PayPal is one of the largest e-commerce sites on the Internet, allowing people to pay and get paid for virtually everything on the web. While usually associated with its parent company, eBay, PayPal does business with literally hundreds of thousands of people everyday providing a flow of revenue for thousands of websites. For those who do a high volume of business, or work primarily on the Internet, PayPal provides a Premier Account, which has many features that the basic account does not have.
Paypal is the result of a merger between two companies in 2000: Confinity and X.com. Originally, these two companies were started as an attempt to create a program that would allow Palm Pilot users to "beam" payments from their devices in a safe and encrypted fashion. After their merger, PayPal began competing with rival online payment site Billpoint. Billpoint existed before PayPal, and eBay had originally purchased Billpoint outright, making PayPal a more flexible choice for those who wanted to use an online pay source for things outside of eBay. PayPal eventually won out, and Billpoint became extinct in a matter of years. Ebay then bought Paypal in 2002, but did not repeat its mistake with Billpoint limiting PayPal's services to only eBay. Paypal remained a pay source for all websites, and is now the premier worldwide pay source, bringing in revenue in the billions every year.
There are three main types of PayPal accounts: Personal, Premier and Business. A personal account is the basic type of account that anyone can have for no charge. This allows you to purchase merchandise or services online with any vendor that accepts PayPal, and also allows you to receive payment from anyone that pays out using PayPal. A Business account is, as the title suggests, for businesses, particularly those that deal in a very high volume of sales. These accounts can handle thousands of transactions every month and give perks to those companies that utilize PayPal's features on a high volume basis. A Premier account falls somewhere between a Personal and Business account. While it is designed for an individual or small business that does more e-commerce than someone with a Personal account, it is specifically for lower monetary traffic than PayPal's Business account.
There are many features that a Premier Account has that a Personal Account does not. With a Premier account you are able to accept an unlimited amount of debit or credit card payments per month. If you are a subscription website, PayPal Premier Account allows you to set up automatic deductions from your subscriber's credit cards or bank accounts. Conversely, PayPal Premier Account allows you to set up automatic deductions from your account for timely online payment of monthly bills. PayPal Premier Account also provides you with a debit card to immediately access the funds in your account via ATM machine. If you have other employees for your small business that must access the company's funds, you are also given the option of giving limited access to multiple employees. A seven-day customer service center is also available for any questions or troubleshooting.
There is no fee to open a Premier Account on PayPal. There is also no fee to send, withdraw or add funds to your Premier Account. If you are receiving payments from PayPal, however, there are percentage fees attached that vary depending on how large the amount is that you are receiving. There is an across the board $0.30 USD fee per transaction. On top of that, your Premier Account will be charged 2.9% per transaction if your monthly sales are below $3000, 2.5% if they are between $3000 and $10,000, 2.2% between $10,000 and $100,000 and 1.9% per transaction if your monthly sales are above $100,000. You will also be levied a 2.5% per transaction for currency exchange, if you are accepting international sales.