I have some business income coming into my business paypal account as USD.
I want to withdraw it but Paypal always makes me pay fees now.
Their conversion rate is horrible but I can't turn it off anymore for some reason.
I set up a Wise account so I have a USD account - but even that charges 3% to send the funds to it.
Has anyone found a way around this or a fee free way to withdraw money out of paypal?
Cheers,
Couldn't you spend it from your PP account and avoid the fees?
Not many channels support paypal. Airlines, Visas, Insurances, accommodations, bus bookings. So many places don't support a paypal integration so there isn't a way for me to spend it directly from the PP account. If Paypal gave me a credit card alias then I wouldn't have any issues but alas here we are
How much money is it? And was it one off or do you expect a lot of money in your PP account every month. Maybe we could help you think of where to spend it.
I despise using paypal as a seller, as a buyer its great, but as a seller it sucks.
I feel really bad using it as a buyer, but it's just so incredibly convenient. Better protections too than my credit card number floating around who knows what system.
Exactly why I ditched the Wise, because they do not offer fee free deposits option to me.
Best thing to do is leave USD in that paypal account (and use it later on some Aliexpress or other USD purchase)
Keep in mind paypal would also automatically use USD in certain situations (aka give you NO OPTION to NOT USE USED), e.g. with subscriptions. meaning you automatically it with paypal's absolutely trash conversion rates
Oh why did you ditch Wise? I thought it was fee free deposit if you pay via certain methods.
I would like to leave it all in there but there is currently a lot sitting in paypal that would be great to be able to use with the exchange rate. I don't make usd purchases that often.
Oh why did you ditch Wise? I thought it was fee free deposit if you pay via certain methods.
I dont care what they say, at the end of the day its clearly not free or should I say unable to be used with paypal currency withdrawal or other most common deposit/withdrawal methods for regular Aussies. Also If e.g. I dont another source like brokers etc. The wise option is never there, if it is is its just so complicated to the point that I am unable to put details of USD account of another merchant's site.
Or the merchant's site would still charge me for withdrawing to that wise account. (or Wise would charge me to get deposits from a certain method, IDK may international wire transfer etc- the most common way). To sum up, wise was just trash for me, no real benefit. All websites I use just are just better to be taken advantage of without wise.
Also on other hand if you just need a different currency, on a card then Revolut is generally better option for me. Can simply just spend that currency amount without much fees etc.
So you could get your USD off paypal and sent it to Revolut without fees?
could you transfer the money to an australian paypal account as "friends and family"? maybe theres no fees or little conversion fee?
There always is fee, PayPal auto detects that receiving account has a different currency. In the personal transfer "Family & Friends" paypal would only allow sending that receiving currency only. (so that'd be AUD). Paypal is not so lenient in that way it always wants to make money of you.
It didn't seem worth it to me with a 3% fee when transferring USD to Wise. Then Wise will charge a fee on their side when converting to AUD.
I just end up letting Paypal convert from USD to AUD (and copping their fx rate) and transfer to a bank card with a 1% fee.
I ended up calculating it. USD to wise is 3% then depending which currency it's about 0.5-1% so ~3.5-4%
But the Paypal fx rate is +4% loading. Then a 1% fee to transfer to a card in AUD. (Or your own bank account for free to be fair) so 4%
Both are shit options, but I think you get slightly easier use out of it when it's in Wise. You have a US domiciled account number that has a debit card attached which you can spend and buy purchases in the USD currency. Which will be stronger than the weak AUD in some cases.
I may have done the math wrong, but still worth a try.
Thanks for calculating. What you say makes sense. It does seem slightly better to transfer to Wise, especially if you are dealing with larger amounts.
One other factor to consider is that Wise charges a fee to transfer to bank account too. So if you did not want to leave too much money in Wise itself (due to earning no interest) than it may close the gap between the two options.
Cop the fee and Dispose them.