How to Avoid Paypal Fees

Don't Pay Paypal Fees

Paypal is a website that makes it relatively easy to make online payments and receive money over the internet. A lot of times, though, those transactions come with Paypal fees attached. You can get around the fees, if you know how to set up your Pay Pal account. Read on for ways to keep more of your money and avoid Paypal fees.

Things You'll Need

• Pay Pal Account
• Linked Checking Account

Instructions

1. When you first establish a Pay Pal account it will automatically be set up as a personal account. Keep it this way! Do not upgrade to a premier or business account or you will incur fees for many PayPal deposits and credit card transactions. A personal account is perfect for people who are simply buying items on ebay or getting monthly deposits from a site like ehow.com.

2. 

   If you're a novice seller on Ebay don't accept debit or credit cards. Pay Pal will charge you almost 5% of the sale price plus thirty cents to receive a credit card payment. Instead, ask your buyers to do an instant Paypal transfer, issue you a Paypal echeck, or pay with the balance in their account. This way, it's free!

3. When making a withdrawal, transfer the money to a linked checking or savings account instead of requesting that Paypal issue you a check. For a check to be printed and mailed to you - you'll face a $1.50 Paypal fee.

4. 

   You can also draw off your paypal balance, for free, by opening a Paypal debit card. You can use it anywhere like a bank debit card. As soon as the money is in your paypal account, there's an available balance on your debit card.

Tips & Warnings

• If you're a big Ebay seller, or you want to accept credit cards to make it easier for buyers, open a separate Paypal account for other transactions. Limit your use, on that account, so you can avoid the majority of paypal fees. If you choose to open more than one account, be aware that you cannot link the same credit card or bank account to more than one Pay Pal account.