If you are a Filipino Entrepreneur and you want to learn about PayPal and how essential it is in our business, you have come to the right place.
Let me introduce to you… PayPal Philippines. This article is presented in a form of Question-And-Answer, where I ask myself, and then I answer my own question. 🙂
Ready? Here we go.
What Is PayPal?
Quite simply, PayPal is an online payment solution that allows you to securely send and receive money over the Internet. You can think of it as a virtual Credit Card machine that sits next to the point-of-sale terminal, but minus the cute cashier and without the actual card swiping action. The widespread acceptance of PayPay all over the world makes it advantageous if you have a global operation or your business is operating 24/7.
Naturally, it fits well with businesses that have their own websites. But having a website is not even necessary for you to receive money. All you ever need to accept online payment via PayPal is an email address – not a website. That is, you can simply direct your paying client or customer to your account on the PayPal.com website and PayPal will take care of the rest.
Of course, there are other alternative online payment solutions available like 2Checkout, Authorize.net, iTransact and Google Checkout. But the primary advantage of PayPal is that it has a large number of user-base worldwide. It is available in more than 190 countries around the globe. And it is very popular here in the Philippines, particularly to the young generation of Internet users. Moreover, it has gained the respect of top calibre online businesses and it is the preferred method of payment on EBay.
Can I Accept Credit Card Payments with My PayPal Account?
PayPal is meant for that kind of business transaction.
It is a payment gateway that allows you to accept online payments from people using their credit cards, debit cards or their own PayPal Accounts.
What Are the Benefits of Using PayPal?Aside from the ones already mentioned above, here are the reasons why you should use PayPal:
- PayPal is very secure. Their website says Paypal “uses the latest anti-fraud technology.”
- PayPal hides your financial information. If you have ever used your credit card to purchase online, you remember that they require you to provide at least three things: your card number, your name, and the Card Security Code. That exposes you to a potential credit card fraud especially if the website saves your financial data in its database. With PayPal, you only provide your PayPal credentials using your email address and your account password, nothing more.
- PayPal for Money Transfers. You can use it for money transfers and remittances to the Philippines, within the country, or anywhere in the world.
- Paypal supports multiple currencies. PayPal has a built-in Forex System that allows you to do business transactions using multiple currencies including our very own Philippine Peso and the ever mighty and universally accepted US Dollar.
What Is PayPal Account For Business?
There are three types of PayPal accounts, namely: Personal, Premier and Business.
If you are to use PayPal for business transactions, it is only appropriate to get the Business Account since it has special features that are not available on the simple Personal Account (individual shopper) or Premier Account (individual, non-business, occasional seller).
I Want To Set Up A PayPal Account. What Are The Requirements?
There are four things you need to have.
- An Email Address. Make sure you are using this one for business only. You don’t want to mess this up with your personal email account, newsletter subscriptions and things like that.
- A Bank Account. It can either be a Savings Account or a Checking Account (sometime called Current Account) preferably in the local Philippine Currency and in name of the business. This is needed so you can withdraw your money from PayPal and deposit it to your bank account. I would recommend getting one where Internet Banking is allowed.
- PayPal Bank Code. This is a Numerical Code assigned by PayPal to identify your bank. You can get this one from your bank or from this website. (See further explanation below.)
- A Credit Card or Debit Card. Get this one from a credit card company or check out with your favourite bank. I recommend that you use a credit card here. That would provide an added security on your part.
Special Note: A lot of local bankers in the Philippine are not even aware of PayPal. Don’t be surprised if they give you a blank stare when you ask about setting up a PayPal Account using your account with them.
The easiest way to tell if PayPal has a tie-up with a particular bank in the Philippines is to check its respective Bank Code from this URL:
That is the official website of eBay Philippines; PayPal is an eBay Company. That is the most reliable source there is. Don’t ever get it from any other websites.
I Want To Sign Up Now, Tell Me How
Remember to sign up for a Business Account. Click here to reach the sign up page from the website.
Alternatively, you can click on the image shown below.
Again, it’s for your business so get the Business Account.
If you should first try to get an account for personal use, I would recommend that you sign up for the Premier Account instead of the Personal Account. Who knows? You might have some stuff you want to sell personally so you can test your new-found PayPal Powers. 🙂
This article is intended to provide you with the essential information about PayPal as it relates to your business. As an entrepreneur, this is one of those important things you have to be aware of.
Hopefully, this article gets you up to speed already with PayPal.