I am based in Canada and would like to use PayPal to receive credit card payments from my mostly US based customers in $US using my regular chequing account. It is my understanding that once the money is received in US funds it will be automatically deposited into my account in $CDN using the current exchange rate and will be available to me immediately. There is no service charge from my bank for any of my PayPal transactions.
Since I couldn't get a clear answer from neither PayPal nor my bank, could someone using PayPal with a Canadian account confirm this for me, please?
Not really. They will charge you to make the deposit (US$1.50 for non-US deposits), and your bank MAY charge a fee for receiving wire transfers, which is what the deposits are technically. My bank charges S$5 to receive wires, some banks more, some banks less.
Oh, and they will give you their own exchange rate too. Let me quote you mine. When the US$1 = S$1.77, what does Paypal give me?
US$1 = S$1.70 - a whole 7 cents less. Granted it isn't much, but do the maths and you'll figure that for every US$100 I withdraw, I lose S$7, not including Paypal fees and my banking fees.