PayPal is a free (for buyers), easy and secure online payment system. Because PayPal makes online shopping faster, more comfortable and safe for buyers, it has become the most popular solution of its kind in the world. How does PayPal work?
What is PayPal?
PayPal is an electronic wallet that allows online payments. The beginnings of Paypal’s operations date back to 1998. Until 2015, it was part of eBay, the American auction site.
PayPal is a multifunctional tool for sending money. You can add your payment cards in PayPal, but not only – we also have the option of linking our bank account to it and topping up your PayPal account with funds directly from this account, creating the so-called PayPal balance. The service is additionally extended with the option of sending money to friends.
The PayPal system provides an online account that allows you to easily send money from various sources (e.g. credit card or bank account) to a wide range of recipients (e.g. online stores or the owner of the rented premises) – without sharing your financial data. So, neither the online store seller nor the homeowner can ever see the credit card number or bank details. See how PayPal ensures your online safety.
How to create a PayPal account?
To use all PayPal functionalities, you must create a free account in the system, providing your email address and password. In the next step, we confirm the registration by clicking on the link received in the email.
It is worth knowing that at PayPal we are so-called unverified user. We can use the service and buy online and send money to friends, but this is limited by annual limits. To get rid of these restrictions, you must connect and confirm your card or bank account to PayPal (see below).
Security and protection of buyers
PayPal also cares about the security of its users. Each PayPal payment is encrypted and monitored on an ongoing basis to prevent crime, abuse or identity theft. During the transaction, the financial data (e.g. the user’s card or bank account number) are hidden, as you need to accept the transaction with a PayPal login and password.
The PayPal Buyer Protection program allows you to refund the cost of a transaction paid for with PayPal, if the item you have purchased does not reach us or is different from the one you ordered. Within 180 days of payment, we can file a dispute with the seller, and if the solution does not suit us, we can convert the dispute into a claim within the next 20 days and PayPal will then deal with the matter.
Fees for using PayPal
Setting up a PayPal account and using it is free. The system users also do not bear the costs of adding a payment card, bank account or closing a PayPal account.
It is different if the transaction requires currency conversion of funds or is made with a card connected to PayPal.