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This website is wrong, do not buy into it. Paypal has a micro-payments model that makes it so that it is SIGNIFICANTLY cheaper to use paypal for transactions u

This website is wrong, do not buy into it. Paypal has a micro-payments model that makes it so that it is SIGNIFICANTLY cheaper to use paypal for transactions under <$12 as opposed to a traditional merchant processor. https://www.x.com/community/ppx/xspaces/digital_goods https://www.x.com/community/ppx/xspaces/digital_goods

jeffmould 16y ago
Yeah, the website also does not take into account monthly fees if you have PayPal Premium (or whatever it is called) account, which I would assume most larger volume merchants are paying.
- pitdesi 16y ago
  It actually does take that into account... click on "more options"
  - jeffmould 16y ago
    Didn't see the "More Options" link, so sorry I offended you. My statement is still correct in that if you add a Pro account to PayPal, the merchant account becomes the cheaper option in most cases. Also, I would be willing to bet that most merchants who process high transaction size and high volume with PayPal are using Pro accounts.
    - pitdesi 16y ago
      That's totally correct, no offense taken, just wanted to make sure you saw that we'd included it! You are totally correct that for merchants that process decent volumes, a merchant account is usually the better bet.
pitdesi 16y ago
Charlesju, that is an entirely different service offered by PayPal, that does not make the website wrong! This is comparing to a standard PayPal account, which is by far the bulk of what people use. Furthermore, it's inaccurate that PayPal's digital goods would be cheaper if you're doing <$12 transactions. They charge 5%+$0.05, so thats $0.55 on a $10 transaction. With a decent processor like one you'd find on FeeFighters, you'd pay ~2% + $0.23, or $0.43 on that same transaction. That being said, it makes sense for digital goods companies with <$5 transactions.
- charlesju 16y ago
  To the average developer without any prior knowledge to payment processing your chart is incredibly misleading.

jeffmould 16y ago

Yeah, the website also does not take into account monthly fees if you have PayPal Premium (or whatever it is called) account, which I would assume most larger volume merchants are paying.

pitdesi 16y ago
It actually does take that into account... click on "more options"
- jeffmould 16y ago
  Didn't see the "More Options" link, so sorry I offended you. My statement is still correct in that if you add a Pro account to PayPal, the merchant account becomes the cheaper option in most cases. Also, I would be willing to bet that most merchants who process high transaction size and high volume with PayPal are using Pro accounts.
  - pitdesi 16y ago
    That's totally correct, no offense taken, just wanted to make sure you saw that we'd included it! You are totally correct that for merchants that process decent volumes, a merchant account is usually the better bet.

pitdesi 16y ago

Charlesju, that is an entirely different service offered by PayPal, that does not make the website wrong! This is comparing to a standard PayPal account, which is by far the bulk of what people use. Furthermore, it's inaccurate that PayPal's digital goods would be cheaper if you're doing <$12 transactions. They charge 5%+$0.05, so thats $0.55 on a $10 transaction. With a decent processor like one you'd find on FeeFighters, you'd pay ~2% + $0.23, or $0.43 on that same transaction. That being said, it makes sense for digital goods companies with <$5 transactions.

charlesju 16y ago
To the average developer without any prior knowledge to payment processing your chart is incredibly misleading.