How to Accept Payments from Smartphones with PayPal Here™ - dummies

How to Accept Payments from Smartphones with PayPal Here

By Marsha Collier

In today’s mobile-enabled world, you may find an opportunity to sell your eBay merchandise through means other than your website accessed on a desktop computer. You can now accept credit cards processed though PayPal on your smartphone with the PayPal Here credit card reader.

The card reader is available for free to any PayPal account. It plugs into (and works through) the microphone jack of almost any of the current smartphones. The magic happens when the reader is combined with a free app that’s downloadable from the iOS (iPhone) or Android Play Stores; it enables you to swipe a credit card to deposit the funds immediately into your PayPal account.


Although other smartphone credit card readers are available, none have PayPal’s support behind them. Other benefits come with PayPal Here:

  • Low transaction fee. Although using PayPal Here does incur slightly higher transaction fees than processing a payment online, the current rate (2.7 percent plus $.15 per transaction), it beats the competition.

  • You can manually enter credit card numbers. Entering a credit card number manually is handy for phone transactions, but the fee is considerably higher: 3.50 percent plus $0.15.

  • You can send receipts to customers by e-mail or text message. This feature gives your customer a receipt for the transaction.

Always accept payments via PayPal online whenever possible. A customer may want to pay you with a credit card when picking up an item, and that’s a convenience for them. But realize that your seller protection through PayPal exists solely on the web. PayPal Here transactions are not eligible for Seller Protection — so, if possible, have your customers pay you on the web before they get their items.