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Paypal merchant account - worth applying?
 

Is it worth applying for paypal merchant account as I receive payments of over 1500gbp/ month, I will get a discount and final value fee for paypal would be 1.9% instead of 3.4%

When applying it asks me whether I am a sole trader, individual etc etc. I am really tempted to apply for it but scared at the same time since it's a stealth account.

Any help will be appreciated.

Thank you

Re: Paypal merchant account - worth applying?
 

Hello jenupy2j, as I understand it you must still have a PayPal account if you are selling on ebay. This will be the primary payment option for your customers.

In order to be of interest to a merchant account provider £1500 per month is about the minimum. So if you split your income you will not be terribly interesting to merchant account providers!

Moreover, the remainder of your PayPal receipts will attract the highest charge rate of 3.4% so you are unlikely to be any better off.

Maybe this is something to consider when you are closer to £5,000 per month?

Hope this helps,
- Peter

Re: Paypal merchant account - worth applying?
 

In the event that you do make this decision OP, you should be ready if documents are requested...

Re: Paypal merchant account - worth applying?
 

One point to consider is putting your account under scrutiny with the higher selling season coming.
All the best with whatever you do.

:mod:

Re: Paypal merchant account - worth applying?
 

I receive about 35K a month on Paypal.

I am sure I am eligible for Merchant service, however concerned that paypal will ask me for business documents as it is a stealth account.

Re: Paypal merchant account - worth applying?
 

You know that has a high chance of happening, jenupy2j.

:mod:

Re: Paypal merchant account - worth applying?
 

You must already be on their radar with that kind of turnover!

While the main attraction might be the savings on your transaction fees the bigger issue for you is what contingency you have if they close your account?

Good luck!
- Peter