Paypal Fees Outrageous?

Discussion in 'PayPal' started by JasMate, Jul 27, 2006.

  1. #1
    Don’t know if you guys feel the same way but it seems PayPal fees are over the top. I just received a payment for $39 & they took out $1.63! Does that sound reasonable to you?

    Are there any cheaper / better methods of doing online payments? Or am I stuck with PayPal?

    What are your experiences?
     
    JasMate, Jul 27, 2006 IP
  2. T0PS3O

    T0PS3O Feel Good PLC

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    #2
    PayPal is actually one of the cheapest if you look around at real merchant services etc. (Provided you do decent turnover.)
     
    T0PS3O, Jul 27, 2006 IP
  3. highflyer

    highflyer Peon

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    #3
    I agree with Tops. I did quite a lot of research before sticking with PayPal. most other services charge fees for withdrawing money also, but PayPal doesn't. Plus their base charge of 30 cents is pretty nominal compared to other companies.
    At then end of it, if you get larger payments, it turns out to be pretty reasonable.
     
    highflyer, Jul 27, 2006 IP
  4. born2win

    born2win Well-Known Member

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    #4
    So far paypal is the cheapest one in transactions of money comapred to other providers like moneybookers, Stormpay etc. So better stick with Paypal.
     
    born2win, Jul 27, 2006 IP
  5. increseo

    increseo Peon

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    #5
    I hate about the transaction fee charged when I received payment. But as if there's another alternative.:)
     
    increseo, Jul 27, 2006 IP
  6. mad4

    mad4 Peon

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    #6
    If most of your customers use paypal then its the best way forward.
     
    mad4, Jul 27, 2006 IP
  7. Brandon Sheley

    Brandon Sheley Illustrious Member

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    #7
    I've used paypal for 5 years and never been concerned with the $ they charge..
     
    Brandon Sheley, Jul 27, 2006 IP
  8. T0PS3O

    T0PS3O Feel Good PLC

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    #8
    Can't wait for Google Checkout to be launched in the UK though... Then again, I've yet to offer PayPal! But we use them occasionally, especially for eBay stuff.
     
    T0PS3O, Jul 27, 2006 IP
  9. jacksmith

    jacksmith Peon

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    #9
    looking at the level of trust they command I think this small service charge is reasonable for piece of my mind.
     
    jacksmith, Jul 27, 2006 IP
  10. 8everything

    8everything Peon

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    #10
    I agree. I've paid over $250 in paypal fees so far! It adds up...

    But I'm staying withing with paypal because.. lots of people use it. Hopefully google's check out will charge less!
     
    8everything, Jul 27, 2006 IP
  11. eddy2099

    eddy2099 Peon

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    #11
    Well, think of it this way, if you were not using Paypal, would you still be in business ? There is always cost to business and Paypal is not a charity and the fees they collected would fund their operations.

    I don't think what they charge is outrageous, it is cheaper than what I am being charged when I use other services which charge anywhere from 8.25% to 20% service charge.

    Without using them, I wouldn't be in business so it is just something you need to factor in your cost.
     
    eddy2099, Jul 27, 2006 IP
  12. timw

    timw Peon

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    #12
    Yep, it's probably the cheapest around. And remember, Paypal has pretty much become the de facto paying standard in the online world...
     
    timw, Jul 27, 2006 IP
  13. shamess

    shamess Well-Known Member

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    #13
    Despire it being the cheapest - I was charged $2.11 on a $48 transaction ¬¬
     
    shamess, Jul 27, 2006 IP
  14. aeiouy

    aeiouy Peon

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    #14
    Considering how easy it is to get a paypal account their rights are pretty good. As Tops mentioned compared to some other merchant services they are lower.
     
    aeiouy, Jul 27, 2006 IP
  15. webbie

    webbie Guest

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    #15
    they have discount rate for active merchants($10,000/month), plus i am getting 1.5% cash back shopping with paypal debit card
     
    webbie, Jul 27, 2006 IP
  16. timw

    timw Peon

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    #16
    Hows the Paypal Debit Card going? I've read some really really bad stuff on that thing.
     
    timw, Jul 27, 2006 IP
  17. SexualChocolate

    SexualChocolate Peon

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    #17
    Are the rates different depending on if you have a personal account or a business account?
     
    SexualChocolate, Jul 27, 2006 IP
  18. qrisp

    qrisp Peon

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    #18
    Actually, if anyone thinks Paypal is 'great', please know that YOU are offered NO protection if you are receiving payment for a website, script, or anything that is considered a 'virtual' good.

    It's BS, and I've gotten screwed by someone who I knew very well after I sent a website - they retracted the payment and it wasn't covered by paypal due to the nature of the good being 'virtual'.
     
    qrisp, Jul 27, 2006 IP
  19. shamess

    shamess Well-Known Member

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    #19
    There are a lot more fees according to my friend's with business accounts.
     
    shamess, Jul 27, 2006 IP
  20. Rouier

    Rouier Banned

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    #20
    The thing that makes PayPal the most money is when you send between PayPal accounts, because they charge the same fees but it costs them nothing, just a variable in a local database. When you are getting money from someones credit card, guaranteed they have almost no margin on it.
     
    Rouier, Jul 27, 2006 IP