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Gareth_Gillman says

When using PP, you should be offered the option to pay the fee for the transfer or let the receiptant pay it.

I hate PP with a vengeance but they have made paying someone so easy, sending money across the world has never been simpler and I can add send to my bank account or spend my income on my expenditures.

PP is a pain in the backside but it’s also a great tool.

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PixelBin says

They are cheeky bast* – and I would really love to boycott them. Unfortunately too many people are using it and too many of my clients which makes this all kinda su.

@themesector I thought of that as well but I have read about a (EU-) Law which prohibits that sellers ADD the fee to the endprice for clients. So I’m not quite sure if I could make it that obviously without getting in troubles. :( I need probably to simply add that to the endprice without the client having to know that he also pays that fee I guess. Maybe I’ll try that, but thanks for your information

@chapterthemes if you’re talking about “a couple of bucks” I needed to laugh :D Actually I never ever had to pay more fees for a single transaction. I guess even the mafia doesn’t earn that much on a transaction hahaha

I also thought about a SWIFT Transfer but haven’t enough experience on that. How much fees do I have to pay to my bank, how much my client have to pay to his/her bank?...I’ll get I should get in touch with my bank to find this out.

Thanks anyway for all of your suggestions. I truly appreceate them all :)

There is a way to pin the fee on one party or the other. I’m not sure which is which but I know that one of the following does it (so look on their website). There is two ways to send money. One for goods/services and the other is a simple transfer or gift (or something along the lines of these). For one of them, you cover the fee before you send the amount (so if you send $50, you’re actually using up $52.10 and end user receives $50) or you can just send $50 and the end-user receives only $47.90 of it. As a freelancer waiting for money, there is no way to “force” the client or PayPal to do one or the other—you have to instruct them to do so or simply add on the 4.2% fee onto your quote as a service charge.

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infuse01 says

When using PP, you should be offered the option to pay the fee for the transfer or let the receiptant pay it.

I hate PP with a vengeance but they have made paying someone so easy, sending money across the world has never been simpler and I can add send to my bank account or spend my income on my expenditures.

PP is a pain in the backside but it’s also a great tool.

You actually made a great point, and that is why it is more of hate-love which I have with PP. The base idea which PP offers is indeed great. Sending money all over the world in real-time is of course not bad, but there is somehow a border which should never be crossed. Paypal crossed it – they have a bank license but they don’t actually act like a bank. The freeze your money (never happend to me tough) and you don’t get any interest rate on your savings. And last but no least their fees are simply way to much, for my taste.

@Pixelbin Yeah I was also thinking that is something to do with that options. But couldn’t really figure out which one it is. Guess I have to play around a bit to make sure it is either one of those options :D

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hexahedron says

Envato most probably uses PayPal Mass Pay feature for [most] authors. The feature allows the sender to cover the fee, which is lower than 0.30 USD + 3.9% that PayPal would charge recipients for ordinary transfer. I can’t recall the exact fee structure but it used to be 2% or $1 USD whichever is lower (for US to US) and 2% or $20 USD (maximum) for US to other countries (note: not all countries are supported).

@PixelBin The “gift” or “personal” payment is a different thing all together – neither the sender or recipient pay any fee. As the name suggests, you’re not supposed to use this payment type for business transaction.


@themesector I thought of that as well but I have read about a (EU-) Law which prohibits that sellers ADD the fee to the endprice for clients. So I’m not quite sure if I could make it that obviously without getting in troubles. :( I need probably to simply add that to the endprice without the client having to know that he also pays that fee I guess. Maybe I’ll try that, but thanks for your information

It’s against PayPal terms of service to impose any surcharge for accepting PayPal (here 4.6).


PS: Fees are ok, but I guess you all agree with me that sometimes in some cases the fees are simply to much eg 40€ from a 800€ payment?

It isn’t, especially when you have no other choice. And no, “other payment processors” only count if you have clients who primarily pay via credit card, not PayPal funds. I’d just consider the high fee as part of the business operating cost and move on.

By the way, if your client could enquire his bank about outward SWIFT charges and similarly you enquire your bank about inward SWIFT charges – I can bet the total cost won’t be more than 50 USD, on top of that you’d get better currency conversion rate than PayPal.

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