How to Explain PayPal

1. Describe that PayPal is an online financial broker. PayPal earns the trust of the buyer and the seller, and hold their credit card and bank information secret. The company sends funds to email addresses without revealing the credit card or bank information of the payer.
2. Detail PayPal's requirements. The user requires no special technology or business license, only a valid email address and a valid credit card or bank account. There are three PayPal account types: personal, premier, and business. A personal account will allow anyone to send funds to or receive funds from anyone with an email address, but cannot accept credit or debit card payments. A premier account is just like the personal account, but it also allows payment from credit and debit cards and bank accounts. The business account is best suited for those running a large online business and offers no restrictions on transaction size. Setting up any PayPal account takes just a few minutes. When you send a payment, PayPal debits your chosen primary source of funding within 2 business days. If you are using PayPal to receive funds, you can leave those funds in your account and use them to purchase goods and services.
3. Explain how PayPal profits from your transactions. PayPal is entirely free for buyers; it costs nothing for someone to use PayPal to send funds. Sellers, however, are charged 1.9 percent to 2.9 percent to receive funds. There is also a surcharge that PayPal will withdraw from your funds whenever you accept a payment from a buyer.
4. Describe the transaction possibilities through PayPal. As stated, PayPal became famous through eBay, and it is used in 95 percent of eBay transactions. However, you don't have to be on eBay to use PayPal. It is a great method of transferring funds between strangers. Collecting money for events, paying for services or purchasing something from a stranger can be completed using PayPal.
5. List the safety measures employed by PayPal. It uses secure technology and employ experts in all areas of online safety. It is guaranteed against fraud and identity theft; every transaction is confirmed through email to the account holder and there is a 24/7 support team that will help the customer sort out any disputable transaction. EBay purchases can be insured up to $1,000. PayPal employs an antifraud team that uses the latest technology to detect and predict suspicious activity. Ultimately, PayPal is as safe as any online bank.
6. Show PayPal's website. PayPal has developed an amateur-friendly website that will guide you through sending money, purchasing goods and services, and receiving payments. There you will also learn how to withdraw money from your PayPal account.