Originally Posted by
WhyFi
Incorrect.
Paypal is Western Union on a power trip. They're not a bank, they're not FDIC insured, and they regularly overstep their bounds and make a mess of people's finances, particularly sellers.
I don't see the problem. Their fees are no higher than credit card fees. Just as with credit cards the decision whether to bear the expense of the fees rests with the merchant.
Why do they need to be a bank? Why do they need to be insured? They aren't holding my money. If I have a balance, I take it out immediately. But most importantly, do you know of an alternative service that allows small merchants to accept secure, online payments in any currency without resorting to a credit card acceptance structure. How would we be better off without PayPal?