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Review: PayPal for ecommerce sites

A simple and convenient way for your ecommerce business to receive payments in 24 currencies.

Tim Falk

Updated Feb 5, 2020

Fact checked

Good for a wide range of currencies and ease-of-use.

Beware relatively steep currency conversion fees and a confusing fee structure.

See our full list of pros and cons below.

What's in this guide?

How does PayPal work for ecommerce businesses?
What are PayPal's fees?
How do I set up a PayPal account for my ecommerce store?
In a nutshell
How does PayPal compare to other online seller services?

How does PayPal work for ecommerce businesses?

PayPal is best known as a global online payments system. While you can integrate PayPal with your website to accept payment from customers, you can also use the platform to get your funds back to New Zealand when you’re selling overseas.

When you open a PayPal business account, it essentially functions as a multi-currency account. This means you can receive payment in more than 200 countries and 24 currencies, and give customers the peace of mind and security of paying in their local currency. You can then convert foreign currency back into New Zealand dollars in your PayPal account whenever you want, before withdrawing those funds to your linked business bank account.

PayPal accepts the following currencies:

NZD New Zealand dollar
AUD Australian dollar
BRL Brazilian real
CAD Canadian dollar
CZK Czech Koruna
DKK Danish krone

EUR euro
GBP UK pounds sterling
HKD Hong Kong dollar
HUF Hungarian forint
ILS Israeli shekel
JPY Japanese yen

MXN Mexican peso
MYR Malaysian ringgit
NOK Norwegian krone
PHP Philippine peso
PLN Polish zloty
RUB Russian ruble

SGD Singapore dollar
SEK Swedish krona
CHF Swiss franc
TWD Taiwan new dollar
THB Thai baht
USD US dollar

You can manage your PayPal business account online or via the PayPal Business app.

What are PayPal’s fees?

PayPal’s fee structure is quite complicated and difficult to understand. While there are no set-up fees or account fees, PayPal does charge a currency conversion fee when you receive payment in a foreign currency. When you want to withdraw funds into your linked bank account, PayPal converts those funds into New Zealand dollars at 2.5% above its base exchange rate.

It’s also worth pointing out that PayPal charges fees when you receive payment into your PayPal account for goods sold. This fee can be anywhere from 1.75% to 4.6% (plus a small fixed fee) depending on the payment method used.

Read our review of PayPal for international money transfers

How do I set up a PayPal account for my ecommerce store?

You can open a PayPal business account by completing the following steps.

Next, create a password and provide some basic information about your business, including:
- Legal business name
- How the business is structured
- Your business contact number
Once you’ve entered the relevant details, click “Create Application”.
Now it’s time to provide some more detailed business information, including:
- The country where your business is registered or incorporated
- Your business number (NZBN)
- The registered business address and the address of your principal place of business
- How long you’ve been in business
- The type of goods/services you sell
- Your business website or Facebook page
Click “Save and Continue” once you’ve filled out all the relevant fields.

In a nutshell

Pros

Simple set-up process. It’s quick and easy to set up a PayPal account and start receiving payments.
Convenient and easy to use. PayPal is a popular online payment method that shoppers all over the world are familiar with. It also makes it simple and straightforward to repatriate overseas sales revenue to New Zealand dollars.
Supports a wide range of currencies. A PayPal account lets you accept payments in 24 currencies and over 200 markets around the world, and then convert funds back into NZD whenever you need.

Cons

Currency conversion fees. PayPal’s currency conversion fee of 2.5% increases the cost of converting foreign currency back into NZD.
Confusing fee structure. PayPal’s fee structure is quite complicated and can take a little while to wrap your head around.

How does PayPal compare to other online seller services?

Check out the table below to see how PayPal’s features compare to those offered by other online seller accounts and services.

I want to send

Min. Transfer Amount	Transfer Speed	Online Transfer Fee	Rate	Amount Received	Description	CTA	Details
GBP 5,000	1 - 2 days	NZD 0.00	0.71	USD 7,102	CurrencyTransfer is an online marketplace that lets you shop around for the best exchange rate. Use it to take your ecommerce business to the next level.	Go to site	Compare	Show details	Details Minimum transfer amount GBP 5,000.00 Transfer methods Online, Bank Account to Bank Account, International Money Order Transfer options One off payments, Market orders, Forward contracts Customer service Phone, Email Available currencies AED, AUD, CAD, CHF, CZK, DKK, EUR, GBP, HKD, HUF, ILS, JPY, MXN, NOK, NZD, PLN, RON, SEK, SGD, THB, TRY, USD, ZAR Go to site Read the full review
AUD 250	1 - 2 days	NZD 15.00	0.711	USD 7,098	Receive local bank account details for 6 currencies. Free account signup with 24/7 support.	Go to site	Compare	Show details	Details Minimum transfer amount AUD 250.00 Transfer methods Online, Phone, Agent Transfer options Regular payments, One off payments, Market orders, Forward contracts Customer service Phone Available currencies AED, ARS, AUD, AZN, BGN, BHD, BND, BRL, CAD, CHF, CLP, CNY, CZK, DKK, EGP, EUR, FJD, GBP, HKD, HUF, IDR, ILS, INR, JPY, KRW, KWD, LKR, MAD, MGA, MXN, MYR, NOK, NZD, OMR, PEN, PGK, PHP, PKR, PLN, RUB, SAR, SBD, SCR, SEK, SGD, THB, TOP, TRY, TWD, TZS, USD, VEF, VND, VUV, WST, XOF, XPF, ZAR, CHW Go to site Read the full review
NZD 1	1 - 2 days	NZD 80.00	0.714	USD 7,081	Send or receive money with the real exchange rate and a multi-currency account. You can also get local bank account details in the UK, US, Europe, Canada and Australia.	Go to site	Compare	Show details	Details Minimum transfer amount NZD 1.00 Transfer methods Online Transfer options One off payments Customer service Phone, Email Available currencies AED, ARS, AUD, BDT, BGN, BRL, BWP, CAD, CHF, CLP, COP, CRC, CZK, DKK, EGP, EUR, GBP, GEL, GHS, HKD, HRK, HUF, IDR, ILS, INR, JPY, KES, KRW, LKR, MAD, MXN, MYR, NGN, NOK, NPR, NZD, PEN, PHP, PKR, PLN, RON, RUB, SEK, SGD, THB, TRY, TZS, UAH, UGX, USD, UYU, VND, XOF, ZAR, ZMW Go to site Read the full review
NZD 2,000	2 days	NZD 0.00	0.711	USD 7,109	Open bank accounts in Australia, the UK, US, Canada, Japan and Europe. Send and receive funds with zero fees, including same-currency supplier payments.	Go to site	Compare	Show details	Details Minimum transfer amount NZD 2,000.00 Transfer methods Online, Phone, Agent Transfer options One off payments, Market orders, Forward contracts Customer service Phone, Email Available currencies AED, ALL, AMD, ANG, AOA, ARS, AUD, AZN, BAM, BBD, BGN, BHD, BIF, BMD, BND, BOB, BRL, BSD, BWP, BZD, CAD, CDF, CHF, CLP, CNY, COP, CRC, CVE, CZK, DJF, DKK, DOP, DZD, EGP, ERN, ETB, EUR, FJD, GBP, GEL, GHS, GMD, GNF, GTQ, GYD, HKD, HNL, HRK, HTG, HUF, IDR, ILS, INR, IQD, ISK, JMD, JOD, JPY, KES, KHR, KRW, KWD, KYD, KZT, LAK, LBP, LKR, LRD, LSL, MAD, MGA, MKD, MNT, MRO, MUR, MWK, MXN, MYR, MZN, NAD, NGN, NIO, NOK, NPR, NZD, OMR, PEN, PGK, PHP, PKR, PLN, PYG, QAR, RON, RSD, RUB, RWF, SAR, SBD, SCR, SEK, SGD, SLL, SRD, STD, SZL, THB, TND, TOP, TRY, TTD, TWD, TZS, UGX, USD, UYU, VEF, VND, VUV, WST, XCD, XOF, XPF, ZAR, ZMW Go to site Read the full review

Compare up to 4 providers

Disclaimer: Exchange rates change often. Confirm the total cost with the provider before transferring money.

Thank you for your feedback!

Tim Falk

Tim Falk is a freelance writer for Finder, writing across a diverse range of topics. Over the course of his 15-year writing career, Tim has reported on everything from travel and personal finance to pets and TV soap operas. When he’s not staring at his computer, you can usually find him exploring the great outdoors.

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Review: PayPal for ecommerce sites

A simple and convenient way for your ecommerce business to receive payments in 24 currencies.

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