This is driving me crazy. I see that paypal are now charging for sending payments to a personal account IF you do not have a bank account / credit card attached to the sending account. I am going crazy or is this just wrong?
For accounts that are verified and have a bank account or credit card attached, there is no issue. Setting up this within PayPal is simple and easy. Also if you are sending money online to other PayPal users you should have some type of backup source for payments.
For example, we personally have our business bank account, business American express credit card and our visa business credit card. Reason why we do have these sources attached to our PayPal account is because we do send money to our affiliates through PayPal. It also makes sure if clients open disputes money is there or if a client requests a refund.
The problem with paypal is that if you have multiple businesses and wish to keep your paypal accounts separate, you need to have separate bank accounts and separate credit cards for each one. This is not always possible nor always practical or recommended.
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The fee might also be needed as a cushion for when things go wrong.
And yes, everyone should have a chance to make their dime. Paypal is no exception. If you won't let them make money, you'll be back to sticking a cheque in the mail. That's time + envelope + postage + risk + bank charges.
I've found out the fees are actually cross-border fees for when payments are made to non-Australian PP personal accounts. Struggling to see where this costs PP anything. There is no currency exchange. It looks like USA and UK accounts don't have the same limitations.