Trust Prevails: Why PayPal Doesn’t Work with Some Services

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PayPal is a popular online financial service that is used to facilitate commercial transactions through a secure internet account. To open an account with this system, a user needs to add their account information such as their bank accounts, credit card or debit card details. Each time the user makes a payment, they are at liberty to choose any of their bank accounts, debit or credit cards to use. A PayPal account holder may set a default card which will be used unless otherwise chosen.   

This online payment system allows its users to complete a financial transaction from a vast number of online and high street stores including petrol stations, restaurants, and market traders. Other than facilitating payments, the service can also be used to receive money from other sources. For instance, any money that is received from other sources will sit in the user’s account and may be used to pay for goods. The funds may also be transferred to any of the assigned cards or accounts.

PayPal has made its way as a popular payment method in the online casino community. It is supported by the largest and most reputable casinos on the web. Players can gamble with this payment method at http://onlineroulettewheel.co.uk/real-money/with-paypal/.

A small levy is chargeable when money is received into your PayPal account. But this charge only applies in instances where the account is being credited. Most of the other transactions are free. For instance, a user can send money to a family member for free as long as no currency conversion is required during the transaction.

The payment system also has accounts designated for business owners. These accounts have specialized features that have been adapted to the dynamic nature of the business. Other company’s products include PayPal credit which allows users to pay for items without funds in their accounts.

PayPal Credit

This is a new service that allows PayPal users to access goods and pay for services even when they do not have funds in their accounts. The service acts as a brief loaning system where PayPal deducts the advanced credit once funds are credited in the user’s account. At the moment, the service holds a purchase interest rate of 17% per annum. However, the system will not charge any interest on purchases over 150 Euros within four months. If the advanced funds are paid back within the stipulated four months, the user will only pay the advanced funds without interests.

Trust: the Pillar to Success of this Payment System

The payment company collects information about:

  • Transaction and experience information
  • Participant Information
  • Registration and use information
  • Information about friends and contacts
  • Information about you from third parties
  • Information about if you transact as a guest
  • Information that is forfeited by the user

All this information is collected in a bid to make the service more convenient for the user. For instance, contacts list and friend’s lists which are usually linked to the user’s account help to improve the experience of the user.

The law requires that PayPal retains some personal data of clients for specific spans of time. The business may also choose to retain the data for analytical purposes. When such colossal information is left under the custody of a company, it might be difficult to operate without trust.

Legal reasons also compel the business to keep some data. It is for this reason that some services may not want to cooperate with them for fear of their illegal activities coming to light. An excellent example of this would be an online gambling establishment which is used to launder money. Of course, such an establishment will not want to work with PayPal. This is because they have a transparency policy when money can be traced back to its source. This is not good for business.

It also takes a substantial level of trust to allow all of the above-listed information to be submitted by the user. In this information age, power is driven by information and is, therefore, a fast-moving commodity.

In offering their credit services, this firm relies on the trust and goodwill of its users. If the users do not return the funds, then the financial company will collapse. The trust is a two-way street.  


PayPal users will have access to some perks because some store all over the world, offer deals and a special promotion that avail reduced interest rates.

The Benefits of this Payment System

  1. This system is one of the oldest financial services operating on the internet. This sustainable reputation has a connotation towards their service delivery. You will find many online stores casinos and other institutions that bear the pay by PayPal option.
  2. Sellers using this method are protected from buyers with bad faith. For example, if a buyer alleges that they have not received something that the seller sent by post yet they have proof that it was sent, they can keep the whole purchase price.
  3. Similarly, it protects the buyer if an item bought online is not what the buyer expected or is not delivered.
  4. It provides security for payments. This is because by using the service, a buyer does not divulge any personal information to the store. Instead, only a PayPal log-in and password is required to make the payment.

Final Comments

PayPal has been in operation for over a decade. In this period, it has made a name for itself in the financial world. However, like most online commercial transactions, there has to be trusted from both ends: the customer and the service provider.