Are we paying too much?

[agent_dynamo]

Am I the only one looking atmy fees, and is concerned about the excange rates. Here's what I'm talking about:

When we list something and wind-up selling, Ebay's conversion fees are at about 12%

However, when you go on Paypal, the exchange rate is 10% (so when we want to cash-in our sales, we loose 2%). I mean, we already pay 1.9% in Paypal fees, we pay 0.50$ per withdraw, and we loose 2% du to the conversion rates.

Why is it that when we list something, Ebay charges us at a conversion ratio of 12%, but when we cash-in our money from Paypal our money is worth only 2%?

[lockotronic]

I live in Richmond,BC. I got no problem open up a account with Banner Bank in Point Roberts, no questions asked, just a thank you very much.

[alero0]

PayPal conversion fees are NOT astronomical, at 2.5% they are just slightly higher than what most banks charge
Although this is true we have to remember we're already paying service charges of 3.9% + .30 for each transaction($0-$3000) . I don't usually mind paying a little extra for better services but we're already paying for the service and not getting much EXTRA service. The only advantage to paypal is the fact that we get our payments instantly. The extra 1% (more or less) conversion fee that they charge is like being taxed on a tax.
In the small picture the 1% doesn't add up to much but looking at the big picture, if someone trades $20,000.yearly it adds up to $200. in charges. Many of us do that amount and some much more. If there are ways to save that money I think that it's fullish not to use them. As I said, as sellers if we were getting the extra service it wouldn't hurt as much but as we all know we're not (unless you're a buyer)
Harvey

[alero0]

foolish

[javax.swing]

The service charge is 2.9%+$0.30, not 3.9%.

If someone's trading that amount of cash a year so that the 1% is significant, they probably have the resources to setup a US based bank and work through that. You've got myriad choices down there, you just have to go do it once and love the fact you no longer have to store money in PayPal's greedy un-bonded system.

[ligori]

I'm using my own merchant account which allows me to deposit us funds directly to my us bank account. I had been using paypal for 4 years until I made that change just after the Holiday season.

[finells]

Hello,

I have made the switch and lsited in $Canadian. That way when they pay me through paypal they must pay in Canadian dollars. It has been fabulous and I don't have to take the hit on conversion. Try that and see if it helps.

After all why should we take the hit, let the US buyers convert their money to buy the item.

[weedsellit4u]

Hi,
I have been using a PayPal Credit Card and it works great. PayPal Pays you a percent and a half back on all purchases, anywhere. So what I do when I need to transfer money I walk up to the teller, not the ATM and get Cash up to $400.00 per day and PayPal pays you the percent and a half back. It kinda takes the bit out of their fees a bit.

[wsboyd]

"I walk up to the teller, not the ATM and get Cash up to $400.00 per day and PayPal pays you the percent and a half bac

What bank (teller) ? What do you tell them (teller)?

"Just transfer to my account please" or what ?


WSB

[weedsellit4u]

WSB-
I get cash from the teller not the ATM machine at the bank. If you use an ATM machine they will not credit you the percent and a Half back. But if you walk up to the teller present your PayPal credit card and ask for cash PayPal will pay you the percent and a half. YOu can take up to $400.00 per day out like this and get the percent and a half back.

[phoebescollectables]

Just to clarify. Do you get $400 in Canadian or US funds?

[scouttech-outfitters]

All I did was open a free bank account in Buffalo and a US Account with TD ($4 a month). I wasnt lucky enough to get a TD Waterhouse Account when they were available 😞

I transfer PayPal money to my US Bank, and whenever I need the funds I write myself a US Cheque. It took a couple of months for them to see that my cheques were good (holding period of 20 days at 1st) but now they cash my cheques immediatly. Whenever the exchange is most favourable I convert, or I use it to buy products from US Suppliers in USD.

[scouttech-outfitters]

Also my bank CC fees for my website are 2.9% and for in person retail transactions are 3.4% so PayPals rates arent bad at all.

[north-americanwaterway]

eBay and PayPals difference in exchange rates are not any different than any financial institution. If you go to a bank and buy US funds you will pay one exchange rate but if you try to sell it back to the bank the same day they will pay you a lesser exchange rate than they sold it to you for. It really sucks but it is a fact of life when dealing in US/CDN funds. It is just another way for financial institutions to make money on top of the normal fees they charge.

[eserafini]

Does anyone have a merchant account where you can receive, keep $$ IN US$ and deposit in a US$ account in Canada or the US$? I don't want to have it converted in CA$... Elaine
TimelessClassicElegance

[whoscloset]

You can not transfer funds from PayPal to Canada in US$ regardless of your bank account. If you want to transfer it in US$ you must have a bank account that is physically located in the U.S.
Monique

[recped]

Does anyone have a merchant account where you can receive, keep $$ IN US$ and deposit in a US$ account in Canada or the US$? I don't want to have it converted in CA$...

I don't but I know that some Canadian merchant accounts do have this ability. You could check with your payment processor but don't do it unless they already know you are selling online. Asking about processing in US Dollars will tip them off (if they don't currently know) and this could affect your discount rate (and not in a good way).
"What else could I do? I had no trade so I became a peddler" - Lazarus Greenberg 1915