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Monday, February 13, 2012

How To Send Money Online

Recently I created account on PayPal and tested next two features:

  • sending money online

  • create and use buy now button

In this article I will briefly explained how sending money and buy now button works, how much does it cost (fees) and who is paying fees.

Send money online with PayPal

To send money with PayPal first you need to login on PayPal service. Of course if you are not registered on PayPal then you should Sign Up first.

Choose Send Payment tab.

Choose Send Payment tab on PayPal service page

In next step you need to:
  • 1. Type Email of recipient

  • 2. Enter Amount of money you want to send and currency

  • 3. Choose whether your online sending money is Online purchase or Personal payments and check exactly purpose. For Online purchases it can be: Goods, Services or eBay items. For Personal payments it can be: Shared expenses, Payment owed, Rental charges or Others.
Send money with PayPal. Enter email, amount and purpose.

How much does it cost to send money online with PayPal

When you use a credit or debit card, you will be charged with 2.9% of the total amount sent plus $0.30 USD per transaction.

I make a test and try to send payment of $1 to PayPal account in same country and was charged with $0.33.

$0.30 USD per transaction
$0.03 USD as 3.1% of total amount
Total: $0.33 USD fee

Create and place Buy Now button on your site

With PayPal you can easily create Buy Now button. From PayPal site you can generate HTML code for Buy Now button, place this button on your site and start to sell to your visitors. You can sell material goods and send them using standard delivery or sell services and digital goods (e-books for example).

To find out how to make Buy Now button visit How to sell an ebook with paypal.

How much does it cost to sell items with PayPal Buy now button

For a testing purpose I make one Buy now button and put a price of $1 USD. My friend was making a purchase for $1 USD. He (buyer) doesn't need to pay any fee.
In this example seller received $0.67 USD
Fee is $0.30 USD per transaction
plus $0.03 USD as 3.1% of total amount.

1 comment:

ryan dsouza said...
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