PayPal is a widely known and accessible online payment system.
Many freelancers have been using it for years now.
However, PayPal isnt perfect.
It features a robust, widely accessible system.
You cancreate a free PayPal account and start receiving paymentswithin minutes.
Assess the platforms advantages and gauge how theyll benefit your freelance business.
Using a widely known platform is advantageous for freelancers, especially if youre targeting international projects.
Clients only use trusted, accessible payment channels.
Youd do well to invest in popular online payment apps that your potential employers and partners likely already use.
Dont expect them to download new digital wallets to accommodate your preferences.
PayPal follows several rigid security guidelines that protect buyers and sellers alike.
The parties involved only need their email addresses.
Moreover, PayPal encrypts every piece of information that goes through its platform.
Senders and receivers can only access specific transactions through unique, one-time public keys assigned to their accounts.
No one else can decrypt private payments.
Should a fraud attack bypass PayPals security, it’s possible for you to dispute the transaction.
Go to theResolution Center > Dispute a Transaction > Item Dispute, then provide the necessary details.
Afterward, PayPals fraud detection team will review your request.
Merchants Can Explore PayPal Loans
PayPal provides flexible loan products for SMBs and entrepreneurs.
You don’t even need to upgrade your account to qualify for a loan.
There are two PayPal loan products: Business Loan and Working Capital.
Alternatively, Working Capital has more lenient requirements.
Although it only lends $1,000 to $15,000, it assesses your creditworthiness based on your account history.
Merchant Account Holders Get Extensive Customer Support
Premium PayPal account holders get extensive assistance through the Merchant Support program.
Youll find this very helpful if you process multiple orders through PayPal.
Dont haphazardly upgrade your account just for the Merchant Support program.
Unless your business is prone to issues like refunds and chargebacks, you likely wont need it too often.
Familiarize yourself with these disadvantages.
If the advantages dont outweigh them, consider using other platforms to collect payments from freelance clients.
Steep PayPal Transaction Fees Will Cut Your Profits
Most freelancers leave PayPal for its hefty rates.
The latters free, but removes buyer protection.
However, both setups will make you look unprofessional.
We advise computing the charges beforehand and adjusting your rates accordingly.
PayPal Takes Several Weeks to Resolve Disputes
The Buyer-Seller Protection program lets users contest potentially fraudulent transactions.
Once a dispute is filed, the reported funds will remain frozen until the investigation team reaches a verdict.
Reviews could take more than two to three months if you have several missing requirements.
you’ve got the option to still use your account during the dispute.
The guidelines only touch certain intangible products and services.
Otherwise, youll have minimal chances of unfreezing your money.
Users With Free Accounts Get Limited Customer Service
PayPal provides merchant protection for premium account holders.
Freelancers using free accounts can only contact PayPal through its public email address and phone number.
Unfortunately, both channels rarely respond on time.
You probably wont even get a human representative to respond to your emails, much less answer your calls.
Should You Use PayPal to Collect Payments From Freelance Clients?
Like most freelancers, youll likely come across several clients who prefer paying via PayPal.
Youd do well to create at least a free account.
Dont blindly use PayPal for its popularity.
Otherwise, explore your other options.
There are several affordable, reliable online payment systems on the market, so dont limit yourself to PayPal.
