PayPal and the GIFT option for international users (19 EU / 6 International countries atm)

[Compyfox]

Recently, a lot of sales are "preferred through PayPal (only)" and "send as gift only". While this request/system actually tries to evade all (high) PayPal Fees and the general TOS (illegal), it does not work for Germany - and a handful more European countries (please check below). The option simply doesn't exist anymore.

ADDITIONAL INFO:
According to KVR user DSK, there seems to be a "gift" option available. But only for registered business accounts:

I think this is only valid when paying for registered businesses PayPal accounts... but when selecting gift option it points out that I can choose to have the fees billed on top of the entered amount or the seller receives the x amount minus these fees.

Important to know:
There are always additional fees involved!

These are (for Germany):
European Union: 1,9% of the sale price plus 0,39 Euro (standard handling)
International: 3,9% of the sale price plus 0,35 Euro (standard handling)

PLUS and at least 1% higher currency exchange rate than listed on YahooFinances (plus another fee for the currency change)!

Please take that into consideration - there is no other way around it with PayPal.

If you want to save on PayPal fees, go IBAN/BIC or SEPA:
Try IBAN/BIC as alternative in the European Union (see also page 2). Local buyers (within the same country) should stick to their local banking money transfer. Each of these methods take a couple of days to register however, but are normally free of charge! One of my clients is in Netherlands and the transfer takes about 3-5 days max.

ADDITIONAL INFO REGARDING IBAN/BIC TURNING INTO SEPA:
Most areas made that possible already, but from February 2014 and forward, European countries have to do money transfers through SEPA - which is a combination of a alphanumeric code (specific bank institute), and your combined account number and bank code. IBAN / SWIFT-BIC will not be possible anymore.

Here is a list of where SEPA is currently possible:
SEPA Bank Listing (German, status July 2013).

More on SEPA here:
http://en.wikipedia.org/wiki/Single_Euro_Payments_Area

International money transfer (bank) can involve a lot of extra fees! I can't give any information regarding Western Union - sorry. Neither can I tell you how money transfer from EU related bank systems directly to the US or other international countries work.

PAYPAL GIFT OPTION AVAILABLE - EUROPE:
Austria - Yes
Czech Republic - Yes
Denmark - Yes
Estonia - Yes
Finland - Yes
France - Yes
Germany - No
Greece - Yes
Hungary - Yes
Italy - Yes
Netherlands - Yes (to friends and family)
Norway - No
Poland - Yes
Portugal - Yes
Romania - Yes
Slovakia - Yes
Spain - Yes
Sweden - Yes
United Kingdom - Yes

PAYPAL GIFT OPTION AVAILABLE - INTERNATIONAL:
Brazil - No
Hong Kong (People's Republic of China) - No
India - No (needs confirmation)
Jamaica - No
Japan - No
USA - No (selected countries)

[standalone]

Can't you choose the "send money to family and friends" option?. There is a 0.5% fee for Europe, I believe.

[b-pole]

no gift option since I use paypal,
nevertheless never had problems to arrange deals without it so far.

[Compyfox]

It's not about arranging deals in this case, but the constant "use gift option" only. So I felt I needed to point that one out.


@michi_mak:
Splitting fees is an option, or you could calculate it into your sale. I think this is up for the seller/buyer to decide.

Thanks for the info for Austria (Österreich). Anybody else from the EU care to contribute?

[twolegstoneworks]

"Gift" is still an option for me (Denmark).

[kx.001]

Was OK in UK last time I checked, but someone I sold to said that they couldn't find this option in their german account so I 'absorbed' the costs. I don't usually specific when I have sold things, but this was below the price I'd asked for so said I would do if it was sent as a gift (which then wasn't possible)

[artificial]

definitely works in Austria right now, just purchased something as a gift yesterday!

edit: just found out the michi_mak already pointed that out - thought, I'm the only Austrian here!

[delaiah]

definitely works in Austria right now, just purchased something as a gift yesterday!

edit: just found out the michi_mak already pointed that out - thought, I'm the only Austrian here!

yeah, I thought so too .

[blue monk]

Bank transfer within Europe (including UK) is pretty quick (2-3 days), does not require anything but a regular bank account and mostly the fees for currency conversion (from € to GBP for example) are low.

I have done this 3 times, both sending and receiving money. Absolutely no problem.

Paypal can also be used of course. You only have to take into account that there is a higher cost to this.

[Compyfox]

Thanks for the info metal and kx.001 - added it on top (now in alphabetical order).


@blue monk:
Did you go by the IBAN/BIC route or just regular transfer?

[DubFox]

I don't ''get'' the whole payment by gift only thing. In essence, I guess, the seller just wants to receive exactly what he's asking for with no percentage taken off. I understand that desire, but that can be easily compensated for by simply adding ±5% to what you are sending as the buyer.

As a buyer, certainly in my neck of the woods, when I attempt to send a payment by the 'gift' option I get charged the fees. So either way I'm paying the ±5%, so why would I wilfully limit my protection should there be a problem with the transaction/transfer by using the 'gift' option ? when I can just pay the same fees using the regular 'purchase of goods' option, and receive total paypal coverage.


I have more to say on this topic, once a 'paypal resolution centre' issue is resolved, but in short I honestly think the 'payment by gift only' requests should possibly be disallowed, or buyers should at least be strongly discouraged from paying via the gift option.

Right now, seeing how this issue is playing out, I'm Uber grateful I militantly don't use the gift option.

anyone agree ?

[kx.001]

Maybe consumer law in Germany says Paypal have to provide the protection you get when you pay the fees for everyone, so just don't offer the gift option where you waive any of the protection.

[aallvor]

No gift option in Norway. I always pay the fee when I buy something, why shouldn't I

[blue monk]

Thanks for the info metal and kx.001 - added it on top (now in alphabetical order).


@blue monk:
Did you go by the IBAN/BIC route or just regular transfer?

IBAN/BIC ist required. These are the international versions of your bank account number and your bank's international ID number.
Typically you get these from your contract with the bank (papers) or you can look the numbers up at the bank's homepage, in your online banking account or you can ask the bank's staff.
Within Europe international money transfer is as easy as national money transfer.
I had national money transfers that took longer than international (2 days from Netherlands to Germany if I recall correctly and 3 days within Germany).
The EU forced banks to increase the speed of transmission and reduce costs a while ago. From my experience it works well.

Giving away your account number to strangers is an aspect to consider. On the other hand paypal fees are a bit bold.
That's a decision you have to make. But if you choose regular bank transfer it will most likely be quick and without problems - at least within Europe.

If a currency exchange is part of the transfer then the cost for that depends on the recipients bank I think.

[blue monk]

Maybe consumer law in Germany says Paypal have to provide the protection you get when you pay the fees for everyone, so just don't offer the gift option where you waive any of the protection.

Paypal bank is listed in Luxemburg so they can do what they want as it appears