
Ask HN: Why are PayPal fees larger than card processing? - valueprop
Quoting from https:&#x2F;&#x2F;www.paypal.com&#x2F;business&#x2F;fees<p>If the funds you are receiving are coming from a PayPal account: then you pay:
In the U.S. a fee of 3.7% of the transaction amount plus $0.30 USD.
Outside Canada and the U.S. a fee of 3.9 % of the transaction amount plus a fixed fee based on the currency<p>I was expecting fees lower than Stripe when customers pay with their PayPal balance, and same as Stripe when paying with cards through PayPal.<p>How come PayPal is more expensive? Do they rely on customers preferring PayPal instead of sharing their card details with sites (even through it&#x27;s in a Stripe popup, customers don&#x27;t know about Stripe)
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SamReidHughes
That link doesn't work. At [https://www.paypal.com/us/webapps/mpp/merchant-
fees](https://www.paypal.com/us/webapps/mpp/merchant-fees), I see 2.9% +
$0.30, for in-U.S. transactions done in dollars.

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valueprop
It did work yesterday... Here's another one:
[https://www.paypal.com/ca/business/fees](https://www.paypal.com/ca/business/fees)

[http://archive.is/JMuv3](http://archive.is/JMuv3)

Would this be applicable only to businesses in Canada?

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SamReidHughes
There are higher cross-border fees in the U.S. too. I don't know how this
compares to the competition.

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javaIsGreat
PayPal users can get added security/ease of use by not having to re-enter
details in browser, so I assume that probably reduces the amount of customers
from bailing on a purchase half way through inputing their payment details.

Thats value merchants pay for i guess

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jsumrall
Just speculating, but maybe because PayPal can support lots of methods behind
the scenes rather than you needing to support them, either with a PSP or
otherwise.

