posted on October 28, 2002 05:37:12 PM new
Two identical eBay transactions, one processed through Billpoint, one through Paypal, both processed on October 22nd.
BILLPOINT:
Transaction amount $22.25
Billpoint fee of 3.3% deducted of 74 cents
Bank account deposit fee deducted of 11 cents
Funds deposited exchange rate of 1.5454%
TOTAL TO MY ACCOUNT: U.S. 21.40/CDN 33.07
GRAND TOTAL PERCENTAGE CHARGED: 3.8%
PAYPAL:
Transaction amount $22.25
Paypal fee of 2.9% + 30 cents deducted of 94 cents
Bank account deposit fee deducted of 85 cents
Funds deposited exchange rate of 1.51913% (I do believe Paypal is shorting us on the exchange rate so they can pocket the difference)
TOTAL TO MY ACCOUNT: U.S. 20.46/CDN 31.08
GRAND TOTAL PERCENTAGE CHARGED: 8.0%
posted on October 29, 2002 06:15:44 AM new
you are expecting 2 businesses to offer the same service at the same cost.
like some sellers are willing to subsidise gasoline and time waiting in line at post office to send a package,while others insist on a handling fee in addition to postage.
it is your choice,dont use paypal and stick with billpoint,after it is phased out,look into c2it,yahoo paydirect,aol cash,propay,bidpay etc.
posted on October 29, 2002 07:31:04 AM new
BillPoint is losing money and is being liquidated. PayPal is making money and is remaining in business.
Need I say more?
I understand your need to lower expenses, but depending on a company that is losing money to keep your costs down for you isn't a serious long term option.
Have you considered getting a US bank account? With PayPal you can deposit funds to a US Bank account even though you're in Canada, that was an option BillPoint does offer. You'd have zero exchange rate loses and there would be no deposit fees at all.
If you are unable to open a US bank account and can't accept PayPal's exchange rate you'll have to wait until they offer payments in Canadian Dollars which shouldn't be long in coming.
It isn't necessarily a 'rip off' to make a profit, and it isn't necessarily a 'good business' if they are losing money.
