Fiverr Community Forum

Bank Transfer VS Paypal for Canada

Hi there!
So my question is regarding what is better to withdraw money: Bank Transfer or Paypal for Canadians.

Right now I realize that Paypal is automatically taking a 2.9% cut out of all of the money put into the account for sellers. But my big concern is with the exchange rate - it seems as though Paypal is taking an additional cut between converting between CAD & USD.

Today the exchange is 1.33 but they are only using a 1.29 exchange - this might not seem much but if you are withdrawing $1000.00 that is 1330 vs 1290 ($40 difference…that’s 8 gigs!) not to mention the 2.9% they are already taking a cut off.

Has anyone, in Canada, tried using the Bank Transfer function and what were the fees/exchange/what was deducted? Any feedback would help a lot.

Thanks!

R

I’m not in Canada so I can’t respond to most of this. Perhaps someone else will. I did want to mention that PayPal does have a cap on how much they take out of your withdrawal. If you wait to withdraw until you have $100 or more, they will only take $1.

I think the Local Bank Transfer option is currently available exclusively in India. It’s stated here in Fiverr’s Terms of Service under “Withdrawals”. https://www.fiverr.com/terms_of_service

Sorry, I don’t have a useful answer to your question exactly, but for PayPal in Canada, be aware that once you’ve had more than a certain dollar amount of transactions in total, PayPal will require you to attach your account to a bank account instead of a credit card, and the bank account will be your only option for recurring payments that you make (for subscriptions and such). I’d strongly suggest that you consider setting up a secondary bank account for this purpose, even if you already have a separate business account. It would be most inconvenient if you suddenly could not access any of your money because something caused PayPal to freeze your account by mistake or otherwise.

I’m also at this ‘crossroad’. I’m finding Paypal to be an expensive option but not sure if I am better off doing bank withdrawals. I need to get my complete bank transfer details and I’ll be sure to give it a try.

If anyone else in Canada has tried the Bank withdrawal option. I for sure want to know too. How long processing time is and charges involved.

Thanks!

Anybody got an answer on this? I also get a message saying that Bank transfer will be the only withdrawal option after adding an account, is that true?

I’m Canadian and I tried signing up for a Bank Transfer, but they want a SWIFT/BIC number which is a bit unclear of how to find out what number that is. I think you have to signup with SWIFTRef first. There’s a link to take you there next to the box where it asks you for the SWIFT/BIC number. It seems like a big hassle to me. I didn’t have to do this with other freelance sites. Again, it’s very unclear. I think I’m going to just stick with PayPal. Either method, we’re going to get hit with fees.