PayPal is dumb

[rodney2007_2007]

I got a USA account in Canada and they will not allow to take out of my US founds account I don,t get this. I have a Canada bank account for founds and they can take out of this? Please change ur policy. Thanks to allow people to work with US and Canada $

[pierrelebel]

"I don,t get this"

Why would you call PayPal "dumb" since they follow the rules of the Canadian Bankers Association?

Currently, the rules do not allow transfers of US dollars from a US institution (PayPal) to a US dollar denominated account held at a Canadian bank.  The rules have not changed since PayPal has been made available to Canadians twelve years ago.

Canadians have several options:

1) spend the US$ in PayPal by purchasing "stuff" payable in US$

2) transfer US$ to a bank account located at a bank in the USA avoiding conversion (like many Canadian sellers, I have done that for years)

3) convert your US$ into Cdn$ and transfer to your Cdn$ bank account in Canada. You can convert before transferring or let PayPal do it for you when you withdraw. Results are the same.  PayPal charges a competitive 2.5% conversion fee for most sellers, 1.5% for sellers with higher volume.

[tobyshitzu]

Royal is the only one that has some easy options in Canada.  Very simple to do a paypal US$ to a normal RBC Canada US$ account by simply changing the routing number. It wont work to fund paypal from that US$ account though.  If you want to send paypal US$ you'd need a RBC access usa account.  google will bring up piles of links.  You need to be moving a fair bit of money for it to save much. 

[tobyshitzu]

If you are just buying in $US and don't like paying a premium the easiest option is to get a mastercard from Chase (amzn or sears canada) as it has zero exchange rate premium and will save the 2.5% (that wont help you if you have $US you want to spend).  Though there is another recent thread where someone said paypal is stopping people from choosing who does the exchange now so look into that first.