Saving on PayPal fees - revised version of my previous question!


#1

Hi,

It seems that PayPal want to charge a total of ~5% when using a credit OR debit card to fund purchases which involve currency conversion (I’m in the UK > buying items from ebay.com in USD).

But. They only seem to charge 1% if payments are funded by a linked BANK account rather than debit or credit card.

So presumably I can link a Revolut current account to PayPal, click the setting in PayPal to use my bank to do the currency conversion and benefit from Revolut’s decent FX conversion rates?

Steve


#2

I don’t think so :wink:

I assume that you’re thinking about setting up a SEPA direct debit? Revolut does not support that at the moment.


#3

Hi

I just linked my PayPal account to my Revolut “current account” using what PayPal described as a “Direct Debit”. I have know idea what SEPA is… :wink:

PayPal deposited a tiny 0.01 GBP value / verification code into my Revolut account, which I then went back to PayPal and keyed in. My Revolut current account is now linked to PayPal.

So presumably if I now tick the box in PayPal that says ‘let my bank handle currency conversion’ - Revolut will be doing any USD > GBP conversion for me on my purchases, at better rates than PayPal?

Steve


#4

Interesting, while direct debit is not supported for the personal GBP account, it seems to work for the EUR account. Since you already used the IBAN shown under “EUR” for a GPB transaction, I assume it would work with all currencies that are supported.


#5

Hi Frank,

Just curious but where does it that direct debit isn’t supported on the GBP current account ?

The direct debit agreement / verification deposit PayPal sent (by direct debit) was on my Revolut GBP account, I don’t have any other currencies setup or balances in other currencies.

Steve


#6

In the initial blog post when they first introduced the U.K. current account. They might have added the functionality without announcing it?


#7

Direct debit requires a full UK bank account. Revolut offers current account functionality but is not a full UK bank account (as dual-authorised by the FCA/PRA.).


#8

Right, that is what I thought. As far as I remember PayPal transfers a small amount to ones account for verification and does not deduct something. So verifying an account does not say anything about if direct debit deductions would work or not.