gathering info before i get my next invoice. i wanted to find out i paid a merchant paypal invoice via credit card through paypal, would i or my merchant be charged additional credit card processing fees. i want to start using credit cards to pay paypal invoices bc i want the rewards. 1st paypal rep told me i couldn't use credit card via paypal to pay merchants unless my balance was 0. then i called back and new person said he thinks paypal rolledout new feature so i can pay merchants via credit card, even if i have a paypal balance. also first few paypal folks told me there was no credit card processing fee (if i had to pay a 3% credit card processing fee, that would negate any reward money i'd get, and i also dont want vendor to have to pay any more fees). first 2 paypal reps told me that basically since the payment is going through paypal, paypal gets its normal payment and the normal credit card fee the merchant would pay is bypassed. then i called again and the guy said no those guys were wrong, you have to pay a credit card fee. now this guy is saying that is only true if the card happens to have a foreign transaction fee (i am paying vendors in other countries). another rep said i am only charged cc fee if it's to friends and family.

i just got a superviser and he said this year paypal rolled out a new program - i don't need to have a 0 balance to use credit card, AND i and merchant won't pay any credit card fee unless it's friends and family (or if the credit card i use charges foreign transaction fees). he said merchant just pays standard paypal fee even when i pay by credit card. if it works and he's right, i get the credit card rewards then :-)

he says it's called the consumer choice program: to access it, go to paypal.com/payyourway

login

be on wallet page

add credit card you want, then select it

on the right hand of the screen, click on the star next to "Make this preferred when paying online" and then i guess "update card" or whatever. he says this preference also works for handling returns.

has anyone had experience with this? if so, were you able to pay invoices with no additional credit card fees? i just want to confirm it works since i've gotten different answers from different paypal reps...