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Combined Financial Services Guide and Product Disclosure Statement

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Combined Financial Services Guide and Product Disclosure Statement

Last Update: Feb 25, 2014

 

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INTRODUCTION
Part 1: FINANCIAL SERVICES GUIDE (FSG)
1. Issuer
2. Purpose of this FSG
3. How to contact us
4. Financial services we are authorised to provide
5. Remuneration, commissions and other benefits
6. Associations
7. Complaints and disputes
PART 2: PRODUCT DISCLOSURE STATEMENT (PDS)
8. Issuer
9. About this PDS
10. Our Services
11. Terms and conditions
12. Responsibility for taxes
13. Opening a PayPal account
14. Types of accounts
15. How PayPal manages the funds in your account
16. Key risks
17. Key benefits
18. Fees and charges
19. Fee calculation examples
20. Confirming our customers’ identities under the Anti-Money Laundering and Counter-Terrorism Financing laws
21. Verifying your Payment Method and transaction limits
22. Third party Credit Card fees
23. Complaints and contacting us
24. Other related documents
PART 3: Definitions

 

INTRODUCTION

Our legal relationship with our customers is governed by our User Agreement (incorporating all policies).
Our Financial Services Guide (FSG) is designed to help you decide whether to use any of the Services we provide. Our Product Disclosure Statement (PDS) contains information you require to make an informed choice about whether or not to register for and use our Services. Information relevant to both the FSG and PDS may be included expressly in one part and incorporated by reference in the other.

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Part 1: FINANCIAL SERVICES GUIDE (FSG)

 

1. Issuer

1.1 Part 1 of this document is an FSG issued by PayPal Australia Pty Limited ABN 93 111 195 389 which holds Australian financial services licence number 304962.

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2. Purpose of this FSG

2.1 This FSG contains information about:

  • The Services we provide;
  • Remuneration, commission or other benefits paid to us and others in connection with the Services we provide;
  • Details of any associations which might reasonably be expected to be able to influence the Services we provide; and
  • Our complaint resolution arrangements and how you can access them.

2.2 This FSG contains only general information about the Services we offer.

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3. How to contact us

3.1 Our contact details are as follows:

Email:

Visit www.paypal.com.au and click Contact at the bottom of the page.

Mail: PayPal Australia
Locked Bag 10
Australia Square PO
Sydney NSW 1215

Phone:

1800 073 263 (within Australia) or +61 2 8223 9500
6am - 10pm AEST/AEDT Monday to Friday
8am - 7pm Saturday and Sunday

Not open on Christmas Day, Boxing Day or New Year’s Day.

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4. Financial services we are authorised to provide

4.1 PayPal is authorised to:

  • Provide general financial product advice for non-cash payment products; and
  • Issue, apply for, acquire, vary or dispose of non-cash payment products.

4.2 We are only authorised to provide general advice so you should be aware that any advice (including any statement of opinion or recommendation) we may give about our Services does not take into account your objectives, financial situation or needs. You should consider the appropriateness of our Services in regard to your circumstances before you act on any advice we provide.

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5. Remuneration, commissions and other benefits

PayPal employees

5.1 The way we pay our employees varies between business areas.

5.2 Some PayPal employees in the PayPal sales team earn a base salary and variable pay, calculated as a percentage or multiple of their base salary, if they (or their team) meet monthly or quarterly business and service targets (as applicable).

5.3 In addition, from time to time non-monetary rewards or additional incentive payments may apply.

Third parties

5.4 If a customer is referred to us, we may pay the referrer a fee calculated as a percentage of the total payment volume generated by the customer.

5.5 You can request more information about certain relevant remuneration payments referred to above before we provide our Services to you.

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6. Associations

6.1 PayPal is part of the eBay Inc. group of companies.

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7. Complaints and disputes

7.1 We are committed to dealing with customer complaints fairly and resolving issues in accordance with our complaints handling processes and policies and relevant regulatory standards.

7.2 We are exempt from the requirement to hold professional indemnity insurance cover and have compensation arrangements in place.

7.3 The Australian Securities and Investments Commission has a free Infoline on 1300 300 630 for obtaining information about your rights or making a complaint.

Submitting a complaint or dispute

7.4 If you have a dispute with a seller, you should file a dispute through the Resolution Centre by logging in to your PayPal account.

7.5 If you have a complaint about our Services or believe your account may be subject to an unauthorised transaction, account takeover or other type of fraudulent activity, you should contact us immediately.

7.6 You can report complaints about our Services by:

Email:

auexecutiveescalations@paypal.com

Phone:

1800 073 263 (within Australia) or +61 2 8223 9500
6am - 10pm AEST/AEDT Monday to Friday
8am - 7pm Saturday and Sunday

Not open on Christmas, Boxing Day or New Year’s Day.

Mail:

Customer Advocacy Manager
PayPal Australia
Locked Bag 10
Australia Square PO
Sydney NSW 1215

Handling your complaints

7.7 We aim to:

  • Acknowledge receipt of all complaints within 5 business days.
  • Resolve all complaints within 45 days. This may not be possible in all circumstances.

Where we cannot resolve a complaint within 45 days, we will notify you of the reason for the delay as well as an indication of when we expect to resolve the complaint.

7.8 If a complaint relates to the limiting of an account, we may request additional documentation from you. For more information, please refer to the clauses titled “Limiting accounts” and “Closing your account” in our User Agreement.

Referral of unresolved complaints to external dispute resolution scheme

7.9 We are a member of the Financial Ombudsman Service (“FOS”), an independent external dispute resolution scheme covering applicable Australian customers. For more information on FOS, please visit www.fos.org.au.

7.10 If you are not satisfied with our resolution or handling of your complaint you may wish to contact FOS by:

Phone:

1300 780 808

Mail:

Financial Ombudsman Service
GPO Box 3
Melbourne VIC 3001

Fax:

+61 3 9613 6399

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PART 2: PRODUCT DISCLOSURE STATEMENT (PDS)

 

8. Issuer

8.1 Part 2 of this document is a PDS issued by PayPal Australia Pty Limited ABN 93 111 195 389 which holds Australian financial services licence number 304962.

8.2 We are licensed by the Australian Prudential Regulation Authority as an authorised deposit-taking institution that provides purchased payment facilities.

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9. About this PDS

9.1 This PDS only applies to you if you reside in Australia.

9.2 The information in this PDS is current as at the last update. Information about changes may be found on our Policy Updates page. We will mail you a paper copy of any changes free of charge on request.

9.3 The information in this PDS is not intended to constitute advice, nor is it a recommendation or opinion that our Services are suitable for or take into account your specific objectives, financial situation or needs.

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10. Our Services

10.1 Our Services allow you to securely and conveniently send and receive payments. To find out more, please visit www.paypal.com.au.

10.2 When you register to use our Services we will open a PayPal account in your name or business name.

10.3 Our Services allow you to:

Make a payment

Pay anyone, anywhere, with just an email address or mobile phone number.

  • Send payments for Commercial Transactions or Personal Transactions.
  • Payment will be made on your terms. Funds will be debited from your PayPal account, linked bank account or Credit Card.
  • We’ll send the funds to your recipient without sharing your financial information.

Request and receive payments

Request and receive payments instantly from anyone with just their email address or mobile phone number.

  • Invoice a buyer or request funds for a Personal Transaction.
  • When you request a payment, we’ll send the buyer or nominated individual an invoice or notification via email or SMS.
  • We’ll let you know when you’ve been paid and the funds will appear in your account.

Withdraw money

If you have funds in your account, you may withdraw them to the linked bank account you hold with a financial institution in Australia or the United States of America.

10.4 In consideration for your use of our Services, you irrevocably transfer and assign to us the right to earn interest that may accrue on funds held by us. This applies only to interest earned on your funds and does not grant us any ownership right to the principal of the funds you hold with us, subject to our User Agreement.

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11. Terms and conditions

11.1 If you sign up to use our Services, this PDS, our User Agreement and your completion of our online registration form constitute your agreement with us.

11.2 Our User Agreement (and its incorporated policies) is available online at http://www.paypal.com.au by clicking Legal Agreements at the bottom of any page.

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12. Responsibility for taxes

12.1 You are responsible for collecting, reporting and paying any taxes that may arise from your use of our Services. You agree to comply with applicable tax laws in connection with your use of our Services.

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13. Opening a PayPal account

13.1 You can sign up for our Services at http://www.paypal.com.au by clicking Sign Up and completing the online registration form.

13.2 Your account will become active as soon as you have validly completed the registration form. You may be subject to certain payment or transfer limits until you complete further verification processes.

13.3 You may also be required to seek pre-approval for using our Services if your account falls within a category listed in our Acceptable Use Policy.

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14. Types of accounts

14.1. There are 3 types of PayPal accounts:

Personal account

Premier account

Business account

For personal, domestic or household purposes only.

  • Buy online and in person.
  • Send and receive money for Personal Transactions.
  • Upgrade to a premier account at any time.

For users who buy and sell, including sole traders.

  • Buy and sell online and in person.
  • Send and receive money for Personal Transactions.

For non-individuals, e.g. associations or bodies corporate.

  • Buy and sell online and in person.
  • Hold under a corporate or group name.
  • Set different access rights (including transaction limits) for multiple employees or representatives.
  • Access merchant services rates (where approved).

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15. How PayPal manages the funds in your account

15.1 Any funds held in your account will be pooled with money from accounts of other customers and deposited into a licensed bank in Australia. This does not affect your right to withdraw funds from your account.

15.2 If there is a positive balance in your account and you have not transacted in the period prescribed under the Banking Act 1959 (Cth), your funds will be subject to the unclaimed monies laws.

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16. Key risks

16.1 Unauthorised transactions: There is a risk your account may be compromised and subject to an account takeover, unauthorised transaction or other type of fraudulent activity.

Your liability for unauthorised transactions

You are responsible for losses arising from an unauthorised transaction where we can prove, on the balance of probability, that you contributed to a loss through fraud or breaching our password security requirements. You will be liable in full for the actual losses that occur before the loss, theft or misuse of a security key or breach of password security is reported to us.

For more information, please refer to our User Agreement and Electronic Fund Transfer Rights and Error Resolution Policy.

Your liability for received payments that are reversed

If you receive a payment that is reversed for any reason, unless we agree otherwise or as determined under the PayPal Seller Protection Policy, you will be liable to us for the amount of the reversed transaction plus any fees we incur as a result of the Reversal.

A payment may be subject to a Reversal if the sender of the payment:

  • Files a Chargeback with their Credit Card provider;
  • Reverses a payment made from their bank account;
  • Pays with funds improperly obtained (for example, using a stolen Credit Card); or
  • Files a successful claim against you under our Buyer Protection Policy.

16.2 Account hold, limitation or closure: We may place a hold on funds received into your account and limit your ability to send or transfer funds from it. This may occur for a variety of reasons, including:

  • Our requirements to prove your identity in accordance with Anti-Money Laundering and Counter-Terrorism Financing laws (“AML laws”);
  • Suspected fraud;
  • Sudden changes in the amount or number of transactions;
  • Abuse of our Services; or
  • Breaches of our User Agreement, Acceptable Use Policy or any other policy or agreement you have entered into with us relating to our Services.

Your account may also be subject to a hold, limitation or closure including but not limited to the following reasons:

Linked or associated accounts

We may limit your account if we reasonably believe it is linked to another account that is in breach of our User Agreement or has a negative balance.

Personal account use breach

If we believe your personal account is being used in connection with a business we may suspend it or require you to upgrade to a premier or business account.

Payment Review

Transactions may be subject to Payment Review. Funds under Payment Review will be subject to a hold and we will ask the seller to delay the shipping of the item.

Once we have reviewed the transaction, we will either complete or reverse the payment. If the payment is completed, we will provide notice to the seller. Otherwise, the funds will be returned to the buyer.

Transactions that complete Payment Review may still be reversed under the terms of our User Agreement.

Holds on eBay transactions

We may hold funds you receive into your account for sales on any eBay website if you do not meet certain seller and risk standards, for example if you are a new seller or have limited history with the relevant eBay website. In placing this hold, we will consider information we receive from the relevant eBay website.

More information about holds, limitations and account closures:

Restoring access to a limited account

If we limit access to your account, we will investigate and attempt to resolve the issue. You may be required to provide information to us as part of our investigation. If the investigation is resolved in your favour, we will restore access to your account.

Restoring access to your account may take time and until it is restored you may not be able to use it to send, receive or withdraw funds. Please refer to the “Limiting accounts” and “Closing your account” clauses of our User Agreement for a detailed explanation of when we may limit access to or close your account.

Our right to hold funds

We may place a hold on transactions in your account to help ensure the integrity of a transaction or if we believe that there is a risk associated with you, your account or any transactions in your account. We will consider a number of factors before placing the hold, including information we receive from related third parties and whether the funds are related to an irregular or unusual transaction. The funds will be held while we review the possible risks to mitigate any actual or reasonably anticipated risk of us or our customers being adversely affected. We will notify you if we place a hold on any funds in your account.

  • You authorise us to make any Reversals, refunds or payments from the held funds in accordance with our User Agreement. You will not be able to access any funds subject to a hold.
  • Held funds may be subject to a subsequent Reversal, Chargeback or claim, either while held or after the hold has been released.
  • Holds are usually placed for 21 days.
  • We may release a hold earlier than 21 days where we reasonably believe the relevant transaction has completed successfully.
  • Funds may be held for longer than 21 days if:
    1. You receive a dispute, claim, Chargeback or Reversal relating to the transaction subject to the hold (including any claim under an eBay buyer protection policy through the relevant eBay website); or
    2. We have taken another action permitted under our User Agreement.

Fees associated with holds, limitations or closures

You agree that you will pay us (and we may deduct from your account) any applicable fees if held funds are removed from your account in accordance with our User Agreement. For example, if you have selected that any funds received into your PayPal account should be automatically converted to another currency and the funds are subsequently refunded or reversed and must be returned to the sender in the original currency received, you will pay us (and we may deduct from your account) any fees relating to the currency conversion.

For information about fees, please see “Fees and charges” (clause 18 below).

16.3 Unavailability of our Services: Whilst we make every attempt to ensure our Services are available at all times, it is possible they may be rendered temporarily unavailable from time to time.

16.4 Payments owed to eBay: If you sell through eBay and the eBay website on which the item is sold offers a buyer protection policy, that eBay website may require you to comply with their policy and buyer protection resolution process. For example if you list your item for sale on www.ebay.com.au and the item is purchased on www.ebay.com, you may be required to follow the US eBay website’s Buyer Protection Policy.

Reimbursements to eBay for determinations under an eBay buyer protection policy

The relevant eBay entity may make a determination to refund a buyer and require you to reimburse them for the amount refunded (“eBay Reimbursement”).

If eBay determines that you are required to reimburse your buyer, you authorise us to debit the amount of the eBay Reimbursement from your account and to pay those amounts to eBay. You will not receive a refund for your PayPal fees.

Debit process for eBay Reimbursement

  • We will rely on information we receive from eBay for the amount of the eBay Reimbursement.
  • You agree and authorise us to debit the eBay Reimbursement from your account balance. If you do not have an account balance, or your balance is not sufficient to fund the entire reimbursement, and you have set up PayPal as an automatic payment method for your eBay account, we will fund the reimbursement from your linked Payment Method in accordance with your eBay billing agreement.
  • If we cannot debit your Payment Method, we will place a hold on your account balance and any funds received into it up to the amount of the eBay Reimbursement. Once the amount of the eBay Reimbursement has been reached, we will debit it from your account and remove the hold. If after approximately 30 days we have not been able to debit the total amount of the eBay Reimbursement, any available balance will be debited from your account. eBay will determine how any outstanding amount will be treated.
  • If you do not want to us to debit a Payment Method for eBay Reimbursements you can cancel the Billing Agreement in your PayPal account profile. We will continue to debit your account balance for any eBay Reimbursement.

16.5 Foreign currencies: The following risks may apply when keeping foreign currency balances, or where a transaction is made in or funded by a foreign currency:

Currency fluctuations

There is a risk the value of any foreign currencies in your account balance will fluctuate as exchange rates change.

Refunds

When you send a payment in which you perform a currency conversion using PayPal (i.e. converting the currency you fund your payment into the currency to be received by the recipient) and later there is a refund, return or Reversal, we will reverse the currency conversion. The refund, return or Reversal will be completed in your funding currency using the exchange rate that prevailed on the date of the original transaction.

In some instances the refund, return or Reversal may be calculated using a different exchange rate. For example, a refund, return or Reversal occurring more than 60 days after the date of the original payment is generally converted at the prevailing exchange rate on the date of the refund, return or Reversal.

Currency conversions performed by your Credit Card provider (and not by PayPal) will generally be returned in the original payment currency received by the recipient.

Some refunds, returns or Reversals may temporarily be made in a currency other than the currency in which you funded your payment.

Recovering owed funds

When you receive a payment through our Services and the transaction is not eligible for the PayPal Seller Protection Policy, you will owe us an amount equivalent to the amount of the transaction (including any applicable fees imposed on us) if:

  • The funds received are later invalidated for any reason;
  • The funds received are subject to a Chargeback;
  • There is a Reversal; or
  • We determine under the PayPal Buyer Protection Policy that the funds received should be returned or reversed.

If there are insufficient funds in your account balance to cover any money you owe us or our Related Bodies Corporate, these amounts become immediately due and payable. You authorise us to satisfy any monetary liability you owe us or our Related Bodies Corporate and which is notified to you by:

  • Debiting your account at a later date;
  • Debiting your selected Payment Method the next time you make a payment;
  • Setting off the credit balance of any account you have with us or any monetary liability we owe you in and towards satisfaction of your monetary liability to us; or
  • Any other legal means.

Negative balances

If one of the currency balances in your account becomes negative, we will divert funds from any positive currency balance in your account to make up the negative balance before allowing you to withdraw funds.

In addition, funds from payments received will first be diverted to us to make up any negative currency balance. We may also debit your selected Payment Method the next time you make a payment.

 

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17. Key benefits

17.1 The following are some of the key benefits available to you when using our Services:

  • Send payments to people in more than 190 markets and more than 20 currencies.
  • Make secure online payments without revealing your Credit Card or bank account number to a recipient.
  • No setup fee.
  • No monthly account keeping fees. Monthly fees apply when using Virtual Terminal or Website Payments Pro – Hosted Solution or API.
  • No transaction fees for sending or receiving domestic Personal Transactions funded by PayPal balance or Australian bank account.
  • Our Services are customised for use on eBay and easy to use with other merchants that accept PayPal.
  • Anti-fraud measures to help protect you against fraud and unauthorised use of your account.
  • Eligibility for the PayPal Buyer Protection Policy for certain transactions. See our User Agreement for more information.

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18. Fees and charges

18.1 Fees for transactions depend on whether you are making a Commercial Transaction or Personal Transaction. In most instances, fees consist of a percentage of the total amount received plus a fixed fee. For fixed fees, please refer to clause 18.9 below.

Standard fees for users registered in Australia are set out below.

Personal Transactions

18.2 Domestic Personal Transaction fees are based on the Payment Method used to fund the transaction. In most cases, the sender decides who pays the fee.

Payment Method

Fees

PayPal balance or Australian bank account

Free

Non-Australian bank account

1%

Entirely or partially funded by an Australian Credit Card

2.4% + fixed fee

Entirely or partially funded by a non-Australian Credit Card

3.4% + fixed fee

18.3 Cross-border Personal Transaction fees are based on the Payment Method used to fund the transaction and the country of the recipient. In most cases, the sender decides who pays the fee.

In addition to the fees below, a currency conversion may apply if sending a foreign currency.

Recipient country

PayPal balance or bank account

Entirely or partially funded by Credit Card

Brazil

1%

7.4% + fixed fee

Canada

1%

3.9% + fixed fee

China

0.5%

3.9% + fixed fee

Hong Kong

0.5%

3.9% + fixed fee

Singapore

0.5%

3.9% + fixed fee

Taiwan

0.5%

3.9% + fixed fee

US

1%

3.9% + fixed fee

Germany

3.3%

5.2% + fixed fee

Italy, Netherlands, Belgium, France

1.8%

5.2% + fixed fee

Poland

2%

4.9% + fixed fee

Other European countries*

1.5%

4.9% + fixed fee

All other countries

0.5%

3.9% + fixed fee

* Andorra, Albania, Austria, Aland Islands, Bosnia and Herzegovina, Bulgaria, Switzerland, Cyprus, Channel Islands, Czech Republic, Denmark, Estonia, Spain, Finland, UK, Gibraltar, Greece, Croatia, Hungary, Ireland, Isle of Man, Iceland, Liechtenstein, Lithuania, Luxembourg, Latvia, Monaco, Moldova, Republic of Montenegro, Macedonia, Malta, Norway, Portugal, Romania, Serbia, Russian Federation, Sweden, Slovenia, Slovakia (Slovak Republic), San Marino, Turkey, Ukraine, Holy See (Vatican City State).

Commercial Transactions

18.4 Fees for Commercial Transactions are taken from the total transaction amount received by the seller.

Sending (buying)

Free (when no currency conversion is involved)

Receiving (selling) fees

You may apply for merchant rates when you meet a qualifying calendar monthly sales volume and keep your account in good standing. See Merchant Rates for more information.

Rate type

Monthly sales volume

Domestic Transactions*^

Cross-border Transactions*

Website Payments Pro – Hosted Solution and API - Domestic Transactions^

Website Payments Pro – Hosted Solution or API – Cross-border Transactions

Virtual Terminal – Domestic Transactions^

Virtual Terminal – Cross-border Transactions

Standard rate

-

2.4% + fixed fee

3.4% + fixed fee

2.4% + fixed fee

3.4% + fixed fee

3.4% + fixed fee

4.4% + fixed fee

Merchant rates

$5,000.01 - $15,000

2.0% + fixed fee

3.0% + fixed fee

2.0% + fixed fee

3.0% + fixed fee

3.0% + fixed fee

4.0% + fixed fee

$15,000.01 - $150,000

1.5% + fixed fee

2.5% + fixed fee

1.5% + fixed fee

2.5% + fixed fee

2.5% + fixed fee

3.5% + fixed fee

$150,000.01 and over

1.1% + fixed fee

2.1% + fixed fee

1.5% + fixed fee

2.1% + fixed fee

2.5% + fixed fee

3.5% + fixed fee

*Excluding Website Payments Pro - Hosted Solution and API, Virtual Terminal, Payflow and PayPal Here.

^If your sender funds your payment entirely or partially by a non-Australian Credit Card you will incur an additional 1% processing fee on the amount funded by that card.

PayPal Here

18.5 Fees for receiving (selling) Domestic Transactions with PayPal Here:

Not manual key-in

2.4% + fixed fee

Manual key-in

2.9% + fixed fee

PayPal POS Functionality

18.6 If you are approved for PayPal POS Functionality as set out in our User Agreement and are confirmed as a provider of food and beverage services, such as quick service restaurants and cafes, you will pay:

Fees for receiving (selling) Domestic Transactions with PayPal POS Functionality*: 2%

*If your sender funds your payment entirely or partially by a non-Australian Credit Card or non-Australian PayPal account you will incur an additional 1% processing fee on the amount funded by that card.

Micropayment pricing

18.7 If you qualify as a seller for the micropayment pricing fees as set out in our User Agreement, you will pay the lesser of the:

  • Micropayment pricing fees shown in the table below; or
  • Fees set out under clause 18.4 above.

Domestic*

5% + fixed fee

Cross-border

5.5% + fixed fee

*If your sender funds your payment entirely or partially by a non-Australian Credit Card you will incur an additional 1% processing fee on the amount funded by that card.

18.8 You can apply for the following micropayment fees. These fees apply to all Commercial Transactions you receive. If you have both a micropayment fees-enabled account and a standard pricing account, it is your responsibility to ensure payments are received to the appropriate account. Once a payment is received, you may not request it be processed through a different account.

Domestic*

5% + fixed fee

Cross-border

6% + fixed fee

*If your sender funds your payment entirely or partially by a non-Australian Credit Card you will incur an additional 1% processing fee on the amount funded by that card.

Fixed fees

18.9 Fixed fees are based on the currency received and transaction type.

Currency received

Personal Transaction fixed fee

Commercial Transaction fixed fee

Micropayments fixed fee

Argentine Peso

2 ARS

2 ARS

-

Australian Dollar

$0.30 AUD

$0.30 AUD

$0.05 AUD

Brazilian Real

0.60 BRL

0.40 BRL

0.10 BRL

Canadian Dollar

$0.30 CAD

$0.30 CAD

$0.05 CAD

Czech Koruna

10 CZK

10 CZK

1.67 CZK:

Danish Krone

2.60 DKK

2.60 DKK

0.43 DKK

Euro

€0.35 EUR

€0.35 EUR

€0.05 EUR

Hong Kong Dollar

$2.35 HKD

$2.35 HKD

$0.39 HKD

Hungarian Forint

90 HUF

90 HUF

15 HUF

Israeli Shekel

1.20 ILS

1.20 ILS

0.20 ILS

Japanese Yen

¥40 JPY

¥40 JPY

¥7 JPY

Mexican Peso

$4 MXN

$4 MXN

$0.55 MXN

New Zealand Dollar

$0.45 NZD

$0.45 NZD

$0.08 NZD

Norwegian Krone

2.80 NOK

2.80 NOK

0.47 NOK

Philippine Peso

15 PHP

15 PHP

2.5 PHP

Polish Zlotych

1.35 PLN

1.35 PLN

0.23 PLN

Russian Ruble

10 RUB

10 RUB

2 RUB

Singapore Dollar

$0.50 SGD

$0.50 SGD

$0.08 SGD

Swedish Krona

3.25 SEK

3.25 SEK

0.54 SEK

Swiss Franc

0.55 CHF

0.55 CHF

0.09 CHF

Taiwan New Dollar

10 TWD

10 TWD

2 TWD

Thai Baht

11 THB

11 THB

1.8 THB

UK Pounds Sterling

£0.20 GBP

£0.20 GBP

£0.05 GBP

US Dollar

$0.30 USD

$0.30 USD

$0.05 USD

Currency conversions

18.10 We process currency conversions using the prevailing wholesale exchange rate plus a percentage currency conversion fee which is retained by us.

18.11 In most instances, the specific exchange rate that applies to your multiple currency transaction will be displayed at the time of the transaction for conversions with PayPal. By proceeding with the transaction, you consent to and authorise PayPal to convert the currency. Where your payment is funded by a Credit Card, you have the right to opt out of PayPal processing your currency conversion before you complete the transaction by selecting “Other Conversion Options” on the “Review Your Information” page during checkout.

18.12 Where the exchange rate is not displayed, or you opt out of PayPal’s currency conversion, the currency conversion will be processed by your Credit Card provider, not by PayPal. You authorise the transaction on the basis of your Credit Card provider’s rates and charges, and we have no liability to you for that currency conversion.

Currency conversion

Currency conversion fee

Converting within your PayPal account and not as part of a transaction

2.5% above the wholesale exchange rate

Converting to US Dollars or Canadian Dollars

3.5% above the wholesale exchange rate

Converting to all other currencies

4% above the wholesale exchange rate

Chargeback fees

18.13 Chargeback fees are based on the currency received. Chargeback fees do not apply if the transaction is eligible for the PayPal Seller Protection Policy.

Currency

Chargeback fee

Currency

Chargeback fee

Argentine Peso

30 ARS

New Zealand Dollar

$15 NZD

Australian Dollar

$15 AUD

Norwegian Krone

65 NOK

Brazilian Real

20 BRL

Philippine Peso

500 PHP

Canadian Dollar

$15 CAD

Polish Zlotych

30 PLN

Czech Koruna

250 CZK

Russian Ruble

320 RUB

Danish Krone

60 DKK

Singapore Dollar

$15 SGD

Euro

€11.25 EUR

Swedish Krona

80 SEK

Hong Kong Dollar

$75 HKD

Swiss Franc

10 CHF

Hungarian Forint

2000 HUF

Taiwan New Dollar

330 TWD

Israeli Shekel

40 ILS

Thai Baht

360 THB

Japanese Yen

¥1,300 JPY

UK Pounds Sterling

£7 GBP

Mexican Peso

$110 MXN

US Dollar

$10 USD

Receiving eCheques

18.14 Fees for receiving eCheque payments are based on payment currency and will not exceed the cap specified below.

Currency

Cap

Argentine Peso

150 ARS

Australian Dollar

$50 AUD

Brazilian Real

75 BRL

Canadian Dollar

$45 CAD

Czech Koruna

850 CZK

Danish Krone

250 DKK

Euro

€35 EUR

Hong Kong Dollar

$330 HKD

Hungarian Forint

9250 HUF

Israeli Shekel

160 ILS

Japanese Yen

¥4000 JPY

Mexican Peso

$540 MXN

New Zealand Dollar

$60 NZD

Norwegian Krone

270 NOK

Philippine Peso

1900 PHP

Polish Zlotych

140 PLN

Russian Ruble

1400 RUB

Singapore Dollar

$60 SGD

Swedish Krona

320 SEK

Swiss Franc

50 CHF

Taiwan New Dollar

1350 TWD

Thai Baht

1400 THB

UK Pounds Sterling

£30 GBP

US Dollar

$45 USD

Mass Payments

18.15 The fee for Mass Payments is 2% of the total payment amount.

A maximum payment cap per recipient applies, based on payment currency.

Currency

Domestic cap

Cross-border cap

Argentine Peso

4 ARS

150 ARS

Australian Dollar

$1.25 AUD

60 AUD

Brazilian Real

2 BRL

100 BRL

Canadian Dollar

$1.25 CAD

60 CAD

Chinese Yuan

8 CNY

320 CNY

Czech Koruna

24 CZK

1000 CZK

Danish Krone

6 DKK

300 DKK

Euro

€0.85 EUR

40 EUR

Hong Kong Dollar

$7 HKD

400 HKD

Hungarian Forint

210 HUF

15,000 HUF

Israeli Shekel

4 ILS

200 ILS

Japanese Yen

¥120 JPY

5000 JPY

Malaysian Ringgit

4 MYR

200 MYR

Mexican Peso

$11 MXN

750 MXN

New Zealand Dollar

$1.50 NZD

75 NZD

Norwegian Krone

6.75 NOK

300 NOK

Philippine Peso

50 PHP

2500 PHP

Polish Zlotych

3 PLN

150 PLN

Russian Ruble

30 RUB

1500 RUB

Singapore Dollar

$1.60 SGD

80 SGD

Swedish Krona

9 SEK

400 SEK

Swiss Franc

1.30 CHF

50 CHF

Taiwan New Dollar

33 TWD

2000 TWD

Thai Baht

36 THB

2000 THB

Turkish Lira

1.5 TRY

80 TRY

UK Pounds Sterling

£0.65 GBP

35 GBP

US Dollar

$1 USD

50 USD

Commercial Transaction refund fee

18.16 If you issue a full refund of the Commercial Transaction payment, we will retain the full fixed fee portion of the Commercial Transaction fee. Your buyer’s account will be credited with the full amount of the Commercial Transaction payment. We will debit your account with the amount initially credited to your account in connection with the Commercial Transaction payment and the full fixed fee portion of the Commercial Transaction fee.

18.17 If you issue a partial refund of the Commercial Transaction payment, we will retain the pro-rata share of the fixed fee portion of the Commercial Transaction fee. Your buyer’s account will be credited with the amount you specify. We will debit your account with the pro-rata share of the amount initially credited to your account in connection with the Commercial Transaction payment and the pro-rata share of the fixed fee portion of the Commercial Transaction fee. Please refer to clause 19.6 and 19.7 for examples on the Commercial Transaction refund fee.

Other fees

18.18 In general, there is no fee to open a PayPal account. However, we may charge an expanded use fee to increase your sending limit. This fee is refunded to your PayPal balance when you successfully complete the Credit Card verification process.

The expanded use fee (verifying Credit Card details) can be up to $2 AUD.

18.19 The records request fee is $10 AUD (per item).

We will not charge for records requested in connection with your good faith assertion of an error in your account.

18.20 The bank return fee is charged when a withdrawal attempt fails because incorrect bank account or delivery information is provided.

The bank return fee is $5 AUD.

18.21 Virtual Terminal and Website Payments Pro – Hosted Solution and API incur a monthly fee.

Website Payments Pro - Hosted Solution or API monthly fee

$25 AUD

Virtual Terminal monthly fee

$25 AUD

Website Payments Pro – Hosted Solution or API AND Virtual Terminal monthly fee

$25 AUD

18.22 The Security Key Card is an electronic device that creates a unique security code that you use to log in to your PayPal account. The Security Key Card and any additional keys including replacements costs $32.95 AUD each.

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19. Fee calculation examples

19.1 The following examples are illustrations only. Each calculation will vary depending on the circumstances of the transaction.

19.2 Example 1 - Commercial Transaction in Australia

Assuming you are receiving $100 AUD from a buyer in Australia for a Commercial Transaction under the standard rate:

  • Standard rate: 2.4% plus $0.30 fixed fee.
  • Calculation: 2.4% of $100 AUD = $2.40, plus $0.30.
  • Fee payable to us by the seller: $2.70 AUD.

19.3 Example 2 - Commercial Transaction when the buyer is outside Australia

Assuming you are receiving $100 AUD from a buyer outside of Australia for a Commercial Transaction under the standard rate:

  • Standard rate (Cross-border Transaction): 3.4% plus $0.30 fixed fee.
  • Calculation: 3.4% of $100 AUD = $3.40, plus $0.30.
  • Fee payable to us by the seller: $3.70 AUD.

19.4 Example 3 - Currency conversion fee

The following are examples of the fees payable for a multiple currency transaction.

  1. To transfer currency within your account from one balance to another (eg, for USD balance to AUD balance) we apply a currency conversion fee of 2.5% above the wholesale rate.

    Assuming you wish to transfer $100 USD to AUD:
    • Example wholesale rate: $0.96 USD for $1 AUD.
    • Rate applied: $0.984 USD.
    • You will receive: $101.63 AUD.
    • Currency conversion fee: $2.54 AUD (included in the received amount above).
  2. When funding a Commercial Transaction where the buyer pays in AUD and the merchant receives USD or CAD we apply a currency conversion fee of 3.5% above the wholesale rate.

    Assuming you wish to buy an item that costs $100 USD:
    • Example wholesale rate: $1 AUD for $0.96 USD.
    • Rate applied: $0.9275 USD.
    • You will be debited: $107.81 AUD.
    • Currency conversion fee: $3.65 AUD (included in the debited amount above).
  3. When funding a Commercial Transaction where the buyer pays in AUD and the merchant receives a foreign currency (not USD or CAD), for example EUR, we apply a currency conversion fee of 4.0% above the wholesale rate.

    Assuming you wish to buy an item that costs €100 EUR:
    • Example wholesale rate: $1 AUD for €0.74 EUR.
    • Rate applied: €0.7115 EUR.
    • You will be debited: $140.54 AUD.
    • Currency conversion fee: $5.41 AUD (included in the debited amount above).

19.5 Example 4 – Cross-border Personal Transaction

The following is an example of the fee payable for a Personal Transaction (i.e. where no goods or services are being purchased):

  • Sender: US PayPal account holder.
  • Amount sent: $100 AUD.
  • Fee to be paid by: You (recipient).
  • Payment Method: Bank account.
  • Fee applied: 1%.
  • Fee payable: $1 AUD.
  • You receive: $99 AUD.

The sender may be subject to a currency conversion fee.

19.6 Example 5 – Full refund of a Commercial Transaction payment

The following is an example of the refund fee for a full refund of a Commercial Transaction payment from a buyer in Australia:

  • Amount from the buyer: $100 AUD
  • Seller will receive: $97.30 AUD ($100 AUD less $2.40 AUD variable fee and $0.30 fixed fee)
  • 100% refund, buyer will receive: $100 AUD
  • Seller will be debited: $97.60 AUD (the amount initially credited to your account $97.30 AUD plus the $0.30 fixed fee)

19.7 Example 6 – Partial refund of a Commercial Transaction payment

The following is an example of the refund fee for a partial refund of a Commercial Transaction payment from a buyer in Australia:

  • Amount from the buyer: $100 AUD
  • Seller will receive: $97.30 AUD ($100 AUD less $2.40 AUD variable fee and $0.30 fixed fee)
  • 50% refund, buyer will receive: $50 AUD
  • Seller will be debited: $48.80 AUD [$48.65 AUD (50% of the amount initially credited to your account) plus $0.15 (50% of the $0.30 fixed fee)]

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20. Confirming our customers’ identities under the Anti-Money Laundering and Counter-Terrorism Financing laws

20.1 We are committed to full compliance with all AML laws.

To comply with legislative requirements and global sanctions, we screen all accounts. We are required to report suspicious transactions to the relevant government agencies in Australia and overseas.

20.2 We may confirm information when you use our Services. This may include when you open a PayPal account, as part of a periodic account review process, and/or when your account balance reaches a certain level of funds.

How does this impact you?

20.3 We may be required to collect and confirm information about your identity. In doing this, we may ask you to provide documentation and information. For more information please see our Confirm your identity and Confirm your business pages.

20.4 To enable us to confirm your identify, we may disclose personal information such as your name, date of birth and address to a credit reporting agency (CRA) or identity verification service to obtain an assessment of whether that personal information matches information held by the CRA or identity verification service. The CRA or identity verification service may use personal information about you and other individuals in their files to report to us on that assessment. If we are unable to confirm your identity using information held by a CRA or identity verification service we may do so using an alternative method acceptable to us.

20.5 While your identity is being confirmed, or if we are unable to confirm your identity, we may be unable to provide some or all of our Services to you in accordance with our obligations under AML laws. This may mean one or more of the following:

  • You cannot send or withdraw funds from your account;
  • You cannot receive funds into your account;
  • Access to your account and the funds in it is limited for an extensive period or indefinitely;
  • Funds in your account are returned to the sender; and
  • Funds are subject to the applicable laws regarding unclaimed monies.

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21. Verifying your Payment Method and transaction limits

Maximum amount per transaction

21.1 To help protect the integrity of our payment system, limit the risk of money laundering and terrorism financing and prevent fraud, most customers are subject to a limit on the amount they can send or receive in a single transaction. This limit may be raised or lowered at our sole discretion to address transaction risks or if you provide additional documentation.

Unverified accounts

21.2 If your account is unverified, a lower limit is imposed on the cumulative total value of payments and monthly cumulative value of transfers you can make from your PayPal account. The amount of these limits is variable and set at our discretion. You may need to verify your account to increase these limits.

Verified accounts

21.3 We verify PayPal accounts and Payment Methods to safeguard your security and limit fraud. By identifying a PayPal account as Verified we are only representing that the PayPal account holder has completed the steps set out in this clause. By attributing a Verified status to a PayPal account, we do not guarantee, undertake or otherwise represent that they will complete a transaction or that they have satisfied any requirements under AML laws.

21.4 You cannot verify any bank account held with a financial institution in the United States of America.

21.5 If you verify your account, we will generally raise the limit on the cumulative total of payments and transfers you can make.

21.6 You can raise your sending and withdrawal limits by becoming Verified.

21.7 We reserve the right to control sending and transfer limits and may require additional information from you depending on your location, credit rating and other factors.

Withdrawal limits

21.8 We may also place limits on the amount you can withdraw to your linked bank account. There is an initial withdrawal limit which is usually $700 AUD per calendar month. You need to verify your account to withdraw more than the withdrawal limit.

21.9 We may limit withdrawals and require additional information from you depending upon your location, verification information and other factors.

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22. Third party Credit Card fees

22.1 When you use your Credit Card to fund a purchase you will be subject to the usual fees and interest, if any, charged by your Credit Card provider.

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23. Complaints and contacting us

23.1 For information about submitting complaints and how we handle them, our membership of FOS and our contact details, please refer to Part 1, clauses 3 and 7.

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24. Other related documents

24.1 Our User Agreement and its underlying policies, referred to in this Combined FSG and PDS but not provided in full detail, is available free of charge on request and also by clicking directly on the links in this document.

24.2 You should read our User Agreement and PayPal's policies as they contain further terms and conditions that may apply to you as a user of our Services.

24.3 Amongst other things, our User Agreement describes:

  • The legal relationship between you and PayPal;
  • Account verification procedures;
  • Your liability for breaches of our Acceptable Use Policy;
  • Procedures for closing your account; and
  • Our rights.

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PART 3: Definitions

Some of the terms used throughout this document are defined below to assist you with reading this Combined Financial Services Guide and Product Disclosure Statement.

Billing Agreement

An agreement with a seller to pay for goods or services. You can cancel these by logging in to your account and going to “My pre-approved payments” under “My money” in your account profile.

Chargeback

A challenge to a payment that a buyer files directly with his or her Credit Card provider. The decision for a Chargeback is made independently by the Credit Card provider. We are bound to follow their instructions.

Commercial Transaction

Buying or selling goods or services. This includes payments received when you "Request Money" using our Services.

Credit Card

Visa, MasterCard, American Express or Discover credit or debit cards.

Cross-border Transaction

When either the sender or receiver does not live in Australia.

Domestic Transaction

A transaction where both the sender and receiver live in Australia and the currency sent and received is Australian dollars.

Mass Payments

When you send payments to many recipients at one. For more information, see our Mass Payments page.

Payment Method

Nominated bank account, Credit Card, account balance or any other payment method offered or accepted by PayPal from time to time.

Payment Review

The process by which we review potentially high risk transactions sent from or to your account.

PayPal , we , us and our

PayPal Australia Pty Ltd ABN 93 111 195 389 AFSL 304962.

PayPal Here

The service that allows business and premier account holders to accept payments using the PayPal Here app via select smartphones, tablets or other devices in accordance with the PayPal Here Terms and Conditions.

PayPal POS Functionality

Any functionality provided by PayPal used exclusively through a point of sale terminal that enables you to receive payment for goods and services in your PayPal business account.

Personal Transaction

Sending (using “Send Money”) and receiving money without making a purchase, i.e. the payment is not for goods or services.

Reversal

A payment that you received which PayPal returns to the sender or a third party because:

  • A Chargeback was received;
  • A claim is successfully filed via the PayPal Resolution Centre; or
  • The transaction was unauthorised.

Services

The payment processing services provided by us and available through your account.

User Agreement

Means the User Agreement governing the use of the PayPal Service, available online at https://www.paypal.com/au/webapps/mpp/ua/useragreement-full

Verified

The status given to your PayPal account when you verify you have control of a Payment Method.

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