PayPal have announced a raft of changes to their user agreement, the most significant of which is that withdrawals to UK bank accounts will be free of charge for all users. Currently this is free when withdrawing more than £50.00 but for smaller amounts there is a fee of £0.25. This fee will be removed as of 11th February 2009.
The effect of this will be to make Personal Payments sent through PayPal totally free for the recipient allowing them to withdraw the money to their bank account with no charges at all. Currently to stay fee free they either need to leave their money in their PayPal account until it totals more than £50.00, or re-spend it paying with PayPal.
There will also be fee changes for those that use PayPal Website Payments Pro Fees for PayPal Express Checkout again effective 11th February 2009.
Other changes include the removing the need to complete the Expanded Use Programme as part of the process to lift their receiving or withdrawal limits – PayPal will introduce an automated process to confirm your address information is correct.
You can read the full changes by logging into your PayPal account and clicking the “Policy Updates” link on the left hand side in the “What’s new” section.