Whether sending money online to recipients or making worldwide purchases, without a question PayPal is the most popular middleman service to handle your funds. There are over 160 million active user accounts and the base of satisfied clients is constantly growing. Though PayPal has officially split from eBay, it still remains the number one choice for processing payments. Its ease of use and great customer service make it a top choice for anyone and everyone handling transactions online.
How PayPal Works
What makes PayPal so easy to use is that all you need is someone’s email address in order to send them funds. As PayPal is the financial broker, you at no point in time see financial information that belongs to someone else. Your credit card and bank account information is under lock and key.
PayPal is also serious about making sure that all transactions are secure and they take many steps to secure financial data. They hold funds in escrow until they can be safely transferred to the other user. Most importantly, PayPal doesn’t take sides unless a dispute is involved, in which case, both parties have ample time to provide information about the issue. The fact all financial and identifying information is cloaked, many people place their trust in PayPal to send money to complete strangers worldwide.
What Are The Requirements To Join?
There aren’t any special actions that you have to take in order to become a PayPal member. In fact, a valid address, email address, and bank account/credit card info are all that’s needed to join. These rules are in place for everyone, so you can rest assured that no sides are taken by the company.
How PayPal Makes Money
As PayPal is a financial broker, they take a small percentage of the funds that are sent to you. This only happens if you’re the recipient of the funds. However, if you’re the shopper sending out money, you have no fees or hidden costs to worry about. The funds PayPal uses are either available in your PayPal balance or the company uses your bank account and your credit card to transfer the money. The most PayPal charges to receive your funds is 2.9% which is highly competitive pricing.
Is PayPal Secure?
There’s no perfect place on earth that can safeguard your personal information, but PayPal does a very good job at keeping fraud to the minimum. Many verifications and fraud prevention checks are in place to ensure your personal data is safe.
When becoming a PayPal member, the company guarantees you 100% protection against illegal charges made from your account. Even if a product isn’t received or not as described, PayPal has many team members that can help you file a dispute against the offender.
When mentioning online financial brokers, PayPal is among the top brand names. It’s a company that has a track record of excellence and is able to protect your financial information effectively. Fraud is minimal and the fees to receive funds are reasonable in comparison to other financial institutions.