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Recently I've been paid for a job online, and some of the money that I was being paid was used to pay transaction fees in Paypal. Why does this occur? How can I avoid this?
Certain websites have managed to find ways to circumvent (legally, I would like to assume) PayPal's fees, and you get paid the full price as promised. Sites like Postloop and Spare5 seem to work on that system. On the other hand, you typically aren't going to experience this when performing a transaction with individuals, and it is practically inevitable. PayPal is a business after all, and they need to make money. The same goes for banks and their fees as well. It is simply something that you have to take into account when working online. Might not seem fair, but that is the nature of things.
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Hum interesting. I didn't know these sites could do this. Probably just brands and big businesses can play this type of deal with Paypal. Thank you for the tips.
I think it's web Site fees or tax.Paypal is meant to charge that from the website or who pays you. Most websites pay you your full money from same PayPal.
In summary,its the website not PayPal expect there are changes in currency
Paypal charges a fee for its services naturally. I don't think there is a way to avoid it. Still im no expert on the matter would love to hear others input.
I don't think that you can avoid the transaction fee's on PayPal. They are in essence a credit card possessor and earn their money via these fees. These fee's make it possible for them to run their big organization with all the costs associated with it.
If you would like to reduce transaction fees you could take a look at bitcoin or an alt coin. However, these are not really mainstream enough to effectively works with businesses. You could on the other hand transact with friends who have bitcoin or alt coins. If there is a way to get all the money when using PayPal I am all ears! I look forward to hearing about it.
As DenisP said: "Certain websites have managed to find ways to circumvent (legally, I would like to assume) PayPal's fees, and you get paid the full price as promised." The way they do this is intriguing, I should try and search on the Paypal FAQ's.
Well, this is something that you cannot avoid. The fee agreement is set by the Paypal and the site that paid you. You must contact the site that paid you and asks them if they can lower the fee for your payment!
Looks like it's impossible yes, but i was curious to know why x) Thank you for the reply!
You cannot set the fee, only the site that pays you the money can set the fee value! There were cases when I have contacted the site that paid me money in my PayPal account and asks them to lower the fee because it was too high ( for 10 dollars that I should get from the site I received only 6 dollars, because the 4 dollars was a PayPal fee). They understood and lowered the fee to one dollar for 10 bucks they pay me!
You are welcome, I hope my answer helps!
Verify your Pay Pal account with your ID card and bill details. Upon verification on pay pal you can avoid the charge. You can avoid the charge also by using personal account. You can avoid the charge also by using friends and family option. May be that website were rate. You cna try for new website.
Yes, but I think what you are trying to say is that when I verify my account I get charged a fee to my credit card and then they reimburse me. But that's not what I'm trying to say. Some websites while doing transactions, charge a fee because of Paypal system.
I think the fees are going to be there be it paypal's verification or not. They earn money through transactions. Also they have very bad currency conversion rate. So based on that you can see that it's not going to be easy. And mostly likely harder to get hold of there as well. That's what I have found out.
I think the only time I am getting charged fees on PayPal is when I am exchanging currencies. They do not seem to charge a fee to me otherwise. I miss the days when PayPal used to give monetary bonuses for using it though. That was nice!
Paypal used to give monetary bonuses? How so? Just by registering to the site?
I get charged fees on PayPal any time I get or deliver money, so I was told that's the regular fee, the required one for using the site, and it depends on the amount of money you get or send. Doesn't matter who is sending or receiving, I still have to pay charges, and I guess that's where PayPal gets some funds from. It also doesn't have to be related to verification, because mine it is. So far, I think this is required from PayPal, and if that's not normal, please someone tell me about it.
I had noticed that it depends on the sites that you are working on. For example, in the past PersonaPaper, Writedges and Bubblews paid the amount of earning to me but minus the Paypal fees. Since I had stopped writing for those sites and most of them are closed now, I am earning at Forumcoin, Hubpages and Postloop that paid the EXACT amount of money that I had earned, without any Paypal deduction. So, you should look out for the sites that don't deduct your earnings at Paypal. Ask around at the forum sites.
Wow, you even suggested some other sites to get profit, thank you so much
LOL, you are welcome ! Share more information , everyone becomes happy! Do try those sites. If you want to join in, do PM me.
Yes, Postloop really pays us the exact amount we withdraw . That's so nice. How come the others have a deduction when it could be like that of Postloop's credit to our accounts.
I cannot figure out either. Blogjob and Literacybase paid the exact amount too but now they aren't paying anymore. I stay focus on Postloop now because it is very secure.
MyLot too pays the exact amount.
Do you know that someone from that site warned me that Postloop has died and just resurrected. so she warned me about this site that might again closed. But , i followed my intuition and still made the trial posts and now I am here and been paid for more than 4 times already.
Though, I got so disappointed with the Healt Talks.
Well, there are no guarantees in today's online market. We have to act fast and be alert when reading terms and conditions so that we are aware of existing PayPal fees.
Yes, we should always read the terms and conditions first before agreeing to it. Not all sites have the same terms and conditions at all times, so we have to be very discerning after we have read them.
Better safe that sorry.
Yes, reading terms and conditions is vital. We need to keep a copy of the agreement in case there are any disputes. You never know if they just edit out some clauses or anything.
Oh, you are so right there. We should have a copy of it indeed because they can just edit and revise it without us knowing about it anymore.
Though, with PayPal , I am a satisfied user.
Yes, I am satisfied with PayPal too. It is great and I usually prefer this as my main online payment processor.
I don't believe that it's totally avoidable. However, if you would wish to avoid the fees you would have to be paid from a site that absorbs the fees and does not pass it on to you. You would have to check out the policy of the site as it relates to payments to be able to decide if you want to continue with the site's activity or not.
Exactly, some sites like ForumCoins and Postloop do exactly that.
I haven't encountered any Paypal fees that can be considered expensive or large though. I see it as fair because Paypal provides security for users. They are very responsive when it comes to customer complaints and issues, especially when people have been scammed and the transaction is through Paypal. I have seen cases Paypal compensating for the scam victims. I have nothing against the Paypal fees and only see it as fair, since they provide excellent service.
I think you are right, i never paid a thing to Paypal, so i guess it's fair they charge a small fee.
i also once got a problem in PayPal but it was solved over a short period of time by them. They are so helpful and i trust them .
Yes, i also had some trouble in the past and they were very quick resolving it. Something to do with my credit card.
You can't avoid paypal fees. They take those fees even if you manage to post the personal payment. They are going to charge you for the currency conversion payment. And they have that fee at much higher rate. You may have to spend more money on that point in that case. I'd recommend using the bitcoin in that case. As it has better rates. You'd not have to use paypal for this.
When Bubblews pays via PayPal before, there is a certain percentage (though only minimal) that is being taken from the remitted amount.
But what is permanent is the 50 pesos fee or $1, that is deducted from the converted dollar to peso. So, to avoid that, I only withdraw when I already have a big amount in PayPal. That way, only $1 is charged from me from the big amount.
Hum so imagining you have $11 to redeem and then you get $10 clean dollars, and the extra dollar is to pay Paypal fees. Sounds like an interesting idea
Tell me something, do you know more websites like Bubblews? I noticed the site shut down...
Thank you for the reply!
Only Postloop, other than myLot. I love postloop because of the different forums we can join. Though most have high standards.
That feature was echeque. And the cut there was low. Though paypal in such case made money through currency conversion. So it can be that bad in some cases. I have found that currency conversion is very high rate for the India. For example, 1 USD = 61 INR but in reality the fee is lot higher in that case for the other cases.
It actually depends on the website. I guess you have to choose websites which actually pay what you earn. I also noticed that withdrawal from PayPal to bank account also incurs charges so you need to accrue a large amount to withdraw to avoid transaction fees. This varies from country to country.
Yes, that is true. That is why , i let the money stays at Paypal so it will accumulate to bigger amount. That way the $1 is only one time.
Yes, correct. This is the best way to move the money. However, it depends on the person's needs. Freelancing is a side income for me so I am fine with moving the money a bit later.
Yes, it varies from country to country, also from company site to company site. I just have to make sure about the deductions previously to doing the redeem.
Yes, it definitely varies depending on the organization you deal with. My advice is to pick well and be sure before working with these organizations.
I haven't been paid any PayPal transaction fees yet, myself, luckily. I guess this is different depending upon the country you live in or the individual transactions from different companies? I am going to go back into PayPal and read the "fine print" so to speak to see what's up with this. I was unaware of these charges until this post.
Yes, I also think it has much to do about the country, not just the company involved. Thank you for your opinion
I recommend reading this article: Https://alexisgrant.com/2014/12/05/avoid-high-paypal-fees/#
I hope you find the answer to your question.
wow thank you for the suggestion! really nice article!
The comments on this topic are quite revealing and insightful.i think the charges mostly comes from the freelancing sites, paypal could take some fractions but the bulk is taken by sites owners.
the best you could do in this case is to contact the site's owners and ask for leniency when they need to do some deductions.
I agree with you, people here in SEO Clerks know exactly what i was wanting for an answer And yes, that's a good idea, i will eventually do that if i try to engage in another business.
I don't think that we can control this from our side. It all depends on the site paying us. Some of the sites impose no fees whereas there are some which make the users bear the transaction fees.
I work on two forum site. I pay no fees for Postloop but I pay some transaction fees for every withdrawal from The Forum Wheel. The percentage of fees reduces as the amount increases so I always prefer to withdraw no less than 10 dollars each time.
There are sites like Picoworkers where one can withdraw money or after we have the minimum payout amount plus 0.3% PayPal transaction fees. So it hard to understand the mechanism behind it.
Yes, it's hard indeed. Maybe it's just to let Paypal have its fee.
We can not control fees .
Yeah, unfortunately we can't. But it is just for the Paypal company
Unfortunately if a site pays you and doesn't include the option "For Friends & Family" you're going to have to eat up the fees, which is a really bad trade-off. Many companies that make payments have found a way of giving you the full amount though, so be on the lookout for those.
I was in another community and the owner told the person, that he always pays the amount requested. He has nothing to do with fees that get taken out. That's on PayPal's end and it seems as though – although I'm not certain - it depends on the country you're in. I'm no expert on PayPal but I have had an account for a long time. I'm in the USA, and very seldom do they charge fees for my transactions. I usually always get the full amount.
On a related note: Bubblews no longer exists. Persona Paper and BlogJob no longer pay, and there is a huge question about what happened to Literacy Base.
You can use services such as https://transferwise.com/ (no affiliate link) if supported in your country. fees are very low compared to paypal and it works awesome.
Use a personal PayPal account for occasional payments: If you’re only receiving occasional funds via PayPal, the personal account might be the way to go. Fees aren’t deducted from personal payments.
You are right
Paypal fnf or gift payments is always a best way to avoid huge service fee.
crypto coins its the future. Soon all fees will be down ;-)
PayPal fees are inevitable. I read that the person sending money can choose to pay whole or part of the PayPal fees and that is why sometimes you receive the full amount. Sometimes they will pay and choose not to pay fees and that is why you as the receiver of the money will find that some money has been deducted for fees.
PayPal is a business like any other, but I don't like it when companies who utilize them for payment, send their fees onto the consumer. It is not fair and is a problem when it comes to paying people. Prolific Academic for instance, charges their PP fees onto their participants.
I agree paypal is a business. They need to make money,so that they can continue to provide fast and excellent service. How will they pay their employees? How will they hire their offices? There is no free lunch. When you work online also factor in paypal fees when you are calculating how much money you will make. Look at it like running a business, you need to factor costs into your profits. Sometimes you factor in bank fees.
When I would send money to a relative or friend via Paypal, I click on the send money to family instead of sending money as payment. That payment type of remittance involves a fee and Paypal is clear on that. I regularly send money to my relatives using Paypal and I had never been charged of a fee because I click on that button for the family instead of for payment to a seller.