Was doing some research on the net and most of them told me not to use paypal exchange rate as it is higher so I decided to go with bank exchange rate instead. Upon paying for the goods from ebay, I realized bank exchange rate was significantly higher and I was shocked. Anyway, anyone has experience to share whether to use paypal or bank exchange rate? Mine is CIMB debit card btw.

if USD, paypal charge much higher, something like extra 20cent.

i will always avoid paypall exchange rate

Maybe the extra was because of cross border fees and not exchange rate? CIMB got this extra charge for any PayPal transaction. Best to avoid CIMB card for PayPal.

Usually I use maybank or bank islam cards. I find bank's exchange rate always better than PayPal's.

About cross border fees: https://forum.lowyat.net/topic/2519936

Thanks bro, really appreciate it, I guess I should change my main card to Public bank back.

How do you even change to use the bank exchange rate? I've never been given the option before - always end up using the PayPal rate

I thought CIMB already blocked PayPal for debit cards. Mine sure as hell ain't working.

You need to call & opt in for "card not present" transactions.. Block will be lifted.

Already did call them but I just mention I wanted to use my debit card for PayPal. They said it can't since Bank Negara blocked all online/mail order. Thanks, will try your way later.

https://forum.lowyat.net/topic/2829174/+60
and
http://lifehacker.com/5957808/avoid-paypal...e-little-option

i use bank exchange rate...

Use Bank Exchange Rate at all times. Literally all times. No matter how the rate would still be better than PayPal's.

Thats literally how PayPal make money

Correct, but there is only one downside. In case of refund, you may lose some money because bank's exchange rate is not fixed, as opposed to PayPal.

Example, you paid USD100. Say the transaction was cancelled, and seller refund USD100. If u used PayPal's rate at the first place you will get the exact amount u paid. But if chose bank's rate, you might receive less as it follow the bank's rate of the day.

Happened to me once, quite a lot of difference due to weakeaned MYR.

Yes it does, that's the downside of it, but even at most you'll only lose maybe ranging from 3-10% max in currency fluctuation.

But you'd save quite an amount from using Bank's rate instead.

PayPal rate 1usd = 4.23MYR
XE.com rate 1usd = 4.11MYR
Maybank rate 1usd = 4.17MYR

Hmmm I am not sure how did they count. Bought an 18usd goods from ebay. Paypal charges me rm75. something after conversion. Using Public Bank however causes me an extra rm3 which was around rm
78.something. I always thought bank rates are better?

Yes, supposedly bank rates are better. I just ordered something via eBay as well. PayPal charged me 4.28 but mine was 4.17

Hmm, that's strange. Do you mind sharing what bank you are using? Cards type do not influence it right? Still wondering where does the extra cost comes from.

Maybank. Card types do I reckon, certain fees charged on different cards

u might wanna use western union instead. charge $M 28 for each transaction, but they generally quote exchange rate cheaper than banks.

so.gnificantly more untung if you transfering big amount of money.

Dont think its covered by Ebay buer protection bro

Look at pb website for the card type and the visa calculator, actual exchange rate should be still lower than paypal. Need to clarify with PB already.

same case as you

but i'm using maybank

sad. lucky not big amount. only extra rm1-2

But more expensive than paypal when paypal is already expensive lol. Yours are debit?

Yeap just try to use PB Bank again, still way more expensive than paypal rate.

Bought something at 11.5 usd. Paypal rate was 4.15 plus so total up around 47 plus. Using PB debit card cost me rm50. It seems small, but it adds up quickly.

This post has been edited by sean6219: Mar 23 2016, 09:54 PM

it has been awhile since i bought anything of high values from ebay, since late last year, i only bought small, inexpensive items, i haven't bought anything yet in 2016 though, no thanks to the shitty ringgit
but that is not all
since late last year as well, i realize the ebay checkout no longer has the option to use our bank's exchange rate, only paypal's rate
my conversion option in paypal is set to the bank's rate
but in ebay checkout i'm forced to use paypal's rate
since then i'm really scared to buy anything expensive on ebay, afraid the paypal rate might bite me
or do i worry too much, just proceed and buy since i have set it in paypal to use the bank's rate?
i use PB card btw.

cimb have extra charges iinm its called "cross border charges".


anyway if possible always use paypal so u can dispute if got any problem, if pay thru bank u are on your own

Debit or credit? Did you compare the rates of paypal with bank? Judging from current situation, might be best to use paypal rate. I keep having these hidden charges and bank keep saying the rates might be different.

PB debit card
b4 this, ie with previous ebay checkout, i got more favourable rate
but now, with new checkout, when bank statement arrived, i was charged at the higher rate than what's shown on ebay

Same I am using PB debit cause it doesnt have CBF.

Yeah, bank rates are cheaper theoretically when you calculate it yourself, somehow it will be way more expensive that what you have calculated, even more than paypal. My previous purchase has an extra charge of 8%, which is f*****g a lot if you ask me. Asked them and they gave me a reply and somehow this sentence might explain everything.

The exchange rate may differ from the rate in effect on the date of the transaction due to market fluctuations. Such rate imposed shall be final and conclusive and the Cardmember shall bear all exchange risks, losses, commission and other bank charges which may thereby be incurred.

Kindly note that the final exchange rate will be confirmed upon settlement of the transaction from Merchant's Banker, not based on the day the amount was transacted to the card.

I called Paypal as well, and they say if they do not process the currency exchange, they cant charge anything. It seems like bank or the Visa/Mastercard has some hidden charges we are not well aware of So for now I have to settle with paypal rate.

Depends on what items you usually buy, you might find cheaper deals elsewhere.

Ever since I discovered Aliexpress, I had never bought anything from ebay (many many years now). They don't use Paypal but aliexpress' buyer's protection is much better.

Forget to add on. If you already set your processing method to bank, even in new ebay checkout, you are still using that option even though you cant change it. Dont believe me? Switch your ebay to ebay Malaysia and you will be using the paypal website to checkout instead. The rate stated is given by paypal not by your bank, since paypal cannot show the rates set by your banks. That is why it is higher than the rate you see on ebay/paypal because you are using bank rate that you have set earlier, not the paypal rate.

Anyone with PayPal account can help check what's the MYR/USD rate that PayPal offers currently? PayPal don't openly publish their exchange rates 😓

I am using PayPal exchange rate as long final price in rm in acceptable.

8%international surcharge

thanks
i think i'll try that
will buy something dirt cheap like us-uk plug adapter
1 checkout with ebay.com, another 2 with ebay msia (try both, bank's rate & paypal's rate)
and see 2,3 days later on my online statement what's the final price for all 3 of them

This post has been edited by hjab: Mar 25 2016, 08:41 PM

How do you know its 8% surcharge? Where did you get that info from? I calculate from it la, but dint know where is the 8% comes from.

Yeah do let me know. Switching the site to ebay Malaysia brings us back to the old method, which will direct us to paypal page unllike the current US one.

i know, since i discovered aliexpress, all my cheap brand new china made stuffs are bought on aliexpress
ebay is now only for used/refurbished genuine items that are not available locally or damn too expensive

ops, its international atm withdrawal

I have been thinking. Could it be the extra charges come from GST? If yes, then they finally implement it, which means using bank rate is no longer favorable.

hi,
here goes my report:

on march 26, i bought 3pcs of items worth usd0.99 each, in 3 separate transactions
1. use ebay.com, default paypal rate
2. use ebay msia, default paypal rate
3. use ebay msia, change to card issuer rate

the amount charged, as per my 1st april statement
1. rm4.07
2. rm4.07
3. rm4.16


yeah, paypal rate sucks, but public bank rate is now suckier, if there is such a word

This post has been edited by hjab: Apr 8 2016, 01:15 PM

PayPal expert reporting in!
Hahhahaha! Kidding but I can help you clear your doubts.

In short, PayPal charges currency conversion fee on top of the market rate that's why they are higher than banks.


When you checkout a purchase, you're brought to a page to log into your PayPal Account right?
Then you should see a page showing a full summary of your items on your left.. and in the box(on your right) it shows how much of MYR is used for funding USD(for example).
You will see a "Other Conversion Options" under Payment method --> You should be at the Payment Review Page


Nope. PayPal is not affected by Malaysia's GST implementation

LOL, we already know this, the problem is why bank rate which is supposingly better than paypal rate ended up charging us more compared to paypal rate? Not to be mean, but you should read everything.

It's just the fx rates fluctuating, thats why.
It's not guaranteed that bank rates are always cheaper than PayPal's.

90% of the time, bank rates are cheaper.
Say... 1 out of 10 times could have PayPal's rate more favourable.

PLUS!
There are also chances where your bank incur additional oversea charges or what they call it... Admin Fee.

This post has been edited by aarondotcom89: Apr 14 2016, 09:09 AM

Yeah, I suspect is the *admin* fees. Because I did my calculations myself, including following the rate on that particular day, if no extra charges, definitely way cheaper than PayPal. Well it only happened recently and not to those old buyers, so sure got something d.

Admin fees are actually imposed by every bank.
It's just how the bank handles it;
1. Some absorb the admin fee because you're utilizing ther card
2. Some pass it on to the card holders

But whoever faced this issue, you can contact your bank and they will explain it.