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Paypal is practically the only commonly accepted online payment method that doesn't require me to have a credit card. The reason people use Paypal today is that

by jorams 8y ago

Paypal is practically the only commonly accepted online payment method that doesn't require me to have a credit card. The reason people use Paypal today is that they offer a service without much competition to people who want to pay, so if you want to get paid you're leaving money on the table if you don't accept Paypal. This does of course depend on where your customer base is. Credit cards are universal in the US, not so much internationally.

gcb0 8y ago
people only use paypal because vendors accept paypal. you wouldn't have a paypal account otherwise. and outside of the usa, most bank systems have ways to forward money based on other records. I've implemented a few in south American countries where by accepting CC from one operator you also get an optional printable invoice (boleto) that can be paid on the bank (online or not) and it transfer same day to your account.
- jorams 8y ago
  > people only use paypal because vendors accept paypal. > you wouldn't have a paypal account otherwise. Sure, if I couldn't use it to pay for anything, I wouldn't have a Paypal account. I don't use Paypal to send money to friends or anything like that, just for (international) online payments. > and outside of the usa, most bank systems have ways to forward money based on other records. Sure, but those aren't generally accepted online, internationally. For example, the vast majority of online payments in the Netherlands are done through iDEAL, but that only works for Dutch banks. Some (generally large) stores support it, but most don't.
simonh 8y ago
In the UK we mostly use debit cards these days, although the term ‘credit card’ seems to generally include debit cards. I haven’t had a credit card for almost a decade. Everytime an online store says credit cards only, it’s taken my debit card.
- timthorn 8y ago
  > we mostly use debit cards these days Which seems odd to me. Credit cards offer the advantages of points/cashback and more importantly the Consumer Credit Act, such that the card issuer is jointly liable for the goods. I only use my debit card to withdraw cash as the protections and incentives with my credit cards are much better.
  - sparkie 8y ago
    The UK has more consumer protection laws in general, so the need for the card issuer to provide protection is not as necessary. Credit cards have some perks, but they also have interest rates which debit cards do not. Many people would rather avoid getting into debt at all, because it can be very easy to go just over budget and end up paying more than you wanted, or getting locked in a debt spiral where you can't afford to pay off the growing interest.
    - mackey 8y ago
      I can understand not wanting a CC if you don't trust yourself to be responsible, but if you are responsible its effectively the same as debit card + better perks. I have never paid any interest in the 14 years of using CCs and use them for everything. Now I understand that being responsible is easier said than done, given various circumstance. I grew up without a lot money and my parents were pretty religious about budgeting cash weekly into envelopes, but even they eventually switched to using CCs and only spending what they had cash for. Too hard to pass up cash back on gas, groceries, bills, etc. Every little bit helps.
      - concerned_user 8y ago
        Do you live in Europe? Because to get all those benefits you mention credit card is quite a bit more expensive than the debit one. Also cashback is not a thing in Europe.
        timthorn 8y ago
Nullabillity 8y ago
Also, it's pretty much the only international way to pay without giving your card credentials to the seller. When buying locally you can usually pay by wire transfer or Swish, but otherwise PayPal is the least bad option (as a buyer).

by jorams 8y ago

gcb0 8y ago

people only use paypal because vendors accept paypal. you wouldn't have a paypal account otherwise. and outside of the usa, most bank systems have ways to forward money based on other records. I've implemented a few in south American countries where by accepting CC from one operator you also get an optional printable invoice (boleto) that can be paid on the bank (online or not) and it transfer same day to your account.

jorams 8y ago
> people only use paypal because vendors accept paypal. > you wouldn't have a paypal account otherwise. Sure, if I couldn't use it to pay for anything, I wouldn't have a Paypal account. I don't use Paypal to send money to friends or anything like that, just for (international) online payments. > and outside of the usa, most bank systems have ways to forward money based on other records. Sure, but those aren't generally accepted online, internationally. For example, the vast majority of online payments in the Netherlands are done through iDEAL, but that only works for Dutch banks. Some (generally large) stores support it, but most don't.

simonh 8y ago

In the UK we mostly use debit cards these days, although the term ‘credit card’ seems to generally include debit cards. I haven’t had a credit card for almost a decade. Everytime an online store says credit cards only, it’s taken my debit card.

timthorn 8y ago
> we mostly use debit cards these days Which seems odd to me. Credit cards offer the advantages of points/cashback and more importantly the Consumer Credit Act, such that the card issuer is jointly liable for the goods. I only use my debit card to withdraw cash as the protections and incentives with my credit cards are much better.
- sparkie 8y ago
  The UK has more consumer protection laws in general, so the need for the card issuer to provide protection is not as necessary. Credit cards have some perks, but they also have interest rates which debit cards do not. Many people would rather avoid getting into debt at all, because it can be very easy to go just over budget and end up paying more than you wanted, or getting locked in a debt spiral where you can't afford to pay off the growing interest.
  - mackey 8y ago
    I can understand not wanting a CC if you don't trust yourself to be responsible, but if you are responsible its effectively the same as debit card + better perks. I have never paid any interest in the 14 years of using CCs and use them for everything. Now I understand that being responsible is easier said than done, given various circumstance. I grew up without a lot money and my parents were pretty religious about budgeting cash weekly into envelopes, but even they eventually switched to using CCs and only spending what they had cash for. Too hard to pass up cash back on gas, groceries, bills, etc. Every little bit helps.
    - concerned_user 8y ago
      Do you live in Europe? Because to get all those benefits you mention credit card is quite a bit more expensive than the debit one. Also cashback is not a thing in Europe.
      - timthorn 8y ago

Nullabillity 8y ago

Also, it's pretty much the only international way to pay without giving your card credentials to the seller. When buying locally you can usually pay by wire transfer or Swish, but otherwise PayPal is the least bad option (as a buyer).