PayPal is an American company that provides an online payment system to people all over the world. With PayPal, you can pay online, send money and accept payments. PayPal charges a fee in exchange for its services, such as one-click transactions and password memory.
PayPal is one of the safest and fastest ways to send and receive money online. PayPal offers its services in 202 markets and has 286 million active registered accounts. You can send, receive and hold money in 25 currencies around the world if you have a PayPal account.
PayPal was founded in December 1998 as Confinity. In March 2000, Confinity merged with X.com. Elon Musk founded X.com, which later changed its name to PayPal in 2001. You can use PayPal on your smartphone. The PayPal application is available on both Android and IOS.
In addition to paying for items with PayPal, you can also receive money through the service. All money received is stored in your PayPal account and can be used to make a payment, with the balance being topped up by your assigned cards or bank account.
However, the vast majority of the usage is completely free for you on a personal basis. It is free to send money to friends or family via PayPal accounts as long as no currency conversion is required.
PayPal is often associated with eBay as it used to be owned by the online auction house. However, it was spun off as a separate company in 2015.
How PayPal Works?
PayPal offers payment services and solutions for both private consumers and businesses. The company allows private consumers to shop, make payments and transfer money with relative ease. Users need an email address to sign up for an account and provide a credit, debit, or bank account to complete the setup. PayPal verifies all information to ensure that the person creating the account is the rightful owner before the service can be used.
PayPal account holders can use the company’s website or mobile app to send money to others using the recipient’s email address or mobile phone number. Buyers can choose the PayPal option to complete online purchases if the retailer has the service. Transactions are completed in minutes, and the company promises wire transfers are immediately available for payment or withdrawal to a bank account.
History of PayPal
The first form of PayPal, as we know it, was launched by Confinity in the late 1990s. The company merged with X.com, an online banking company, and officially adopted the name PayPal in 2001. It started to become mainstream when it appeared as a payment facilitator for eBay auctions. The service became so popular that in 2002 eBay decided to acquire PayPal, making it the official transfer service for its website. In 2015, PayPal was spun off as an independent company. The company’s stock is traded on the Nasdaq under the ticker symbol PYPL.
Throughout its history, PayPal has acquired other companies serving various areas of the financial transaction, digital money transfers, and payment markets. Some of these acquisitions brought additional technology enhancements and features that were incorporated into the PayPal platform when the companies were absorbed. For example, PayPal bought Braintree in 2013, which owns the rival Venmo service.
What is PayPal Credit?
Last year, PayPal started its credit service, where you can pay for items with PayPal, but later pay with them. It looks a lot like a credit card, although you don’t need a real card.
He currently charges a purchase interest (variable) of 17.9 percent per year, but as an incentive, he earns zero percent interest on purchases above 99 euros for four months. So if you return it within that time, it won’t cost you more than the original purchase price.
Some stores offer special offers when paying for products with PayPal credit, with reduced interest rates depending on the retailer.