Why eBay Stopped Using PayPal?

One of the first online markets to experience considerable growth in the early years of the internet was eBay. The platform made it possible for people to sell and buy things online, and it soon gained popularity among both buyers and sellers. In the meantime, PayPal, a payment processor, was established in 1998 and quickly took over as the preferred form of payment for online transactions. PayPal was acquired by eBay in 2002, and the two businesses collaborated without any issues for almost 20 years. However, eBay declared in 2018 that it will end its alliance with PayPal and switch to a new method of payment processing.

eBay decided to stop utilizing PayPal for a number of reasons. To have better control over the payment process was one of the key factors. By developing its own payment system, eBay will be able to exert greater direct control over the buying and selling process. This will allow it to provide customers with more flexible payment alternatives and more effectively handle payment-related problems. Additionally, by developing its own payment processing system, eBay may be able to avoid paying the fees that PayPal would have required.

Your feedback score is indicated by the number that appears next to your eBay name. It represents the number of successful transactions you have carried out on the site. After a transaction is complete, buyers and sellers can give feedback for one another, and the feedback score represents the general caliber of your transactions. A high feedback number demonstrates your dependability and trustworthiness as a customer or seller, whereas a low score could be a sign that you have had problems in the past.

You can select “Payment methods” in your account settings to connect a PayPal account to eBay. From there, you may decide whether to link your PayPal account, and eBay will guide you through the procedure. Once the accounts are connected, PayPal can be used to pay for purchases made on eBay as well as to receive payments from customers.

Depending on the payment option you’ve selected, eBay may or may not debit your bank account. eBay won’t deduct money from your bank account if you’ve linked a PayPal account. Instead of using your associated bank account, PayPal will process the payment using the payment method you chose. eBay will bill the card straight if you decide to pay with a credit or debit card.

Last but not least, although eBay does not erase old accounts, it may deactivate them if they have been dormant for a long time. You might need to log in and update your account details to reactivate your eBay account if you haven’t used it in a while.

To sum up, eBay decided to discontinue using PayPal because it wanted more control over the payment process and the possibility to reduce fees. Through your account settings, you can connect a PayPal account to eBay. Although it won’t directly debit your bank account, eBay may charge a linked credit or debit card. Last but not least, although eBay does not erase old accounts, it may deactivate them if they have gone inactive for a long time.