Electronic commerce in the 21st century is becoming one of the most promising ways of settlement between the seller and the buyer. Evidence of this is at least the fact that only in Russia in 2013 the volume of the electronic money market exceeded 2 trillion rubles. If we compare this figure with 2012, we can see that the e-commerce market has grown by 23%. Based on these figures, it is easy to understand that electronic payment systems are gaining more and more popularity every year.
Let's consider one of the most widespread e-commerce systems in the world - PayPal.
The birth of the system
The history of PayPal dates back to March 2000, when it was invented (as a result of a merger) by several students, one of whom was an immigrant from the Soviet Union (Max Levchin). Immediately after the creation, the company began to serve electronic auctions, in particular, the world-famous eBay (in one month of existence, more than one million eBay auctions offered settlement with the PayPal payment system).
In 2002, the giant corporation eBay acquired PayPal, and from that moment on, 50% of purchases at auction occur through the latter.
For 2012 190 countriescould pay or trade using PayPal, in the arsenal of the system - 24 currencies around the world. The beginning of 2015 was the moment when eBay and PayPal split, and now they are two different corporations.
Register
So, PayPal. What it is and why it exists, we figured it out. To get started with PayPal, you need to go through the registration process. To start registration in the PayPal system, you need to go to the official website (it is the same for all countries, but for convenience, you can select the desired language on it), click on the "Register" button and in the next window select the "Personal account" tab, then click on the button "Continue".
After that, the browser is redirected to a page where you should specify the country of residence, e-mail, set a password to enter the system (it must consist of at least 8 characters, and it is better to enter both letters and numbers).
The next step in registration is to fill in personal information (first name, last name, date of birth, nationality, city, street, postal code, and phone number). All data should be entered correctly in order to avoid problems in the future, since the account (or PayPal wallet) will be opened exactly according to the specified data, which is then very difficult to change.
Account Activation
If all the fields are filled in correctly, you need to check the box "User Agreement", then click on the "I agree, create an account" button. Then you should check your mail and activate your account.entry by clicking on the link in the letter.
Adding a bank card
Let's see how to top up PayPal. There is another important question. It sounds like this: "How to transfer money to PayPal?" You must first link a bank card to the system. This is done in the user menu. You need to follow the link "Connect and confirm my debit or credit card" (top right on the site). After that, you will need to enter all valid card data, namely: last name, first name, card type (Visa, Master Card, etc.), number, expiration date and the so-called security code (3 digits that are located on the back of the card), then click on the "Continue" button.
In order for the card linking process to be successful and to be able to learn how to pay with PayPal, it is required that the card has an amount equivalent to 1.95 US dollars. The system will automatically remove this amount of money to verify that the card really belongs to the owner. This money will not be lost, but will be returned to your account exactly in a day.
Withdrawal limits
PayPal sets certain withdrawal limits for security reasons.
The minimum limit for CIS citizens is $50 or the equivalent in another world currency. The maximum withdrawal of funds per day (for residents of the Russian Federation) at the moment is 15,000 rubles, a month you can withdraw no more than 40,000 rubles. The PayPal payment system in Russia, whose user reviews inspire confidence, charges a minimumwithdrawal fee. This is a very profitable moment.
How can I learn more about limits and how to top up PayPal? You need to go to the "My Account" tab in your account.
How to transfer money to PayPal
To transfer money in the system (say, to another account), just go to the menu and click on the "Sending money" tab. In the window that appears, you will need to enter the data to whom the money will be sent (PayPal-purse of the recipient), the amount and currency. The default is USD, but you can always choose the equivalent in another currency if necessary.
If there is a question about transferring to your card, which is linked to the system, then it is still easier, since transferring PayPal money to your personal account is provided by the system. This cannot but please users. PayPal - what is it? As you can see, this is a very convenient payment instrument.
To transfer funds, select "My wallet" in the menu and check the "Transfer to bank card" item, indicate which card the transfer should be made to (since you can register not one, but several cards in the system), Enter the amount and click "Transfer". In this case, payment occurs almost instantly, and if everything is in order with the bank (there are no problems with the network, for example), then you can cash out money from the card in 2 minutes.
Types of accounts
What is PayPal and how to use it, we figured it out. Now it's time to tell you what accounts arein the system.
Globally, PayPal accounts can be divided into 4 types (kinds):
- personal;
- premium;
- student;
- business.
The most common type of account is personal (or personal). They are free to both transfer PayPal money and accept currency. At the same time, contacts with various kinds of payers are provided. In order for the money to be delivered to the address, you only need to have a PayPal wallet and an email address. This is all limited. The user cannot send or receive money from any type of card, only transfers within the system are allowed.
Premium accounts have added specialized features that are not available to other users. If you are interested in the question of how to transfer money to PayPal from a card, then this type of personal account will help you answer it. It is in the premium account that you can freely withdraw money to the cards of other participants or receive funds on your card through the system.
Student account is an innovation in the system of electronic payments. With it, you can easily answer the question of how to transfer money to a child's PayPal account if he is studying or living abroad. A person must be at least 13 years old in order to be able to open an account without any problems. One parent has the right to have up to 4 such accounts. At the same time, a real account is not opened, but a system for replenishing a student account from a parent one takes place.
Business cabinet allows the user tomake the most of the service. You can accept payments as a business, there is no limit on currency turnover per day, and, most importantly, you can accept money into your account from any other bank or e-wallet (not PayPal). Unfortunately, there is no such possibility in the types of accounts discussed above.
User verification
First, let's define the phrase "PayPal user verification", what it is, we'll also consider it. Let's explain the word "verification" in simple words. It means confirmation (in literal translation), and in our case - confirmation of the veracity of the completed information about the user who is registered in the system. That is, the system requires certain actions on the part of the user in order to make sure that the information that he submitted is 100% true (for example, you can register as Vasya Pupkin, but in fact it cannot be).
Until the user is verified, payments can be made, but with certain restrictions. To withdraw the latter, you need to send a scanned copy of your passport (with a residence permit) electronically or by mail and confirm your mobile phone number. This data is confidential, you can be sure that it will not fall into the wrong hands through PayPal.
Verification Benefits:
- sending and receiving any amount of money at any time of the day;
- trust in a verified user is many times greater than in an unverified one;
- lightning-fast sending payments withbank account without delays and other minor annoyances;
- presence of exclusive services (among them - protection of the seller)
Why PayPal?
Among all kinds of electronic payment methods on the Internet, PayPal takes the 1st place. And this is no accident. For the PayPal system - what is it, if not the safest place to store personal savings? Advanced technology and two-factor authentication deter fraud of any kind. Getting to your personal funds is almost impossible, even if the robber is an experienced hacker. The account is tied to a physical key generated by the system. This key can be stored not on the network, but, say, on a flash drive. Without access to the key, no one will ever be able to steal any amount of money from the account.
A little about commission
How to transfer money to PayPal and not spend money on a commission? Actually, not at all. The system charges a commission, but only on completed transactions. You don't have to pay for opening an account and its maintenance.
To withdraw funds to a check (a real one that can be cashed in any bank), you need to give the system 1.5 dollars.
The fee depends on the country in which (or to which) the transfer will be made, on how PayPal money is transferred (bank or wire transfer), and on the transfer currency.
For example: if you withdraw money from your personal account to your account in the USA, you do not need to pay anything, while in Bulgaria you will need to pay 2.5 dollars for such a transfer.
The system also provides a return fee. If for anyreasons you need to return the funds back (how to transfer money to PayPal, described above), then a certain amount will also be deducted for this.
As for the commission within the system, it also exists, and depends on the country and other factors. In the system itself, you will need to share 0.5-2% of the total amount of the transaction or transfer. Again, it is impossible to name a specific figure, since everything depends on many factors.
Conclusion
From the above, it became clear what PayPal is and how to use it. The choice in any case will always be yours. The system has proven itself and proved its right to exist by the fact that it is trusted by millions of people around the world - it has existed for more than 15 years. If the question is about transfers within the Russian Federation, then you can find an alternative, but if the receipts are from different countries, then, of course, you should choose PayPal.
