Bank Transfer VS Paypal for Canada

[xrubylin]

Hi there!
So my question is regarding what is better to withdraw money: Bank Transfer or Paypal for Canadians.

Right now I realize that Paypal is automatically taking a 2.9% cut out of all of the money put into the account for sellers. But my big concern is with the exchange rate - it seems as though Paypal is taking an additional cut between converting between CAD & USD.

Today the exchange is 1.33 but they are only using a 1.29 exchange - this might not seem much but if you are withdrawing $1000.00 that is 1330 vs 1290 ($40 difference…that’s 8 gigs!) not to mention the 2.9% they are already taking a cut off.

Has anyone, in Canada, tried using the Bank Transfer function and what were the fees/exchange/what was deducted? Any feedback would help a lot.

Thanks!

R

[fonthaunt]

I’m not in Canada so I can’t respond to most of this. Perhaps someone else will. I did want to mention that PayPal does have a cap on how much they take out of your withdrawal. If you wait to withdraw until you have $100 or more, they will only take $1.

[theratypist]

I think the Local Bank Transfer option is currently available exclusively in India. It’s stated here in Fiverr’s Terms of Service under “Withdrawals”. https://www.fiverr.com/terms_of_service

[catsquirrel]

Sorry, I don’t have a useful answer to your question exactly, but for PayPal in Canada, be aware that once you’ve had more than a certain dollar amount of transactions in total, PayPal will require you to attach your account to a bank account instead of a credit card, and the bank account will be your only option for recurring payments that you make (for subscriptions and such). I’d strongly suggest that you consider setting up a secondary bank account for this purpose, even if you already have a separate business account. It would be most inconvenient if you suddenly could not access any of your money because something caused PayPal to freeze your account by mistake or otherwise.

[greybohemian]

I’m also at this ‘crossroad’. I’m finding Paypal to be an expensive option but not sure if I am better off doing bank withdrawals. I need to get my complete bank transfer details and I’ll be sure to give it a try.

If anyone else in Canada has tried the Bank withdrawal option. I for sure want to know too. How long processing time is and charges involved.

Thanks!

[lerondpoint]

Anybody got an answer on this? I also get a message saying that Bank transfer will be the only withdrawal option after adding an account, is that true?

[lianapvox]

I’m Canadian and I tried signing up for a Bank Transfer, but they want a SWIFT/BIC number which is a bit unclear of how to find out what number that is. I think you have to signup with SWIFTRef first. There’s a link to take you there next to the box where it asks you for the SWIFT/BIC number. It seems like a big hassle to me. I didn’t have to do this with other freelance sites. Again, it’s very unclear. I think I’m going to just stick with PayPal. Either method, we’re going to get hit with fees.