How does PayPal Payment system work?
Answer
Case: If a customer pays £100, site commission is 15% and assuming PayPal takes 3%, how will the money flow work? Will I have to fund the 3% from the commission I receive and will I get charged again by PayPal to move the money from my account to the vendors?
As per our existing model, the website Admin has to bear PayPal transaction charges such that, if the Customer pays £100
Admin/Site Commission: 15%
PayPal transaction charges: 3%
First, the PayPal Fee will be charged (£3) and Admin will receive £97.
From £97, Admin will get £12 as his commission, whereas Vendor will receive £85.