PayPal business users will now have to pay transaction fees on all their transfers
PayPal business customers must pay transaction fees on all transfers, even to friends and family. All PayPal payments are either “Goods & Services” or “Friends & Family,” with the latter not incurring fees. Only personal PayPal accounts will be allowed to receive free “Friends & Family” payments after July 28.
PayPal will “simplify” its Goods & Services seller fee to 2.99% for US clients, with no fixed fee. 2.89 percent plus $0.49 is PayPal’s Goods & Services fee. This decision also implies corporate PayPal users utilizing its merchant services must set up a second account to receive payments from friends and family. PayPal’s price fell more than the average tech stock in 2022. The company has lost two-thirds of its value since July 2021, despite being a popular payment gateway.
PayPal is upgrading its service to capture the BNPL market and other rising sectors. The payments giant recently introduced a new Pay Monthly plan that lets US consumers spread repayments over 24 months. The service is available for purchases between $199 and $10,000, with APRs ranging from 0% to 29.99%. PayPal is expanding into cryptocurrency, adding tools that facilitate the exchange of cryptocurrencies between users, turning the site into a crypto wallet.