A PayPal account comes in three types; personal, premier, and business. Learn about each of these types in detail from the following article.
PayPal is not a new term for netizens. However, for those who are not aware of it, PayPal is known to be the most secure method of money transfer for the online shoppers or other online transactions. This service boasts its association with 98 million active accounts around the world, operating in different currencies. The popularity of PayPal rises from the fact that, it can be used to carry out monetary transactions, online without the need to share any financial information. The service also allows the person enough flexibility to pay using account balance, bank account, credit cards, etc. To use this service, all a person needs is a valid email address, and a bank account or a credit card. Now, as obvious it is, different people may have different needs. So in order to meet their expectations, PayPal provides personal, premiere, and business accounts.
Types of PayPal Account
Before we get down to the types , it is important to know about the core services that PayPal offers. These include:
→ Sending money
→ Requesting money
→ Access to eBay Tools
→ Merchant services
→ Accepting payments via credit and debit cards
→ PayPal debit cards
→ Multi-user access
→ 24-hours check on fraudulence
→ Customer service
Personal PayPal Account
As the name suggests, this account is meant for personal use. Through this account, the person is able to send money, receive money from other PayPal users, and can have access to Auction tools. The transactions via this account incur no charge for the user. The PayPal account holder is eligible for customer services. However, he is eligible to accept payments only from other PayPal accounts but not from any credit or debit card. Although for this account type, holding money in it and transaction using it are free, it has a set limit for receiving payments in a month. This account has limited access to merchant services and PayPal debit card, and does not offer the benefit of multi-user feature. In short, the personal account fits the bill for people who do online shopping more often.
Premiere PayPal Account
Users having this PayPal account type, have access to all the core benefits offered by PayPal, except for multi-user access. They have the advantage of receiving unlimited credit or debit card payments, and bank account payments, as well. They get a PayPal debit card, and green flag to buy or sell on merchant websites as and when they wish. Unlike personal account, this type allows the user to access to varied merchant services like invoicing, procession of credit cards, and has features such as shopping cart, and payment reporting tools. Users do not get charged for creating the account, holding money, or sending money. However, there would be a nominal fee incurred for withdrawal of funds and receiving funds.
Business PayPal Account
The business PayPal account includes all the core features mentioned above; meaning, the user can enjoy all the benefits. This account fits the bill for people who intend to run or are running a large-scale online business. The person can operate the account under the name of his/her business, and can create multiple users for a single account. There is no set limit to the amount or size of transactions. Similar to other accounts, creating the account, holding money and sending money is free, but withdrawal and receiving are not.
- In the United States, PayPal has kept the fees structure the same for all the three types of PayPal account. If an item is purchased online then, sending money is free, but getting paid incurs a standard charge of 1.9% to 2.9% + $0.30 USD.
- And in case of personal transfer, when the money comes in through a PayPal account or bank account, fee is waived off. However, receiving payments from debit or credit card, or a PayPal credit, the standard fee is 2.9% + $0.30 USD.
Making transactions via PayPal is as easy as sending an email. But most importantly, it offers an extra security measure for the user, as the transaction can be done without giving out any sensitive information related to the account. To add to this, even for merchants, this service ensures security as the buyers are verified individuals.