One of the main obstacles that we still face on the Internet is paying and receiving money. Many believe that shopping online is not safe.
Thanks to systems such as PayPal, a platform owned by the American company PayPal Holdings Inc., the international panorama in the field of electronic commerce has taken a radical turn.
We will see in this article what its operation is and how to create a PayPal account to receive or make payments.
What is PayPal and how does it work?
PayPal provides an easy and quick way to send and request money online. You can transfer money (abroad) to family, friends, online shops, and auction sites and facilitate business transactions with its users from anywhere in the world.
The main reason why we inspire such confidence in buyers and sellers is, without further ado, the intermediary position held between banks and businesses that make their online sales. In other words; It is not a bank.
We can register for free and make an account with PayPal:
- Staff to buy and send payments.
- Business to sell and receive payments.
Broadly speaking, its operation is similar to that of a current account (with some differences) that safeguards our information thanks to advanced encryption systems. This is how it is defined in the PayPal website itself:
Benefits of opening a PayPal account
Regarding the protection of our information, this platform gives us excellent guarantees, as it has security and fraud prevention systems, in addition to exhaustive policies for both the buyer and the seller. Think that:
- Personal and financial data are encrypted in PayPal and are never sold to sellers.
- Purchases are fully protected thanks to the buyer protection program.
- Paypal monitors each transaction in real time to avoid frauds such as identity theft or phishing.
Also, if we decide to pay with PayPal we can:
- Open a totally free account (we’ll see how later).
- Associate a card to make instant payments without needing to have a balance in our PayPal account.
- Buy in a large number of websites and online stores, among which you will surely find your favorite brands.
- Perform transactions in different currencies, without any limitation when it comes to sending or receiving money internationally.
- Make free national transfers between users with a PayPal account, or international without banking fees (the seller supporting the PayPal commission).
- Request refunds if we do not receive the requested product or it does not meet the description given by the seller about it.
- Use One Touch to make safe and fast purchases without having to remember our user or complex passwords.
* Tip to recover the password: When accessing your PayPal account from the web, if you do not remember your password, select “Do you have problems to log in?” To select different recovery options (verification by email, phone, sms, question of security or by your card number).
Obviously, opening a free PayPal account has many benefits for consumers, but look at everything it offers also for businesses and companies:
- Tools, seller protection program and guide to integrating PayPal in your business so you know how to send invoices, as well as include buttons and shopping cart on your website.
- Options to receive payments on your website including the “Pay with PayPal” button or to receive them directly by email, as it offers several payment formats also for those who do not have a website.
- Personalized link with PayPal.me that you can share via mobile, email, chat or social networks to receive instant online payments.
- Automatic protection to the seller in the event that you receive an unauthorized payment or that one of your clients submits a claim so that the funds are temporarily withheld until your verification.
- Guide process for any problem by chargeback or request for refund of funds by the buyer.
How to open an account and pay with PayPal?
This is a relatively simple process since you create an account as an individual or business until you verify it. Let’s quickly see these steps to open a PayPal account:
- From the main page in “open account”, you can choose between creating a personal or business account (with tax ID or identity document) for free.
- You complete the registration process, being able to respond optionally in the case of individuals to questions about tastes and buying behaviors.
- Throughout the process of registering personal data, it will be vitally important that you accept the terms and conditions of PayPal’s policies.
- Finally, to activate and verify your account, you will have to link a credit or debit card to it.
How much does it cost to receive money and pay with PayPal?
The first thing you should know is that PayPal does not charge opening fees, nor for withdrawing money to your bank account, cancel your account or send money to friends and family who are within your own country.
If you are going to use your account to make purchases, your transactions will also be free of commissions, since it is on the seller in whom these costs fall.
If you are the one who receives the money for the sale of products or services, keep in mind that:
- You can only receive money without costs from friends and family that do not involve a currency conversion.
- For the sale of your products or services in your same currency or currency conversion, you must be aware of this applicable list of PayPal rates.
What do you think is the use of intermediary systems like PayPal to make payments and receive money for business operations? Do not leave without sharing your experience in the comments area