New To Paypal....

[jimscott]

I've sent funds a couple times but for the first time I received money. What do I do with the funds? How do I extract the funds?

 

[pearldiver]

For purchases, at retailers like Home Depot, there will be a checkout screen at the "do it yourselfer" where you can use Paypal, providing you have and enter your password. That may not be all stores. Lots of online vendors will accept it as well. If you send cash or payments via your PP account they will ask (after a fashion) who gets dunned the fees. Most of the time if you are a seller you take the hit. Ebay boasts about that you as a buyer "pay no fees" for paying with Paypal. If sending a gift, technically no fees, but when you send it they will ask who gets dunned. If taking cash, you will most assuredly pay their fees. They get you coming and going. Since you pay fees at auction, to get paid, and potentially yet again to draw cash - you might as well use it for purchases where you don't get hit again. I would guess the withdrawal fees would be the same as getting paid a flat amount plus 2.7%, but not sure on that. And the bank might want a little something, etc., etc.

 

[hcarlton]

There are fees for sellers, and fees when using credit cards through paypal to pay, and then you can request a check with a flat rate $1.50 fee for up to I believe like $500. If you use just the paypal balance and send money labeled as a gift or to family, there are no fees for either party.

 

[DragonsEye]

I don't have a whole lot of $ in PP, but I just leave it there instead of trying to withdraw. Then, when I have an online purchase to make, I pay via my PP balance (assuming there is enough in there).

Didn't know about paying at HD or places like that using one's PP balance. Learned something new today ... thanks, Pearl!

 

[jimscott]

So if I have to pa for plants, using paypal, I can use those funds for it? That's the last time I get involved with paypal for plant trades. Cash works fine. Priority stamps work fine.

 

[Dragoness]

Technophobe that I am, I don't use paypal much (then again, I never Ebay, either.) I have used paypal precisely once, to pay to have a snake shipped from California to me in Michigan.

If it was simple and straightforward, I might not have an issue. But it isn't simple enough for me.

 

[Whimgrinder]

So if I have to pa for plants, using paypal, I can use those funds for it? That's the last time I get involved with paypal for plant trades. Cash works fine. Priority stamps work fine.

Yup, as long as the merchant accepts PayPal (not all do). I often ask people to reimburse me for the cost of mailing gifted plants by sending the $$ to my PayPal account, and I inevitably end up using it to pay for a purchase elsewhere. (I buy a lot of my music from hdtracks.com - a source for high resolution lossless music files, and the occasional purchase of black and white roll film from eBay - that sort of thing) As dragon points out, places like Home Depot accept PayPal as well. So before you dismiss the concept of PayPal transactions, you may want to consider what doors it opens for you ;-) I was late to the PayPal party, but am finding it very useful.

 

[Not a Number]

If there is a balance on your account you can just withdraw it to the linked bank account. If the funds were sent as a personal payment (friends or family) there are no fees. If you request funds, pay with a credit or debit card or receive a purchase payment there is a 2.9% + $0.30USD fee involved.

Be aware PayPal will report income over a certain amount to the IRS and if you are doing sales and it becomes obvious that you are taking personal payments for these sales PayPal can and will suspend your account.

https://www.paypal.com/us/webapps/h...icle/?solutionId=FAQ690&topicID=FEES_US&m=TCI

Withdrawing money:

You can withdraw money from your PayPal account to your bank account at no cost. If you prefer to receive a check, there is a $1.50 fee.

See also (login required)
https://www.paypal.com/us/webapps/h...onId=FAQ2316&topicID=ADD_WITHDRAW_MONEY&m=TCI

How to withdraw money from your PayPal account.

• The basics

It's simple to withdraw money from your PayPal account. You can transfer money directly into your linked bank account, use your PayPal Debit MasterCard®, or have us mail you a check.

• Bank transfer

The most popular way to withdraw money from your PayPal account is to transfer the money directly into your bank account.

Log in to your PayPal account, enter the amount you want to withdraw, and select the bank account to receive the money. We securely transfer the amount from your PayPal balance into your bank account at no cost to you.

It usually takes 3-4 business days for the money to appear in your bank account. The minimum you can withdraw is $1.00 USD. Make sure that the name registered on your PayPal account matches the name on your bank account.

• PayPal Debit MasterCard

The PayPal Debit MasterCard is the fastest way to withdraw money from your PayPal account.

If you qualify, you can use your PayPal Debit MasterCard® at most ATMs to get cash from your PayPal account right away. Select Checking Account when you withdraw money from an ATM. You can also use your PayPal Debit MasterCard to make purchases anywhere MasterCard is accepted.

You can withdraw up to $400.00 USD from your PayPal account from an ATM each day. Additional ATM fees associated with cash withdrawal and foreign payments may apply.

• Receive a check

If you don't want to transfer money to your bank account, you can request a check. Log in to your PayPal account, click Withdraw at the top of the page and select Request a check. Customers in the U.S. should receive checks within 1-2 weeks. It may take up to 6 weeks for customers outside the U.S.

We apply a fee of $1.50 USD for each check.

 

[DragonsEye]

So if I have to pa for plants, using paypal, I can use those funds for it? That's the last time I get involved with paypal for plant trades. Cash works fine. Priority stamps work fine.

I often ask people to reimburse me for the cost of mailing gifted plants by sending the $$ to my PayPal account, and I inevitably end up using it to pay for a purchase elsewhere.

Same here. Reimbursement for postage is the most common reason $ winds up in my PP account. I then use that account to pay for mailing a plant or plants out to the depositor. Occasionally I sell divisions of my orchids or other plants. PP is typically the fastest and most convenient method. Many folks, myself among them, do not like sending cash through the mail. And I do not like taking checks.

 

[swords]

Jim, I withdraw to a bank account, takes a couple days depending on who your bank is.

About 90% of my income is through PayPal now, very easy and generally hassle free. There are few record distributors who actually mail out physical paper checks anymore. PayPal is so much easier, especially if they are paying in some foreign currency and you need US dollars to go in your account. The bank will charge you a good deal for that currency conversion if it were a foreign check or bank transfer.

One thing you all need to be aware of is sending money as a gift for transactions or "just postage" (to avoid PayPal fees) is illegal and a violation of IRS tax law. If detected it will get both accounts shut down while PayPal does an investigation into both parties to see what is going on.

 

[Axelrod12]

Jim, I withdraw to a bank account, takes a couple days depending on who your bank is.

About 90% of my income is through PayPal now, very easy and generally hassle free. There are few record distributors who actually mail out physical paper checks anymore. PayPal is so much easier, especially if they are paying in some foreign currency and you need US dollars to go in your account. The bank will charge you a good deal for that currency conversion if it were a foreign check or bank transfer.

One thing you all need to be aware of is sending money as a gift for transactions or "just postage" (to avoid PayPal fees) is illegal and a violation of IRS tax law. If detected it will get both accounts shut down while PayPal does an investigation into both parties to see what is going on.

I never knew that was a violation of law. I always thought that it just voids any possibility of a paypal claim if something with the transaction goes wrong. Good to know.

 

[swords]

Yes, PayPal is required by the IRS to keep an eye on all transactions or they will be in violation of the law. Especially they have to keep an eye on those money sent as "gifts" to friends and family because those are not subject to fees or reporting to the IRS. But if they suspect it's going for a transaction (like someone gets or sends a lot of "gifts") they will begin to get suspicious. The government wants to be sure the gift function is not being used to launder money or hide income that should be taxed.

Also, if you make 200 transactions a year and $20,000 in income they will report you to the IRS and send you a form 1099K to report your internet sales income on the next years taxes. However, if you start to get a lot of transactions even if you don't get close to the 200 count or $20,000 amount they will get ahold of you and ask for your Social Security Number. If you don't give it to them they will limit or place a hold on your account.

 

[chibae]

Heck..I even have a paypal card reader for my phone so I can process credit card transactions on location for sales. I'm definitely not a technophobe even though my day job does not have direct deposit for our pay.

 

[swords]

My tax man has one of those too. My phone is not smart enough to work with it. Though I rarely ever actually do in person sales. If I start vending at festivals I would need it for sure.

 

[jimscott]

Thanks, Warren & Josh! My wife has paypal and uses it for star-making small business. If I have to use paypal again, I'll go through account.