Things You'll Need:
- Paypal Account
- Internet Connection
- Time
-
Step 1
If more than $3,000 a month is processed through your Paypal account, you are eligible to apply for a lower fee rate, called the Merchant Rate. Paypal users must apply for this rate, it is not automatically offered to you.
-
Step 2
To apply for the lower rate, visit this link:
https://www.paypal.com/us/cgi-bin/webscr?cmd=_fees-rate-about-outside
You will need to sign into your account and complete the information. If you qualify, you will receive the merchant rate based on your account activity. The merchant rates are tiered based on how much money flows into your account each month. -
Step 3
Another way to save is to get the Paypal Debit Card. You can receive 1% back as a credit on your Paypal account when you use the debit card as a credit card.
-
Step 4
Some payment terminals will recognize your Paypal Debit Card as a credit card. Not all terminals will give you a choice, but if they do, choose credit instead of debit.
-
Step 5
When you use your Paypal Debit Card as a credit card at checkout, and actually sign your name for a purchase rather than entering your PIN, you get 1% cash back. A debit will still show on your Paypal account, even though the payment terminal recognizes the card as a credit card.
-
Step 6
1% may not seem like much. But, if you start using your Paypal Debit Card for as many purchases as possible, the cash back can really add up. My monthly cash back credits total over $100. You can use your Paypal Debit Card in these situations:
Pay your eBay fees (enter the Paypal Debit Card number as a credit card instead of having fees directly debited from your Paypal account.)
Postage fees, either online or at the post office
eBay inventory
Gas, groceries, daily expenses
Utility bills paid with a credit card
Membership dues (health club, homeowner's association, etc.)
Doctor visits, prescriptions
Dining out, going to the movies, entertainment
Vacations
Comments
kskaggs said
on 1/29/2009 Thanks!
ermabombeck said
on 1/6/2009 Thanks for the information.
Stevew8975 said
on 11/2/2008 Don't forget there is also the Paypal micro-account which works out cheaper on low value transactions - under $15-ish.
https://micropayments.paypal-labs.com/
Click the Sign Up link, select your country, and log in to your Paypal account from the page. You will be asked to confirm your decision, and it will take a few days to process.
Once accepted, ensure that all your low value BIN listings are directed to the Micro account to make the most of the savings.
Stevew8975 said
on 11/2/2008 Don't forget that Paypal Micropayments works out cheaper on transactions under $15 ish - https://micropayments.paypal-labs.com/
Click the Sign Up link, select your country, and log in to your Paypal account from the page. You will be asked to confirm your decision, and it will take a few days to process.
Once accepted, ensure that all your low value BIN listings are directed to the Micro account to make the most of the savings.
AbbyNormal said
on 10/16/2008 Good, informative article. I used to use my PayPal card to pay my rent when I lived in a place that accepted credit cards! I transferred money from my bank account to do this. You can earn dividends on your PayPal account too! It is like a money market account!