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PayPal fee change dust-up

cabinet Screenshot - 8_23_2009 , 5_36_12 AM_ver001_thumb.png
This doesn't necessarily seem like a bad thing to me, but it has caused some confusion, and it's definitely something to be aware of if you are sending money to friends and family:

In June, PayPal made a number of changes to its User Agreement and posted an update to the PayPal Blog. At that time, director of product marketing Heinz Waelchli wrote that PayPal had now begun allowing those with business and premium accounts to make personal transfers to friends and family for free. This, in itself, is a welcome update—I use my PayPal account to receive payments for items I sell on Etsy, but now I can send money to my brother from the same account without either of us having to give PayPal a cut.

What PayPal failed to do was inform users of the fact that any transfer having to do with goods or services will be charged the 3¢ + 2.9 percent fee no matter who or where it's coming from. This includes payments sent from personal accounts as well as payments made after someone has sent you a request for payment (even if that request has nothing to do with goods or services).
...
For example, a personal account sending another personal account money for a one-time payment for, say, mowing your lawn was not previously charged any fees on either side, but is now charged the usual transaction fee (the sender gets to decide who pays). The only way to avoid this is by selecting "gift" when making the transfer —something you can't do if you're following through on a purchase or invoice from someone.

http://arstechnica.c...massive-fee-hike.ars

posted by mouser donate to mouser
discovered on Tech News Weekly - https://www.donation...ndex.php?topic=19634
(permalink) (read 3 comments)


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