Statrys Payment Platform Ecosystem

PayPal Singapore Business Account: Fees and Requirements

Statrys Team
Published: 08 Jan 2021

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    PayPal Singapore Business Account: Fees and Requirements

    A Singapore Paypal Business Account is a nifty payment gateway for your business not just in Singapore, but in Asia too. It’s easy to use, accessible, and user friendly.

    But how about its prices?

    Let’s take a look at, and break down Singapore Paypal Business Accounts fees and requirements.

    PayPal fees for sending money

    As you might already know, it’s free to use PayPal to send money locally, but then if you want to send money to an overseas account using a different currency, then you might have to pay a few conversion fees.

    Essentially, there are no basic fees charged for that; however, the default currency conversion rate is set as 2.5%, but the fees may vary from 2.5 to 4%, depending on what currency you’re converting from. 

    But if you’re thinking about using PayPal to do personal payments, like paying back coffee money to a friend or chipping in for that wine money to a family member, unfortunately, that is not possible since PayPal only allows business-related payments/transactions in your account.

    PayPal fees for receiving payments

    Now, if you have a PayPal merchant account, there’s a standard fee you need to pay for.

    The amount of money paid will be charged according to the volume of sales you have. 

    Say you have a Singapore-based PayPal account, you’ll have to pay 3.9% from the total transaction and a fixed fee of S$0.5. 

    We broke it down for you here

    And here’s your fixed fees we laid out for you if you’re doing international payments.

     Monthly Sales (in SGD)  Singapore Receivables (in SGD)  International Receivables (in SGD)
     0 - 5,000  3.9% + 0.50  4.4% + 0.50
     5,001 - 15,000  3.4% + 0.50  3.9% + 0.50
     15,001 - 25,000  3.2% + 0.50  3.7% + 0.50
     25,001 - 150,000  2.9% + 0.50  3.4% + 0.50
     150,000+  2.7% + 0.50  3.2% + 0.50

    And here’s your fixed fees we laid out for you if you’re doing international payments.

     Currency Received  Fixed Fee
     Australian Dollar  $0.3 AUD
     British Pound  0.20 GBP
     Canadian Dollar  $0.30 CAD
     Euro  0.35 EUR
     Hong Kong Dollar  $2.35 HKD
     Japanese Yen  ¥40.00 JPY
     Malaysian Ringgit  2.00 MYR
     Singapore Dollar  $0.50 SGD
     US Dollar  $0.30 USD

    PayPal fees for withdrawing

    Now, for PayPal users in Singapore, the standard withdrawal fee to a US bank account for a PayPal Singaporean merchant account is 3%. 

    If you link your bank account to your Singapore-based PayPal account, the withdrawal fee would be SGD1 for withdrawing less than SGD200. If you’re withdrawing money more than that, then it would be free.

    For easier budget-planning, use PayPal’s withdrawal fees calculator to check out all these withdrawal fees to your card.

    PayPal exchange rate

    Similar to the Hong Kong-based PayPal account, the Singapore-based one also charges an exchange rate according to the mid-market rate defined. Again, currency conversion fees also apply to that.

    How the currency exchange rate works is that it will charge a percentage margin to the mid-market exchange rate, which is usually between 2.5 to 4%.

    One-click payment

    Now, let’s go back to the magic of PayPal. Now the good thing about it is that with just one click of a button, customers can easily pay for your products within 30 seconds. 

    The payment channel of PayPal is so diversified that you can even personalize the payment for your customers – you can send a shareable link of payment; drop a customized instant message at their inbox, or even send it through their favorite social media channel. 

    Sales have also grown faster than ever - it is also estimated that over $659 billion in sales will be done online in 2021. And online payments is the key to tapping into that online market.

    Here’s all the talk about the grave potential of online payments. Now let’s get down to the logistics and get your PayPal account ready. 

    How to use the PayPal business account

    Now that you get your PayPal business account, what can you use it for then?

    Well, there’s quite a few ways you can use it with.

    PayPal has different payment solutions specifically designed for all sorts of businesses.

    Here’s a list of things you can do over PayPal

    • Create, schedule, send invoices for your customers to make direct payments in your PayPal account
    • Receive payments from marketplaces e.g. eBay, Etsy
    • Create easy reusable payments option by adding the PayPal button for customers to fill in one-time payment details for repeated use

     How to set up a PayPal business account in Singapore 

    Here we break down the PayPal business account in a step-by-step guide for you to follow.

    Step 1: Sign up for PayPal

    Once you go to PayPal website, go ahead and click the “sign up” button (on the top right of the home page).

    Step 2: Fill in your personal details

    Next, you need to fill in a few of your personal details – email, contact information, and some of your business details.

    Step 3: Confirm your email address

    Then, use the prompt sent automatically by PayPal to confirm your email address.

    Step 4: Choose your payment solution

    After that, you can pick your preferred payment channel. There are quite a few available – you can use PayPal.me to acquire invoices paid into your account; or, take the direct payments through your own website.

    Step 5: Link your accounts

    Lastly, you can connect your personal or business bank account to the PayPal account.

    Paypal too small-scale for your business? Consider opening a multi-currency business account with Statrys, and enjoy awesome features like FX payments, commission-free exchanges to RMB, and more.

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    Statrys Limited is licensed as a Money Service Operator (No. 19-02-02726) in Hong Kong. Statrys UK Limited is a Small Payment Institution (FRM: 911226) registered with the Financial Conduct Authority in the United Kingdom. Statrys UK Limited (FRM: 902805) is a registered agent of PayrNet Limited (FRM:900594), an Electronic Money Institution authorised by the Financial Conduct Authority in the United Kingdom under the Electronic Money Regulations 2011 for the issuing of electronic money. Trade financing services are offered by our partner, Velotrade Management Limited, regulated by the Securities and Futures Commission of Hong Kong (CE Ref #BJL007)