Is the PayPal Fee Structure a scam or deceit or worse?

[missjenec]

I thought I'd share with you my conversation with PayPal today.  I happened to be calling them on an unrelated matter when I asked about their fee structure.  My daughter had read somewhere that they have discounts based on volume, but I couldn't easily find it in the PayPal website.  The young man referred me to a far-back page in the website which suggested that in the last two years we've paid almost $20,000 more in fees than was required.  However, because we had never asked about fees before, we were not eligible for the reduced rate and no reimbursements would be made.  He said it was our responsibility, to 'find' this information on our own!  He did volunteer that since we had a "Dedicated Account Manager", it might have been her responsibility to inform us, and therefore that might give us grounds for a claim.

When I later spoke to my "dedicated" account manager, she said ... 

• I’m sorry this is the first you are hearing of the possibility of different pricing for your account.  ...When reviewing an account, I would not know that you are dissatisfied with your pricing unless you raise that concern to me.  ...As a dedicated account manager, my ability to help you starts and ends with your willingness to communicate with me and communicate regarding your business.  I will be happy to discuss this situation with you at your convenience.

Doesn't this sound like so much BS???!!!  She made it sound as if I wanted to be charged more for fees.  She made it sound like I should have know the fees were negotiable all along and should have complained.  The fact that I do more than $1million in PayPal business never suggested to this 'dedicated' account representative that maybe I should be alerted to the discounted fee structure?

[kernowlass]

No different than a bank manager not telling you that if you transfer money to another fund you would make more money.

When you start to sell you only have to click on "Fees" bottom of paypals website and its all on that front page for you. Have had to link the UK one but its the same place for the one in your country >>>>

Selling with PayPal.

We help process payments for millions of customers worldwide. Our seller fees are simple and transparent : PayPal charges UK sellers a fee of between 1.4% and 3.4% of the total sale plus 20p per transaction within the UK. The fee depends on how much you sell, so the more you sell, the less you pay.

Standard transaction fee within the UK :Discounted fee for eligible merchants and not-for-profit organisations (upon application and approval) :Micropayments within the UK (upon application and approval) :PayPal Heretm (upon application and approval) :International sales :

3.4% + 20p per transaction.

As low as 1.4% + 20p per transaction based on volume.

5% + 5p per transaction.

2.75% for payments using Chip and PIN cards and PayPal check-in. 3.4% + 20p for card payments made by swiping the magnetic strip or manually entering the card details. Other fees may apply. PayPal Business account fees apply to all other payments received.

Additional fees apply for currency conversion and cross-border payments.

[Jene]

It is different from a bank, where the different rates are posted in the window for different time frames, and I can elect to commit my money from day-by-day to two years based on my tolerance for commitment.   In this case, PayPal does not 'post in the window'.  There is really nothing elective about these rates.  PayPal offers different rates based simply on the volume of business.  If I do $100,000 worth of business in a month, why should I have to ask PayPal to charge me less --- why don't they do it automatically.  And why if I've done more than $100,000 per month for the last two years, haven't they applied a discounted rate?  If they assign a 'dedicated' account manager don't they understand that most of us would think that person in some small way is looking out for our interests?

[kernowlass]

Well it is posted in the window or as near as they can get to it.............all you have to do is click on the word "fees" bottom of EVERY paypal page, and its right there telling you the rate PER VOLUME.

Maybe ask for a rebate from your account manager as a "goodwill gesture" based on the amount of business you bring them??

If you don't ask you don't get in this world.

[Jene]

THIS IS THE SERVICE WE'VE HAD WITH PAYPAL FOR TWO YEARS; WHERE DOES IT SAY THAT I HAVE TO DO SOMETHING TO HAVE THIS BE EFFECTIVE?

Accept Credit Cards + PayPal on your website.

Build a payment processing solution as unique as your business, at the scale of your business.

PayPal Payments Standard & Express Checkout

• No startup costs, no termination fee, no monthly fees
• Accept PayPal payments with Express Checkout
• Accept PayPal payments and all major credit cards with PayPal Payments Standard

PayPal Payments Pro

• No startup costs, no termination fee
• $30 monthly fee
• You provide customers with a fully customized checkout experience right on your site
• Includes Virtual Terminal to allow you to accept payments over the phone

$0 to $3,000 monthly 2.9% + $0.30 per transaction

$3,000 to $10,000 monthly 2.5% + $0.30 per transaction

$10,000 to $100,000 monthly 2.2% + $0.30 per transaction

$100,000+ Call: 1-855-787-1012

International Fees 2.9% transaction fee plus a 1% cross-border fee and/or 2.5% currency conversion. Virtual Terminal Prices slightly higher for these transactions.

View all discounts & fees

[Jene]

PayPal has agreed to reimburse me for the difference in fee rate structure for the last 5 months, amounting to $5800.

Hopefully anyone reading or finding this thread will find it helpful.

[kernowlass]

Did i not suggest you asked? 

Glad it's sorted. 

[SadCustomer]

>>Did i not suggest you asked? 

Technically, yes, you did.

However, most of your post was your usual snarky Paypal apologist **bleep**.

[Greg1959]

Why are we paying fees at all?

Banks waive fees for balances over X amount, and for savings accounts will charge fees for balances under a certain amount, or for withdrawls over a certain number of transactions per month. Banks never charge for deposits. Banks are Federaly insured. and offer interest as well.

PayPal offers what in exchange for the large money pool made up of all of their clients?

And now that they and ebay are one company, seems like they are "double dipping" in their monopoly of on-line sales.

I for one can no longer justify leaving any subsatntual money in my paypal account I'm withdrawing all but what is needed.