PayPal Charges ?

[kola]

I'm new to using PayPal.
I've recently purchased a few things and the people (sellers) asked me to pay as "friends" so they would not get charged anything extra. I did that on two occasions and was charged an additional $1.30 per transaction. i didn't know why I was charged the extra fee and what it was for. i thought maybe the first time was a one time fee but when it happened the second time I wondered whats up.
I contacted PayPal and they informed that if I had paid without clicking on the "friend" selection I would be charged nothing but what the seller was asking for. In turn, the seller would be charged 30 cents.
Is this correct? And if so, do sellers know this ? Yet still ask for the payment as "Personal' to avoid losing 30 cents? I lose $1.30 (or $1.20).

 

[warren]

If I were a vendor I'd want to save wherever I could. So, I understand it. I've never used "PayPal". Credit cards I understand the contracts and the safeguards. "PayPal"? Not a clue.

 

[ben88]

@kola
F&F PP is free, but there are 2 conditions:

1) Using PP balance.

2) Transfer has to be within you country and in the same currency.

 

[sasquatch]

Most important: if you buy merchandise and pay "friends and family" you have NO recourse through paypal if the seller screws you in any way. If you select that you are purchasing something, you are protected as a buyer and paypal will forcibly refund if there's a problem. So, some sellers like FnF because it is more money in their pocket, but it also absolves them of any responsibility.

 

[woodsroad]

What Sasquatch said. Only use Friends and Family if the seller truly is a friend or family. Even then, caveat emptor.

 

[kola]

I didnt know by doing the F&F that I would be charged $1.30. I guess it ain't a big deal if it truely is "friends or family", but it really wasnt "friends or family"...nor was it a vendor. And yeah it things go sour and I do F&F, I just effed' myself, lol, sotospeak.

 

[daveinlax]

I use PayPal Friends and Family at shows but online I'll just add a few bucks to a "cash" deal so I can be covered by the Goods and Services protection. 8O

 

[philobeddoe]

I just add the 3% on myself and I consider it cheap insurance in case the transaction goes south.

 

[ssjones]

I pay via F&F all the time and have never rec'd an extra charge. As someone mentioned, are you outside the US? (generally F&F is not even an option when sending payment via different currencies/countries).
I also moved this out of the Buy/Sell/Trade section.

 

[jaytex1969]

The other matter is the form of payment you use to send funds.
Send from your checking account or from a PayPal balance and there is no fee.
Use a credit card and there is a fee on your end.

 

[balkisobrains]

^^^ That's probably why. Someone told me recently that if the sender isn't sending F&F out of their checking account, then Paypal charges the sender a fee anyway, instead of not charging anyone any fees.

 

[kola]

Man, now I'm confused. Yes both were in the the US and I am in CO. I used my checking account and the option for FF on PP was there for me to click on. Both times I was charged an extra $1.20

 

[balkisobrains]

It sounds like they are charging you a flat $1.30 every time you are using PPFF. Is that the case?

 

[kola]

It was $1.20 both times. I emailed PP to find out what's going on.

 

[skydog]

As others have said, paying with a credit card using F&F results in the fee. I've never been charged a fee when paying F&F with my checking account.

 

[balkisobrains]

Right, but he is saying that he used his checking account. The only thing I can think of, if he is sure that he sent PPFF, is if he selected an option other than "send money", and is catching some sort of charge that way.

 

[skydog]

Sorry I missed that he was using his checking account. The only thing I can think of then is if the checking account wasn't setup with the bank routing number but instead the debit card. That would result in a fee I believe.

 

[balkisobrains]

Yeah, maybe that is it. Would that set-up result in a flat fee? I'm not 100% sure, but it sounds like he is getting whacked with a flat fee of some sort, rather than a percentage.

 

[cigrmaster]

Those charges are most likely PP doing their checking account verifying thing they do with new accounts, the money gets returned. I would never do business with vendors who ask for ff, no way am I giving up my recourse.

 

[briarblues]

Nothing on Pay Pal is "free" when paying or accepting a payment. Either buyer or seller pays a fee, even if it gets transferred from the buyers Pay Pal account to the sellers. The only transaction that is " free" on Pay Pal is transferring funds from your Pay Pal account to your linked bank account.
If invoiced from a buyer, when you pay through normal channels, the buyer pays a fee to Pay Pal.
If you pay via F&F, you as the sender / buyer have the option to pay the fees from your end, or have the recipient pay the fees.
The fee rates vary if you are based in the US and sending to the US, OR if your based in the US and sending Internationally, OR based Internationally and sending to the US or Internationally.
Pay Pal gets their pound of flesh from one or the other.
Regards

Michael J. Glukler