How to Accept Payments on PayPal

Remay Villaester (May)

As an online seller, you need a widely accepted payment system to receive payment from your customers. This is especially true when you sell internationally.

As a seller, you want to use a payment platform that is accepted by your customers. Of these platforms, arguably the most popular is PayPal. With over 300 million users globally as the first quarter of 2020, when it comes to online payment processing, PayPal is the company to beat.

However, PayPal is not the only player on the block in the game of international transfers and selling online. Wise, for example, is up to 19x cheaper than PayPal which makes it a good addition to your payments tools.

In this article, we’ll look at how to accept PayPal payments from your customers and how you can combine it with Wise to save more money.

What do I need to accept PayPal Payments

For consumers, it's as simple as registering an email address with PayPal to receive payments.

However, if you run a business and want to use PayPal for it, you must open a PayPal business account. This gives you more flexibility and freedom to run your business without getting restricted. Unlike personal PayPal accounts, business accounts can process a higher transaction volume and handle more money without getting frozen or suspended.

To upgrade your personal account, click on the settings tab, and select account options. Here you can choose to upgrade to a business account, and follow the steps set out. If you need to set up a business account, check out our guide.

Your business can also receive debit and credit card payments, as well as direct payments from customers with personal PayPal accounts. Besides, a PayPal business account also comes with various tools that you can use to set up online payment buttons or complete electronic shopping carts. Your funds can be easily accessed with a business debit MasterCard or can be transferred to your main personal or business account.

How to Receive Payments on PayPal

Receiving PayPal Payments through your website

As an online seller, if you sell majorly via your website, you can add a PayPal payment button to your website. This will allow your customers to make payments to your PayPal account right from your website. Here's how to set it up:²

  1. Log into your PayPal account and go to “PayPal payment buttons.”

  2. Select the kind of button you want to create. If you sell one or a few items, you can use the “Buy Now” button. If your website sells multiple items, you should choose the “Shopping Cart” option. The shopping cart option allows your customers to add an item to the shopping cart.

  3. Enter the item name and price. You can also customize the buttons by adding extra features. Once you're done, click “Create Button”.

  4. Click “Select Code” to select the button code. Copy and paste this code into your webpage code and the button will appear on your website.

  5. All the buttons that you create will appear in the “My Saved Buttons” page if you would like to make some edits in the future.

How do I receive international payments on PayPal and not lose money on fees

transferwise borderless account

If you’re an international trader, it's essential that you allow payments in your customers’ local currency. This section will show you a cost effective way of receiving international payments on PayPal so if you want to save some money on your sales, pay close attention to this section.

PayPal doesn’t allow international payments by default so you’d have to enable this from your business account.⁴ But before you do so, add foreign currency accounts for the currencies that you want to receive on PayPal. Here’s how:

  1. Click on “Money” from the main menu then click “Manage Currencies”
  2. Select the currency that you want to hold then click “Add Currency”

This feature will allow you to hold funds in different currencies rather than having it converted automatically to your local currency. While that sounds convenient, it can get expensive especially with the conversion fee PayPal charges which usually ranges from 2.5% to 4%.⁵

Now, in order for you to withdraw the funds without having to convert it first, you’ll need a multi-currency account. You can get one from Wise to make sure that your funds are always converted at the real market rate without mark-up and with fees that are up to 19x cheaper than PayPal. Conversions with Wise are optimised so that the fees can be reduced up to 0.75% on average. This means 1.75% - 3.25% savings for you.

Get a multi-currency account

Once your multi-currency account is ready, you can enable international payments with PayPal. Here’s how:

  1. Log in to your PayPal account
  2. Go to your business profile and select “Profile and Settings”
  3. Select “My selling tools”
  4. Find the “Block Payments” line and click on “Update”
  5. Find the “Block Payments from users who:” line and make sure that the option that disables payment in different currencies is untick to allow PayPal account holders from other countries to pay you online.

Receiving PayPal Payments through Amazon and eBay.

Amazon and eBay are some of the most popular online marketplaces. Their popularity and the volume of people that use them make them attractive to sellers. If you are an online seller selling on Amazon, however, you cannot receive payment via PayPal, as all payments are processed by Amazon and then sent to your bank account. If you are a seller on eBay, here is how to set up your account to receive payment via PayPal

  1. If you have a PayPal account already, go to My eBay - Account - Site Preferences

  2. In the Selling Preferences section, click the Show link that’s beside Payments from Buyers, and click Edit

  3. Under PayPal preferences, select “Offer PayPal as a payment method in all my listings”

  4. Click Submit at the bottom of the page.

Even if you don't have a PayPal account yet, you can still accept PayPal on your eBay listings. All you have to do is select PayPal as a payment method when filling the Sell Your Item form. Then enter the email address that you want the payments to be sent, and you can receive online payments from your buyers. You will be asked to sign up once you receive your first payment.

Want to earn extra revenue? Join the Wise affiliate program and receive commission for recommending Wise to other online sellers.


  1. Small Business blog post
  2. PayPal help article
  3. eBay help article
  4. PayPal Merchant fees
  5. PayPal Merchant fee
  6. PayPal article

This publication is provided for general information purposes only and is not intended to cover every aspect of the topics with which it deals. It is not intended to amount to advice on which you should rely. You must obtain professional or specialist advice before taking, or refraining from, any action on the basis of the content in this publication. The information in this publication does not constitute legal, tax or other professional advice from TransferWise Limited or its affiliates. Prior results do not guarantee a similar outcome. We make no representations, warranties or guarantees, whether express or implied, that the content in the publication is accurate, complete or up to date.

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