Holding USD - In NZ

[Fan-Topia]

Hi there all!

I have searched, but can't seem to find the answer for this.

I am creating a start up here in NZ, it will accept payments from all over using CC's and subscriptions - all will be charged in USD. My question is, can I hold all these funds coming in, in USD, and not trigger the currency conversion until I withdraw the funds to my bank account? These funds will also be used to pay creators, but again, they will be paid in USD.

Further to this, does charging everyone their subscription (on their credit card) only incur the 4.4%+fixed fee? Or does it invoke the additional $6.99NZD due to them being in other countries, and me in NZ?

Hopefully this makes sense!

Thanks for your help in advance.

[sharpiemarker]

@Fan-Topia 

Greetings.

Open a USD currency balance on the Wallet page and selecting PayPal Balance. Click + Add a Currency.

Would be a good idea to go through your Seller settings too: 

Account Settings > Seller Tools 

When selling, PayPal charges a domestic rate and cross-border (int) rate , not according to customer's funding source type (ie bank accounts/cards).

Please review the fees chart below again carefully. You're getting the fees for selling and sending/requesting personal payments mixed up (the personal payment fees do not apply to selling):

https://www.paypal.com/nz/webapps/mpp/paypal-fees

[Fan-Topia]

Thanks for your reply.

For clarification, it would charge 4.4%+fixed fee for credit card transactions (outside NZ) as me being the "seller" correct?

And then to pay someone internationally, to their PayPal account, that would incur the $6.99NZ fee, correct?

So there wouldn't be any currency conversion fee through this, seeing I handle and store all money in USD (charge, hold and pay), correct?

[sharpiemarker · Accepted solution]

@Fan-Topia 

Yes, $6.99 NZD is only for send and receiving intl personal payments, not for commercial/sales payments.

It doesn't matter how the customer pays: credit/debit card or bank account, its 4.4% + fixed fee for intl commercial payments.

Yes, if you have a US dollar currency balance, USD received will go into USD balance. In order to request and send in USD, change your "primary currency" to USD.

How do I select a currency for my primary balance?

If you have other currencies and want to send and request in those currencies including your original home currency NZD, you can switch your primary currency:

How do I change my primary currency?

[Barrycon]

I want add USA bank account.