Assignment #2: PayPal

PayPal is an online service that allows you to easily use your money to purchase items online without disclosing any of your information or charging any fees, and this is why it is widely popular.

PayPal keeps you safe while shopping online, because it keeps your credit, debit, and bank account information safe. It does not disclose any of the information that is necessary to give for the use of their services, and it does not charge you any fees for using their website. They say that, "You never pay any fees when you buy with Paypal. Because it shouldn't cost you money to use your money."

PayPal does not charge the buyer for their services, but the seller, and that is how they make money. On some transactions, PayPal charges 30 cents, with a 1.9% to 2.9% surcharge fee. This does not bring in a lot of money though, and is only applicable on some of their transactions. blog.udemy.com wrote a blog post titles How Does PayPal Work?, where they discuss the topic of Paypal and positive and negative effects of it. They say that Paypal makes most of their money by earning interests against the money you have sitting in your account. With over one hundred million users, even if everyone had as little as five dollars or less, that is a big profit.

The PayPal Protection Policy allows you to be fully covered for your loss if things end up not going as planned. This  can be for items that you payed for but did not receive, and items that you did receive but were not as they were described. It does not cover items that you were just disappointed with.

If I started a business, I would allow accept PayPal transactions and their services into my company. It seems like an honest, safe to use company that is fair with it's services, and if my customers would feel safer paying online through that, I would allow it.

After looking at Google Wallet and comparing it to PayPal, I think I would be more comfortable using PayPal. It has more users and therefore must be liable, and the Google Wallet page says nothing about whether or not it charges you fees, which probably means it does. A company that doesn't would say that it does to ensure their possible costumers. PayPal charges no fees and is easier to use online.