How to do family and friends on paypal

Today, June 30, PayPal sent me three emails. The first wants me to check the May activity for my company’s business account. The second wants me to “take my business online with a PayPal partner.” And the third wants me to “view updates” to my PayPal account.

The view updates email contained a mixture of good and ungood news. First, it seems that PapPal is raising its commission rate from 2.89% to 2.99%. They’re also eliminating the fixed per transaction fee of $0.49. Seems the fee structure is simplified, and that PayPal will make a little more on larger transactions.

The second change is that, effective July 28, 2022, PayPal will remove the Friends and Family option for business payments. Ouch! 🙂

The Change Bites In Both Directions!

Frequently I have been using Paypal Friends and Family to pay solo and very small Low End businesses where I am a customer. I like that my friends can receive the entire amount that I send.

Happily, several of my customers at MetalVPS.com have done the same for me. So the removal of Friends and Family from business accounts hurts relationships between small business people who are friends, regardless of whether they are paying or receiving payment.

The good side might be that the ability to dispute a purchase reappears along with the demise of Friends and Family. But, if I thought there were a significant chance of a dispute, I wouldn’t want to be either a buyer or a seller. I’d think it very much better to stay away from the transaction entirely.

Here are some snippets from Paypal’s email and from their news release:

Email From Paypal

Effective July 28, 2022, PayPal will remove the Friends and Family option for domestic payments to U.S. business accounts, and all received payments will be subject to the seller fee. This will ensure all eligible purchases are covered by PayPal’s comprehensive Purchase Protection, guarding buyers and sellers if something goes wrong with a purchase. You can create a personal account to receive personal payments without seller fees while continuing to use your business account to receive commercial payments and use business only features.

Paypal Website News Release

Transition of Friends and Family Payments for Business Accounts

PayPal is also evolving the ways customers send money to Friends & Family and make payments for Goods & Services. In the coming weeks, U.S. customers will now only be able to send Friends and Family peer-to-peer payments to consumer PayPal accounts.

This update helps ensure that eligible purchases of Goods and Services will be protected for both parties and will drive consistency on our platform, while also removing confusion around which payments are eligible for buyer and seller protections. This will also enable PayPal to help businesses properly reconcile data-keeping and organize personal and business income. Business account holders can continue to access business-only features like automated reporting, invoicing, multi-employee access, and more. Business account holders who currently use PayPal to receive non-business-related payments can use or create a personal account to receive personal payments without seller fees, while using their business account to receive commercial payments.

— https://newsroom.paypal-corp.com/2022-06-Upcoming-Changes-to-PayPals-Pricing-Structure

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Contributor at Low End Box

It seems only a moment since the day, fifty years ago, when I stood in a doorway watching yard after yard of printed paper full of ascii art scrolling out of a Teletype 33 surrounded by a bunch of laughing guys!

My Low End Adventures started here at LowEndBox, when just a few years back, I found the perfect deal on a dedicated server from OVH!

These days I own my own gorgeous antique server named Darkstar. She is colocated in Dallas, Texas USA at LevelOneServers.com.

Besides writing for LowEndBox, helping as a moderator at LowEndTalk and running Darkstar, I'm trying to learn a little about programming and networking.

All these years, and, still, so much more to learn! So many people here who can teach me!

It's very, very fun here on the Low End, isn't it? :)

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Upcoming Changes to Goods & Services Payments on PayPal

• PayPal will be rolling out two changes in the coming weeks to our peer-to-peer Goods & Services fee for U.S. businesses and consumers and updating the ways U.S. business accounts can receive payments.
• These changes will be effective for PayPal customers in the U.S. on July 28, 2022.

In the coming weeks, we will be rolling out two changes to our peer-to-peer pricing structure in the U.S., specifically for Goods & Services payments. We will be simplifying our goods & services fee structure and changing the ways U.S. business accounts can receive payments, effective for PayPal customers in the U.S. on July 28, 2022.

Updated Peer-to-Peer Goods & Services Pricing Structure  

We will be simplifying the Goods & Services seller fee to 2.99%, with no fixed fee, for customers in the U.S. PayPal’s current Goods & Services fee is 2.89% + $0.49 USD. 

As an example, if a customer is buying a piece of furniture for $225.00 USD, the seller will now pay $6.73 USD under the new simplified fee structure, versus $6.99 USD under the previous structure. In addition, Goods and Services transactions may be eligible for Purchase Protection which can be beneficial for both buyers and sellers.

Purchase Protection gives customers peace of mind, helping a buyer if they don't receive the item that they ordered, or if it shows up significantly different from its description, for eligible purchases. PayPal will reimburse the buyer for the full purchase price plus any original shipping costs, subject to terms and limitations. For sellers, PayPal’s Seller Protection Policy can protect online sales, minimize claims and chargebacks and help prevent fraudulent purchases.

Transition of Friends and Family Payments for Business Accounts

PayPal is also evolving the ways customers send money to Friends & Family and make payments for Goods & Services. In the coming weeks, U.S. customers will now only be able to send Friends and Family peer-to-peer payments to consumer PayPal accounts.

This update helps ensure that eligible purchases of Goods and Services will be protected for both parties and will drive consistency on our platform, while also removing confusion around which payments are eligible for buyer and seller protections. This will also enable PayPal to help businesses properly reconcile data-keeping and organize personal and business income. Business account holders can continue to access business-only features like automated reporting, invoicing, multi-employee access, and more. Business account holders who currently use PayPal to receive non-business-related payments can use or create a personal account to receive personal payments without seller fees, while using their business account to receive commercial payments.

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