What is PayPal and How Does it Work
For an Internet user who actively participates in online shopping, PayPal must not be a new term. However, for the uninitiated, knowing what is PayPal and how does it work can be an interesting task. PayPal is an online money transaction facility that you're entitled to, once you get registered for it on the official website of PayPal.
In the era of Ecommerce websites, it is possible to purchase anything online and hence issues about safer money transactions are of paramount importance. PayPal is hailed to be the world's most popular online transaction account and many online purchases are made through PayPal. It has evolved to become one of the safest and hence, most popular mode of money transfer via emails.
What is PayPal: How Does PayPal Work
PayPal has emerged to be the most trusted medium for online money transactions. You can log in to PayPal's official website and sign up with a valid email account. After that, you can get access to nearly thousands of online stores that will allow you to carry out transactions. Even on sites of Internet biggies like eBay, most of their transactions are through PayPal. Now, that we're aware about 'what is PayPal', knowing about how does it work will give us more insight about this excellent money transfer option, spread over 190 markets in 24 currencies.
Working of PayPal
Once you visit the official website of PayPal, you've to sign up for your account type. On the official website, there are three account options available for customers viz., personal, premier and business. Personal accounts are for those, who wish to pay their money online while premier accounts are for those who wish to get paid after selling their products online.
For merchants and traders, who operate under a group or company, there is a separate account that they can get registered under and that is known as business account. In case, you've registered for personal accounts, you'll have to choose your payment method. Generally, people use credit cards and even online traders and shop managers recommend the use of credit cards. Similarly, for business accounts, you have to link and confirm your credit cards registration on the website. After all this, you'll be required to reply to an email send to you for confirmation and once you accept it, you can start the online transaction.
Why Use PayPal Services?
As we now know 'what is PayPal and how does it work', knowing the value of this service will help us decide, if we should go for this option. Some of the simple benefits of PayPal services are as follows.
Global Presence
PayPal is by far, the single most popular mode of Internet money transaction. And besides that, it has a global presence with 153 million accounts all over the globe.
High Protection
One of the biggest advantages of PayPal is that transactions on it are safe and secured. Owing to the high protection, PayPal has been a recipient of several awards in the Internet Industry.
Faster and Easier
PayPal services have been fast and customers are really happy to be associated to such a simple and safe money transaction system. Also, operating and managing PayPal accounts is easy. There are no complexities in transferring the money.
For buyers and for sending money to others, PayPal is absolutely free. PayPal only charges you for receiving money. Based on a specific formula, PayPal will give you a bill, whenever you get some payments from a buyer.
Hopefully, through this article, you must have got some idea on what is PayPal and how does it work. PayPal, since its formation in 1998 in US, has gained tremendous success. Nevertheless, some customers have often complained of problems in money transactions. Overall, PayPal is certainly a successful mode of payment and its positives have often outweighed some occasional problems or complaints.
