Hello everyone, I haven't used paypal for over a few months and when I recieved a few payments on my premier account, there was a fee. I read the PayPal fee description and it said everytime you receive a payment it have a small transaction fee of 1.9% + .30, is this true? I would like to know if you guys have the same problem. Thanks. PS (sorry if this is the wrong category but I couldn't find another)
Yes it is true. This is why so many people suggest you get a merchant account with anyone BUT paypal. Also there are horor stories of paypal actually freezing accounts, then (cough) taking your money!
Yes paypal charges a fee for every sales transaction you make - in reality this is no different to any merchant provider be it offline or online - yes even offline - everytime you go into a shop and pay for something with your credit or debit card the poor shop keeper is getting charged for the priviledge.
And remember that PayPal makes it very easy to get an account and take credit cards - much easier than getting a merchant account through your bank, where they actually check your credit worthiness and require a business plan. Part of those fees go to cover all the people who lose a dispute and abandon their accounts owing PayPal hundreds of dollars, and others who make risky transactions.
Any business/organisation that offers transaction / money exchange services will always skim a percentage. Personally I think all Banks suc.
paypal fees depend on a number of things one of which is the value of the transactions. The worst rate is 3.9% + $0.30 for cross border transactions and 3.4% + $0.30 for payments from the country you live in.
I don't mind their fees on credit card funded transactions. But i absolutely hate the fees when a buyer funds the purchase from their bank account, as receiving direct bank deposit payments from customers costs me nothing.