If you've ever bought anything online, you've surely come across PayPal before. And if you need a payment gateway for your business, you've no doubt considered using it as well. Being one of the most well known names, it's easy to to identify and trust the brand. We've written this PayPal payment gateway review so you can see if it really is the right product for you.


Paypal on laptop and mobile

This PayPal review will cover:

  • What PayPal is
  • How it works
  • How much it costs
  • Pros and cons
  • Who should use it
  • The Currency Shop's verdict
  • FAQs


What is PayPal?


PayPal is a company that first and foremost acts as a payment gateway. Business and marketplace owners can integrate it onto their websites so that people can check out via PayPal. Customers and businesses alike can have PayPal accounts and use it to pay friends, transfer money overseas and shop online.

You can also use it to make international money transfers. Read more about that here.

Paypal logo


How does it Work?

The Basics:

Once you've set up your PayPal account, this is how it will work for you and your customers:
Customers choose what they want to buy through your website

PayPal processes the payment, keeping both the customer and business details safe.

PayPal then pass the payment onto you, once they have deducted their fees.

Setting up an account:

There are three basics steps to getting your account set up:
Verify your address

Link your bank account so that you can receive payments

Create security questions for your account.


PayPal being used on MacBook air


What are the fees?

Payment Type



Online payments 2.6% + $0.30 3.6% + fixed fee
Website Payments Pro - Hosted Solution 1.75% + $0.30 3.6% + fixed fee
Invoices 2.6% + $0.30 3.6% + fixed fee
PayPal Here card reader 1.95% 1.95%
PayPal Here (manual entry) 2.9% + $0.30 2.9% + fixed fee
Virtual terminal 3.6% + $0.30 4.6% + fixed fee
Donations 1.1% + $0.30 2.1% + fixed fee

Read more about PayPal fees here.


PayPal Payment Gateway: Pros and Cons


Check Mark Well known and trusted brand.

Check Mark User friendly for both consumers and businesses and works well on mobile.

Check Mark Easy to keep track of transaction and create and view invoices.

Check MarkCan send and receive money to others with PayPal accounts quickly.


Cross Customers have to leave your site to check out.

Cross Can become expensive for business and marketplaces.

Cross PayPal hold the right to freeze your account if they detect suspicious activity. This can be detrimental for your business.

Cross You need to be careful of bank receiving fees if you're transferring money from your PayPal account to your regular bank account.



Who Should Use PayPal?

A PayPal business account can be a suitable option for any businesses that need to accept payments from customers through their website or marketplace. It will mean that customers can easily purchases your goods and services, without having to set up a PayPal account of their own.

For consumers, PayPal can act like a digital wallet where you hold different cards and can then choose which one you want to use through different websites.



Final Verdict

Is PayPal a Good Option?

PayPal can be a good solution for businesses that need to process transactions through their website. Because it is easy to install on your site, it can be a better option than something like Stripe which is more complex and requires some development knowledge to install.

The Currency Shop says:

  • PayPal is easy to install and easy for customers to use.
  • Make yourself aware of all the fees involved before signing up.
  • Remember that you can't access the payments processed by PayPal immediately. They're available usually 3-4 days later.
  • You can now take physical payments with PayPal Here. Square also allows you to do this, read our review of Square here.
  • To read about other payment gateways, you can read our article here.


Learn More

Go to PayPal site


Is PayPal safe?

PayPal is fully regulated in Australia with an Australian financial services license (AFSL) and regulation by the Australian Securities and Investment Commission (ASIC).

They are also regulated internationally if your business has overseas customers and clients.

Read more here.


Where is PayPal available?

PayPal is available in over 200 countries and supports 25 different currencies. The countries PayPal is available in is listed fully on their website.

Which cards does PayPal accept?

Visa, MasterCard, American Express, Discover, JCB, Diner's Club and EnRoute. Read more here.

Which currencies does PayPal support?

The currencies they are support are:


How are refunds processed through PayPal?

Refunds can be issued to customers within 180 days of them making the payment. The refund will be taken from your PayPal balance, so you need to have at least the PayPal balance in your account for it to be processed. It is done through the activity tab in your merchant portal. Find out more about issuing refunds through PayPal here.

Recommended For You

Square Reader Review

If you need to take physical payments for your company, Square could be a good option. We review Square in Australia to see if it's a good payment option for your business.

Stripe Review

Stripe is another payment gateway. If you do need a payment gateway for your business it's a good idea to compare different ones to see which will fit your business or market place in the best way.

International Money Transfers with PayPal

While it is primarily a payment gateway, PayPal can also be used to transfer money to friends and family overseas. But is this a good idea? In this article we discuss all the pros and cons for making international transfers this way.

Helping You Save Money on Currency

Buying travel money or transferring money overseas can be expensive and confusing. So how do you make the best choice and get the most out of your money?

An easy way is to use a comparison table for either international money transfers or currency exchange. These tables list and compare the banks with other large foreign exchange companies.

We’ve also put together tons of helpful videosguides and reviews that will help you make the right decision. You can work out a cheaper way of converting currency while still keeping your money safe.