View Full Version : Questions about using PayPal

10-15-2001, 02:28 PM
Can you use Paypal for selling that is not through ebay auctions? Like for instance, payment for a commission from a customer that wants to pay through paypal; you would just send them an invoice from paypal, right?
I think I may have already answered my own question, but someone else may like to know too who is unfamiliar with this internet paying business.

I had another question, but I forgot it... I will post it when I remember!

10-15-2001, 06:04 PM
Yep, you sure can! I've just invoiced someone for a painting at regular price off my website. You just go to the "Request Money" tab and fill out all the details. They email your customer with the invoice and it shows up in your details list as a pending request until they pay. You can even send them a reminder if you need to later on. :) Do remember your PayPal monthly limit though if you only have a personal account (it's around $100 a month I think). If you go over that limit they will force you to upgrade to a business or premier account before you can access the money. Those accounts have charges to withdraw your money.

VERY soon, if not already, personal accounts will no longer be able to accept credit transactions. This means, in plain english, that you your customer will have to put money into his account from his credit card or bank account *before* paying you. This is instead of him just choosing the credit card as the method of payment - he has to pay you from an existing PayPal balance. So it could take 3-4 extra business days for the money to transfer before they can pay you.


10-15-2001, 10:59 PM
I use PayPal on my personal website for payment. I can set up a payment for just one item or include several in an inventory style setup so that a customer can pay using a shopping cart.

You can also use BillPoint on other sales besides the auctions at eBay.

I prefer PayPal now because it is faster...BillPoint takes several days to transfer the funds.

10-16-2001, 12:40 AM
That's interesting Tina, I hadn't heard of that. That doesn't sound too good. I really like using Paypal, it is very quick and very convenient. I really hope that doesn't change.

10-16-2001, 02:15 AM
Thanks Tina for the information! Your comment made me remember my other question! I have just begun the 2nd month of using paypal, and on the first day, I had a buyer use their credit card for $92... leaving me $8 for the rest of the month. Of course paypal contacted me saying I should upgrade. I was a little hesitant to jump in with a business account, but what you have related about the personal account, it only makes sense to upgrade. (My question was "what do you think of upgrading to a business account?").

Tina, you're a wealth of knowledge!

10-16-2001, 01:09 PM
My advice would be don't upgrade until you have to. Wait until you hit that limit so your transactions are free. The current rate on business accounts is 30cents + 2.9% on each transaction. It should be listed on their fees page. There's more fees if you're withdrawing to a non-US account too.

as for the policy change, log in to your account then read the Policy Updates (link on the left). The new policy will come into force on 11/6/01. :(


10-17-2001, 12:49 AM
Kathy, I had to upgrade my account with Paypal in no time at all because I went over the $100. It's not big deal, there's a small % charge and I think it costs $0.55 to get the money transferred to my Canadian bank account. It takes a couple of days. It works very well.

10-17-2001, 01:52 AM
I just used paypal business account for the first time to sell a painting from my website to the US. The transaction and processing worked really well, even to the extent of transferring the funds to my Australian Bank account.

But INTERNATIONAL users BE AWARE the exchange rate is outrageous when transferring from US dollars to other currencies.

After taking into account the Bank fees I would have paid if I had received a cheque or money order, paypal took a full 8% cut of the transaction amount in exchange rate. That is 8% of the transaction over and above what the Bank would have charged.

Paypal say that it is because the Bank quotes the rates for large transactions. Not so. I banked a US cheque the same date and compared it to that rate. Still waiting on a reply from paypal, it must be in the mail.

This is not an isolated incident the bulletin boards are full of the same complaint. But paypal is not listening. The fees are nothing compared to the exchange rate rip off. Beware & be conscious of these costs when setting your prices.


10-17-2001, 02:13 AM
I received this email a few days ago:

<<We're pleased to announce that we can now offer our Canadian members an improved Foreign Exchange rate for Withdrawals!

You get more Canadian dollars per withdrawal from your USD PayPal account than with any other leading payment service! We are working continuously with our banking partners to provide you with an exchange rate that compares favorably to other leading payment services. The table below shows how PayPal's competitive exchange rates will give you more money.

Compare PayPal's Canadian Exchange Rate
USD Rate Canadian Dollars Billpoint $100 1.54 $154 C2it $100 1.46 $146 Western Union $100 1.50 $150 PayPal $100 1.55 $155 Published rates from October 10, 2001

For more information on our foreign exchange rate, please login to your account and click the "Withdraw" subtab.

PayPal strives to offer you the safest, most cost-efficient way to send and receive money online. Providing a lower exchange rate is our way of saying thanks for using PayPal and helping us remain the world's largest online payment service.

The PayPal Team >>

It appears that they have improved the exchange rate between US and Canada.
Also they don't charge just $.55 but also a percentage of the amount you receive. Out of a payment of $45 I only got $42.84 and on $10 I only got $9.41. This after upgrading.

The best in my view is BidPay because they send you a Money Order and the buyer pays the fees. My bank does not charge to exchange american funds and deposit them in my canadian account.



10-18-2001, 12:58 AM
Hi Rita, if Bidpay charges $5 per transaction, that can sometimes be more than what you'd pay to Paypal. Anyway, it's the buyer who chooses the method of payment. At present, I accept both Paypal and Billpoint. The buyer chooses how they want to pay. I guess I could ad Bidpay. It doesn't hurt to have lots of options.

10-18-2001, 01:39 AM
As far as I know, BidPay charges the buyer, not the seller. The buyer pays $5 per transaction.
I have done 5 transactions up to date and everytime I get a Money Order in the mail, for the exact total amount. I then go and deposit it in my bank account in canadian funds at the current exchange rate. My credit card has not had any fees charged by BidPay.
If anybody knows of BidPay charges I havent't discovered yet...please tell me.
Usually most of my buyers choose the payment and shipping I suggest. For the ones that want to use PayPal...that's fine, I have that, and also BillPoint, by I try to steer them (gently)towards BidPay.
I am happy today because one of my listings ended quite well !!:clap:

10-20-2001, 01:50 AM
I didn't realize that Bidpay charges the buyer, not the seller. That's quite a different story then. And your buyers don't mind paying this fee? Wow, I'll have to look into that. thanks for that.

10-20-2001, 10:20 AM
I use the PayPal business-grade account since if I make even one sculpture sale, it's bound to be over $100. So I mean... might as well just break down and do it, I figure. ;)

-=- Jen "Bizfees" de la Cruz