PayPal is a widely used online payment system that allows individuals and businesses to send and receive payments. One of the fees associated with using PayPal is the cross-border transaction fee, also known as the Gross and Service (G&S) fee. This fee is typically charged when a payment is sent or received across international borders. However, there are certain situations in which PayPal may waive the G&S fee.
Understanding the G&S Fee
The G&S fee is a percentage-based fee that is charged on the total amount of the transaction. The fee is typically between 0.5% to 2% of the transaction amount, depending on the type of transaction and the countries involved. For example, if a business in the United States receives a payment from a customer in Canada, the G&S fee would be charged on the total amount of the payment.
Waiving the G&S Fee
PayPal may waive the G&S fee in certain situations. One of the most common situations is when a payment is sent or received between two PayPal accounts that are registered in the same country. In this case, the G&S fee is not applicable, and the sender or recipient will not be charged the fee. Another situation in which the G&S fee may be waived is when a payment is sent or received using a PayPal balance or a linked bank account. In this case, the sender or recipient may not be charged the G&S fee, depending on the specific terms and conditions of their PayPal account.
Additionally, PayPal may also waive the G&S fee for certain types of transactions, such as charitable donations or payments made to non-profit organizations. In these cases, the G&S fee is typically waived as a way of supporting charitable giving and non-profit activities.
| Transaction Type | G&S Fee |
|---|---|
| Domestic transaction | Not applicable |
| Cross-border transaction | 0.5% to 2% of transaction amount |
| Charitable donation | Waived |
| Non-profit organization payment | Waived |
PayPal Fee Structure
PayPal’s fee structure can be complex and depends on a variety of factors, including the type of transaction, the countries involved, and the specific terms and conditions of the PayPal account. In general, PayPal charges a small transaction fee on most payments, as well as a currency conversion fee when a payment is made in a different currency.
Transaction Fees
PayPal’s transaction fees vary depending on the type of transaction and the countries involved. For example, a domestic transaction within the United States may be charged a fee of 2.9% + $0.30 per transaction, while a cross-border transaction may be charged a fee of 4.4% + a fixed fee based on the currency.
It's worth noting that PayPal also offers a variety of payment solutions for businesses, including online invoicing and payment processing. These solutions may have different fee structures and terms and conditions, so it's essential to review the specific details of each solution before signing up.
- Domestic transaction fee: 2.9% + $0.30 per transaction
- Cross-border transaction fee: 4.4% + a fixed fee based on the currency
- Charitable donation fee: Waived
- Non-profit organization payment fee: Waived
What is the G&S fee, and when is it charged?
+The G&S fee is a cross-border transaction fee charged by PayPal on certain transactions. It is typically charged when a payment is sent or received across international borders.
Can the G&S fee be waived?
+Yes, the G&S fee can be waived in certain situations, such as when a payment is sent or received between two PayPal accounts registered in the same country, or when a payment is made to a charitable organization or non-profit.
What other fees does PayPal charge?
+PayPal charges a variety of fees, including transaction fees, currency conversion fees, and withdrawal fees. The specific fees and charges depend on the type of transaction, the countries involved, and the terms and conditions of the PayPal account.
