Introducing PayPal Micropayments

Good news for sellers who sell low cost items on eBay (typically, $10 and below). PayPal has launched a special pricing solution called Micropayments that can save you money if you regularly accept payments with small total dollar amounts.

The Micropayments account pricing is 5% plus 5 cents per transaction (for USD accounts). Compared with our usual 2.9% plus 30 cents, micropayments pricing will cost you less if the total transaction amount is under $12.

You can only either have micropayments or "regular" pricing on any given single PayPal account, so PayPal suggests maintaining two accounts if you're a seller of low cost items who also sometimes has higher dollar amount transactions - one account that is setup with micropayments pricing, and one with the standard rate - and then processing to the appropriate account depending on the total transaction amount.

Some of you who pay close attention may remember that micropayments pricing was actually launched a couple of years ago, but was only available to select customers. We're happy to announce that micropayments pricing is now available to all accounts worldwide, and we now have a new website that explains all the details.