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Can anyone help, currently my lowest hosting is 99p, but 25p of that is taken by paypal in fees.

Is their a way for me to add a processing fee to all orders in WHMCS rather than use the tax area which shows on the invoices as Tax, this would be Ok if it would show up as processing fee on the invoices.

 

Couple of things here.

1st you need to use the search.

2nd Under the Terms and Conditions's of paypal you are unable to charge a fee for customers that use paypal.

3 Check the right forum.

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First off, Most of paypals terms are illegal by UK law, like any high street store etc, you are legally allowed to add a service charge onto any price to cover any processing fees by payment processors, juts that most stores will incorporate this into their prices, also paypals policy of not refunding any non tangible /services that you pay and never recive is illegal as if you do not recive a server or item then they have to refund you, so I just ignore paypals illegal rules.

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realize paypal is NOT a bank and therefor NOT subject to banking laws,

 

 

and the funny thing about paypal, if you dont follow their rules they can and have shut sites down and frozen all funds in account....

 

pain in the butt to get it back,

 

and since paypal has a UK branch Im fairly certain that they have enough lawyers to make sure they are covered,

 

best to wrap the fee in the cost and call it the price of doing business.

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Which i think basically means that the FSA cant do jack to protect you as because paypal didnt like being told what to do they go off and hide in a country which doesnt have as strict regulations as the UK...

 

Unfortunatly PayPal has become so big its almost unavoidable as for most people it is their prefered payment method.

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hmm, looking at their fees seems like for smaller payments it would cost more :P

 

and then they charge to take your money out :P

 

Hmm, will checkout payoffline now

 

Hmm just looked at payoffline looks very interesting, rates seem cheaper than paypal too :)

Edited by dansgalaxy
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revoked paypals licence that is why Paypal are now governed in Luxembourg

 

The FSA didnt revoke PayPal's e-money banking licence, paypal simply didnt pay to renew it after they were taken over by ebay.

 

I've known at least 2 of our clients have their paypal accounts locked for adding "transacation charges" onto paypal payments.

 

If you insit on charging f-all for a service, you just have to suck-it-up ™ as regards whatver charges a processor imposes :P

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Paypal was never taken over by ebay, Paypal was set up by Ebay. regarding transaction charges. Their is no law stopping anyone adding transaction charges, no matter what companies have written in their own policies. If you as a business are charged transaction charges, by any processor,(visa,amex,mastercard, paypal etc) then you are legally entitled to replay these charges to your customers, some stores openly do this and will charge a fee for payments below a certain amount, some stores even have a notice informing customers if they pay by card that 2.5% (or what they are charged) are included in the final sales price, so in other words even if you pay by cash you are being charged this fee. my accountant confiirmed this along with the office of fare trade in the UK, so if paypal block any account for doing this then they are breaking the law.

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Paypal may not be registered with the FSA, but as Paypal still as a UK office base, then their still certain law abiding regulations Paypal has to abide by as governed by the Financial Obudsman otherwise they would not be allowed to offer any financial services to any UK resident or even set up a business address in the UK.

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  • 2 years later...

paypal has to follow EU rules wherever they are situated.

EU financial rules state that ecommerce shops or anyone else that trades within the EU, has the right to ask transaction fees if a financial institute asks for processing fees.

 

As paypal is an official financial institute because they handle your financial transactions, whatever rules they think off, has no legal marit under EU law of that is not according to what the EU has come up with.

 

If they shut you down for that or keep your money, they can be prosecuted and they allready have been in The Netherlands.

Also, they are NOT allowed to block transactions or credit on the account for whatever reason as long as it is not expected to be an illegal transaction according to EU law.

 

Paypal can screem what they want, but have no legal standing whatsoever.

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There's nothing wrong posting an existing thread, regardless of age, if the post is relevant. Things change over time so it's better to update/extend and existing thread and bring it back to life then start a new thread.

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Well since this is re-opened there are a few things that people have been mis-informed of

1 Paypal was NOT setup by Ebay it was infact bought out by Ebay as was posted earlier however if people do a little searching they will discover that paypal was infact at one time X.com

and that they are infact NOT a bank and are NOT subject to federal banking rules.

 

Paypal just like Visa and Mastercard do infact have a legal standing to tell you that you can not charge a transaction fee and they can remove your ability to take payments using their services if you violate their policies.

and Yes they can Freeze your account and pretty much keep your account frozen indefinitely..

 

these fees are called the cost of doing business.

and the only way around the rule is to UP your prices then offer a DISCOUNT for using other payment methods.

The reasons both paypal and Visa/Mc state then you can not charge the customer a FEE to use their service is that its been deemed that you are punishing your customers for using their services.

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