eBay Canada has announced that, effective immediately, PayPal has lowered Canadian dollar transaction fees and foreign exchange rates for US dollar withdrawals to Canadian bank accounts. Here are the details:

1. Reduced Canadian dollar transaction fees:
Canadian dollar transaction fees for receiving payments, for all merchant rate tiers, has been lowered from C$0.55 per transaction to C$0.30.*

PayPal Monthly Sales Old Transaction Fee New Transaction Fee
$0.00 - $3,000.00 2.9% + $0.55 2.9% + $0.30
$3,000.01 - $12,000.00 2.5% + $0.55 2.5% + $0.30
$12,000.01 - $125,000.00 2.2% + $0.55 2.2% + $0.30
> $125,000.00 1.9% + $0.55 1.9% + $0.30


2. Lower currency conversion rates for withdrawing US dollar funds to a Canadian dollar bank account.
If you are receiving US dollar funds into your PayPal account, and withdrawing those funds to a Canadian dollar bank account which involves a currency conversion, we have lowered the conversion rate that PayPal maintains for some sellers. The exchange rate you receive will depend on your monthly sales volume and whether you qualify for a Merchant Rate.* The specific exchange rate that applies to your multiple currency transaction will be displayed at the time of the transaction.

PayPal Monthly Sales Old Currency Conversion Rate New Currency Conversion Rate
$0.00 - $3,000.00 2.5% 2.5%
$3,000.01 - $12,000.00 2.5% 1.5%
$12,000.01 - $125,000.00 2.5% 1.5%
> $125,000.00 2.5% 1.0%


For further details on Canadian PayPal fees, please visit the fees page.

* How is Eligibility for Merchant Rates determined?
Eligibility for Merchant Rates has not changed. It is determined based on sales volume from the previous calendar month. To qualify for Merchant Rates, a seller must complete a one-time application and meet the Merchant Rate Criteria.

Sincerely,

Darrell MacMullin
Country Manager, PayPal Canada