I am in California and just made my first purchase using PayPal. Is there a company named PayPal? Where are they located and how do they get paid for their service? I put it on my Credit Card, they pay the person I am buying the item from and they charge my CC. But how do they make money? Am I charged a service charge? Or what? Thanks for your help.
2007-06-12 19:15:50 · 8 answers · asked by kingsley 6 in Business & Finance ➔ Credit
Thanks to everyone who replied. All the answers were so very helpful. I feel better now about using them. Thanks again.
2007-06-12 19:45:36 · update #1
I recommend:
...You've never heard of PayPal before?! There is a company called PayPal and it is a subsidiary of a public company called eBay (eBay bought PayPal a few years back). Both companies are headquartered in the San Francisco Bay Area (Silicon Valley).
PayPal typically charges the seller the fee for arranging the payment. Buyers generally do not get charged anything, so it's almost free. By "almost", I just mean that the seller will basically pass the buck to the buyer by charging higher price.
p.s. - PayPal is NOT a payment program started by eBay. It was an independent company bought by eBay in October, 2002.
Just Be!
2007-06-12 19:26:40 · answer #1 · answered by MBA Don 4 · 0⤊ 0⤋
PayPal is an account-based system that lets anyone with an email address securely send and receive online payments using their credit card or bank account. The basic concept is this; PayPal offers a secure service through which funds can be transferred from one PayPal account to another.
Is PayPal secure?
Yes. PayPal uses SSL technology to keep your information safe. In addition, when you send a payment using PayPal, the recipient won't receive sensitive financial information like your credit card or bank account number. This way, you don't have to worry about paying people you don't know.
How do I use PayPal to send a payment?
After you have signed up for a PayPal account, all you need to do is add your credit or debit card to your account, go to the "Send Money" tab, and enter the email address of the person to whom you are sending the payment, as well as the amount of the payment. You can also use your PayPal balance or your checking account to fund your payment.
What is the difference between Personal, Premier, and Business accounts?
Personal accounts are for individual use only, and include the core features.
Premier and Business accounts are charged a modest fee to receive payments (3%+$.30), and include our premium features, such as the ability to accept credit card payments and the PayPal Shopping Cart.
I live outside the U.S. Is PayPal available internationally?
Yes. PayPal is currently available in 37 countries worldwide.
2007-06-13 02:25:46 · answer #2 · answered by Mont 1 · 0⤊ 0⤋
PayPal is a service that makes online purchasing and selling a lot easier. They mainly work with Ebay. As far as I know they are an online company. You are not charged a service charge for paying with PayPal. If you sell and receive payment you have to pay a very very small fee to them. I know all of this bc I have an Ebay business and I use PayPal. Hope this helps.
2007-06-13 02:26:16 · answer #3 · answered by Delisa K 2 · 0⤊ 0⤋
Paypal is a company. Paypal charges the seller money to complete the transaction. The buyer does not pay, but one presumes that the seller increases prices enough to take their fees into consideration. The best way to think of PayPal is as a clearinghouse; it's not quite a bank, because they don't actually hold any funds.
I deal with quite a few individuals and small retailers who use PayPal, and to date, I have found the service to be very reliable.
2007-06-13 02:29:54 · answer #4 · answered by Anonymous · 0⤊ 0⤋
Actually, the seller takes the ding with PayPal. It isn't much, but that is how PayPal makes their money.
PayPal was created to make shopping with eBay more secure. It is actually a sister company of eBay.
It is so easy to use PayPal, and so many people have accounts that outside internet sources also accept PayPal to make checking out easier on the buyer. (Easier to sell with ease this way.)
PayPal is like an online bank,and very secure. Some people don't care for PayPal and use other methods of paying. I love it. I hate sending checks or M.Os, and have been ripped off doing so. PayPal protects the buyer (and seller) from getting ripped off.
Enjoy your purchase Hon!
2007-06-13 02:25:44 · answer #5 · answered by Gothic Martha™ 6 · 0⤊ 0⤋
Basically a payment service program started by Ebay. The way it works is you set up a payment account. You can get it verified and put as many forms of payment as you would like on the account, including credit cards.
They act as a middle man, billing your credit choice and transfering funds to another. They often insure certain transactions to an x amount and have a good payment dispute process if problems arise.
They make their money by charging a small fee to sellers who utalize their service.
2007-06-13 02:26:52 · answer #6 · answered by DeputyJT 3 · 0⤊ 0⤋
all the credit card companies are registered to paypal so the original website doesn't have to put in a extra form for each credit card, eg , one for mastercard, one for visa, one for american express
2007-06-13 02:24:32 · answer #7 · answered by Iain c 2 · 0⤊ 1⤋
http://paidpal.blogdrive.com/
Read and see if you'd want to continue using PayPal!
2007-06-14 03:02:15 · answer #8 · answered by Nagase 2 · 0⤊ 0⤋