Hi,
I Have a business Paypal account. We time to time receive payments in Euros from clients, and although our company is located in Bulgaria (EU) our bank account is in Euros (which is not the official currency here).
My issue is as follows :
When a French client sends 100€ to us, Paypal takes about 3.75€ as fees.
When I then withdraw money from Paypal to our bank account (via bank card), Paypal forces a conversion rate from Euros to Leva (the official currency here), no matter the fact our bank is in Euros. The official rate is 1€ = 1.96 Leva, Paypal forced conversion rate is 1€ = 1.90Leva. I won't comment that rate to remain polite. In our case, that makes 182.88 Leva.
A withdrawal fee of 3.50Leva is then applied. Remains 179.38 Leva.
Then the money arrives (when we're lucky enough and they don't decide to block the transfer to manually review it) and our bank converts it from Leva to Euros again (for our bank account is in Euros). The bank rate (in that direction) is € = 1.965. Now we have 91.28 Euros left.
In total, that is 8.72€ fees (lost). That is almost 9%... For a transfer of 100€, it may sound OK, but when we get such cheap payments, it's usually for quick services with a low profit. 9% is a nice of that profit.
Let's do it again for a higher amount, let's say 1000€.
1000-34.35 (Paypal fees) = 965.65€ = 1834.73 Leva (as per Paypal rate)
1834.73 - 3.5 (withdrawal fees) = 1831.23Leva = 931.93 Euros (as per our bank rate)
Total cost = 68.07€ There are many things I'd rather do with that money.
Now, I wish I didn't have to use Paypal for my feelings for that company are quite reserved. Thing is, sometimes, we don't stand a choice and have to go with the client's method of payment, otherwise, I would so gladly avoid Paypal.
My questions :
- is it possible to, and if yes, how do I change the currency associated to my bank cards ? I've read multiple threads about some mysterious "Pre approved payment" tab, which I finally found, but didn't make a difference for the withdrawal. I've also read here and there that a call to their customer service could help, is that true ? If so, then why not have it as an option, except if it's on purpose (but I wouldn't imagine such practices for a good reputable company as Paypal)
- how should I proceed if my bank statements won't show the code for the bank account validation ?
- are there other people in the same situation ? how did you fix it ? I mean Paypal wise. I know many of the available alternatives out there, but I need to think that Paypal is not a complete crook and has solutions for our situation.
