Can I Cancel A Transaction On Paypal?

Relax, your bf is mistaken. Your PayPal has a balance and your bank account has a balance, they are two separate things. When you pay for something using paypal it can take it out of your paypal account or your bank account or even a credit card if you had set one up. There will be a default source of funds (which is set in your profile). If you don’t say where to take it out of it will be taken from the default. If your default is your bank account it will be taken from there. But if you already have a balance in your paypal account that stays in your paypal account. It does not go to the merchant you paid. And if you want you can always transfer it back to your bank account. Paypal is not so stupid as to pay a merchant twice with your money.
If you have not already paid the merchant and used the bank account because it is your default then the money going to the merchant will come from your bank account. In that case you need to go to your paypal account and transfer the balance from there back to your bank account. If you just transferred the money to paypal yesterday or today it won’t have shown up yet in your paypal balance because it takes two days. Just wait till it shows up in paypal and then transfer it to your bank account. Your money would have had a scenic trip around the country but it will be as safe as ever.
There almost never is a reason to transfer money from somewhere else to your paypal account. The only reason I can think of is that the merchant will get the money faster if it comes from your paypal account rather than your bank account. But if it isn’t that urgent it does not make a difference. And if it is that urgent you can add a credit card to your paypal account and that payment is instant too. You just have to make sure to pick the credit card as the payment source when paying because paypal will always set the default to be your bank account.