What is PayPal?
PayPal is a digital financial
services platform that allows users to make payments, send money, and receive
funds online safely and conveniently. Founded in 1998, PayPal has become one of
the most popular digital payment methods in the world, especially for
cross-border transactions.
How Does PayPal Work?
PayPal works as an
intermediary between your bank account, credit card, or debit card and the
merchant (seller) or other party who accepts payments. Here are the basic
steps:
1.
Registration:
Users create a PayPal account and link it to a credit card, debit card, or bank
account.
2.
Payment: When
shopping online, simply log in to your PayPal account to make payments without
having to enter card details each time.
3.
Money Transfer:
Users can send funds to other PayPal users with just an email address or phone
number.
4. Withdrawal: PayPal balances can be withdrawn to
local bank accounts, depending on the country where the user lives.
PayPal Advantagesü Security: Your card details are not shared directly with the seller.
ü Easy to Use: Fast payment process without having to fill in data repeatedly.
ü International Transactions: Supports multiple currencies and cross-border transactions.
ü Buyer Protection: PayPal provides a claim and refund system in the event of fraud or incorrect goods.
PayPal Disadvantageso Transaction Fees: There are deductions for currency conversion and receiving funds from abroad.
o Accounts Can Be Restricted: PayPal can restrict accounts without clear notice, especially if activity is considered suspicious.
o Customer Service: Some users have complained about the difficulty in contacting customer support.
Use in IndonesiaIn Indonesia, PayPal can be used for various needs such as:Payment for goods/services from abroad (eg eBay, AliExpress, etc.).
However, users need to pay attention to local regulations as well as appropriate balance withdrawal methods.