How to not pay Paypal fees

How to get around Paypal charges

Paypal was founded in December 1998 in San Jose. It's involved in the money transfer business and serves as an online alternative to the old method using paper for money orders or checks.

Their main means of income is charging customers fees for transactions. While sending money is and was always free in private and business Paypal accounts, charges apply when receiving money. At the start Paypal acquired EBay, and most of the income came from people paying auctions, because this business model deemed to be very attractive for vendors and customers alike, because many could not directly deal with credit cards or forms of local payment methods and currencies varying in different countries.

Receiving money without paying fees with Paypal

Paypal charges private and business customers for receiving payments only alike, with fees being higher in some cases and circumstances for business customers. They claim that one reason is the calculation of the exchange rates to apply when money to be sent needs to be converted from one currency to another. Here lays the opportunity to bypass Paypal charges. When you login to your account and want to send money to somebody in a country using a different currency than yours, set your (outgoing) currency to the of the recipient. Now you have to do the calculation yourself. Also tick the box that your intention is to send money to a friend or relative. Applying the same currency and checking the box that the recipient is a friend should make Paypal waive the fees.