Lower Paypal Fees - Merchant Account

[niko_and_co]

This thread is for those who do NOT know about the Paypal merchant rate. If you already have it, you don't need to read any further. I have tried to be as accurate as possible, but if I made any errors, I'm sure someone will quickly point them out.

I found a thread on .com about merchant rates for paypal. the requirements are as follows

* paypal member for 90 days or more
* at least $3000US in sales in the last 90 days
* OR have been offered a competitive rate elsewhere
* or be a long standing, high volume seller


for more details
https://www.paypal.com/row/cgi-bin/webscr?cmd=_fees-rate-about

The catch is that it is NOT done automatically when you reach those goals, you are not even notified of the option as far I know. You must request the merchant rate by

* loggin in
* click on fees at bottom of page
* click on link next to the words "receiving money"
* click on the link "Merchant Rate"
* click on apply for merchant rate



You must maintain $1000US in sales per month or you will go back to the standard rate.

Hope this helps some to cope with fees.

[niko_and_co]

For an update

http://forums.ebay.ca/thread.jsp?forum=7&thread=300009045&modified=1090761725576

[zarzuella]

That information is out-of-date.

Canadian sellers will now need to process over Cdn$ 12,000.01 monthly in PayPal transactions to maintain the 2.20% "merchant account" rate (instead of the US$1,000.00 you quoted).

The Paypal site has the relevant information.

[vesivus]

Those darn guys.

[niko_and_co]

Actually its as of Aug 6th so you can still save for two weeks even if you don't sell $12K, and if you sell over $3K a month, you will still get a better rate than standard after that date.

[shooger]

Yes, if you accept between $3000 and $12000 every month consistantly, your PayPal rate will only go up to 2.5% (and 3.5% outside North America). Previously, you had to accept $1000 to get a 2.2% rate.

So, you need to accept at least three times as much money in order to get a worse rate.

Definitely par for the course these days.

[mahsauction]

Are these fee changes just for Canadian sellers or do they apply to all Paypal sellers including US sellers?

[auctiondropnship]

If you have had an account with paypal for over a year . These rates do not go into effect till 2005

[shooger]

"If you have had an account with paypal for over a year . These rates do not go into effect till 2005"

That's incorrect and incomplete information, but the correct and complete information is contained above, so we're all good.

[auctiondropnship]

Canadian accounts that are already receiving the current merchant rate as of June 15, 2004 will (through August 6, 2005) be charged no more than 2.2% plus the fixed fee for transactions with Canadian and U.S. buyers

[twowheelsalvage]

If you have a merchant account with a lower rate contact them. I'm going to on Monday and see what I can work out.