PP will no longer allow f&f payments between personal and busines accounts
There's a new policy update that says that starting July 28th, business accounts will not be able to receive personal transactions from regular paypal accounts. It also says that personal accounts will not be able to send personal payments to business accounts
It seems like personal payments between business accounts is still safe
Last edited by StealthGirl; 06-25-2022 at 08:56 PM.
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Re: PP will not longer allow f&f payments between personal and busines accounts
I got it wrong. I've read the 50+ pages user agreement that will go into effect on July 28th
Paypal Business accounts in the U.S. will no longer be able to receive ANY friends and family payments. Business accounts will be able to send personal payments to personal accounts.
This is going to affect some business that I know of. For example, rebate websites send paypal payments as payments for goods and services. That will no longer be allowed if the payee has a personal account.
Re: PP will no longer allow f&f payments between personal and busines accounts
Quote:
Originally Posted by SaiJin
they always want more money right?
But at the same time I can't blame them if you think about how many people abuse F&F
I've been reading the reactions to this online. It seems like there were people who preferred paypal business accounts because it gave them some level of anonymity. Payments to or from business accounts don't reveal the real name of the account owner. It also looks like this will affect streamers who accept tips via paypal from their fans during live streams.
Re: PP will not longer allow f&f payments between personal and busines accounts
Can anyone advise me how to set up a business account and do I need to register it as a real account and get a vat number if sales under 1000 p/m?
Thanks
Re: PP will not longer allow f&f payments between personal and busines accounts
They got rid of confirm receipt and now this, pathetic. Going to run out of customers at some stage, tighter rules and a whole load more issues to deal with.
Re: PP will not longer allow f&f payments between personal and busines accounts
I am an avid shopper at farmers markets and local events. Many vendors who accept paypal want friends and family payments. I paid the fee the few times that I sent money that way. It was cheaper than having them use their card terminal and charging me taxes.
One vendor who I buy food from every week told me that he called paypal and was told that any attempts at making a friends and family payment to a business account will automatically process it as a purchase transaction with the business paying the fee on their end. They couldn't tell him if the sender would actually be able to send a payment as a 'friends and family' payment and not know that the receiver is paying the fees.
Just letting anyone know in the event that the option to send a "friends and family" payment to a business account is still available on the 28th.
I remember that the rollout to paypal cash accounts a few years back did not automatically happen on the announced date, but it seems like it won't be the case this time
Re: PP will not longer allow f&f payments between personal and busines accounts
If you look at it from a business perspective, PP is offering their services to customers right? So why should they allow people to make F&F when it's for a business payment?
At the end of the day they are there to make money.
Would you be happy if some people just abuse the services that you offer?
Re: PP will not longer allow f&f payments between personal and busines accounts
Quote:
Originally Posted by SaiJin
If you look at it from a business perspective, PP is offering their services to customers right? So why should they allow people to make F&F when it's for a business payment?
At the end of the day they are there to make money.
Would you be happy if some people just abuse the services that you offer?
I always pay a 2.9% fee when paying someone via friends and family using my debit or credit card. I'd rather pay that than have the vendor swipe my card because it's cheaper than paying taxes on my end. I think this new rule is more about tax compliance from businesses on their platform vs losing money. These businesses will now have to pay the fee (although it's going to be something like 2.45% now) and properly report their earnings to the IRS.
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Re: PP will not longer allow f&f payments between personal and busines accounts
Quote:
Originally Posted by StealthGirl
I always pay a 2.9% fee when paying someone via friends and family using my debit or credit card. I'd rather pay that than have the vendor swipe my card because it's cheaper than paying taxes on my end. I think this new rule is more about tax compliance from businesses on their platform vs losing money. These businesses will now have to pay the fee (although it's going to be something like 2.45% now) and properly report their earnings to the IRS.
That's a good point.
I never paid any % when I use FnF, but then again I only used it when it's truly for friends who needed help with a little cash
PP will no longer allow f&f payments between personal and busines accounts 
