Etsy to intermediate all PayPal on Etsy Payments

By Chris Dawson April 12, 2019 - 11:18 am

Etsy have announced the end of standalone PayPal on Etsy Payments. As previously announced Etsy have implemented PayPal on Etsy Payments, via Adyen as the solution that powers Etsy Payments, PayPal will still be available as a payment method on Etsy but funds will go to Etsy to distribute to sellers rather than directly into individual seller’s PayPal account.

Etsy will deposit all sales into your bank account in your local currency, no matter how buyers pay. You can get paid daily, weekly, biweekly, or monthly. Request additional deposits anytime. All sales processed with Etsy Payments will also qualify for the Etsy Seller Protection Policy.

Sellers may see an increase in fees with sales coming in via Etsy Payments – typically between 3% and 4% plus a flat fee. The cost varies by country but for UK retailers is 4% + £0.20 per transaction. This means that one of the advantages of using your own PayPal account – lower fees – will end on the 15th of May. Additionally, many sellers quite like having money in their PayPal account as they routinely pay bills via PayPal, in the future the cash will end up in their bank account and they’ll have to upload it to PayPal if that is their payment vehicle of choice.

“By 15th May 2019, all sellers in countries in which Etsy Payments is currently available must be enrolled in Etsy Payments with integrated PayPal. Standalone PayPal will be switched off in countries where Etsy Payments is currently available on 15th May 2019 and will no longer be available to sellers in these countries. If you are not currently enrolled in Etsy Payments and you don’t enroll by 15th May 2019, your selling privileges will be suspended until you enrol. If you’re enrolled in Etsy Payments, but currently accept PayPal payments through a separate PayPal account, you must disable your standalone Paypal account and integrate your PayPal sales through Etsy Payments by 15th May 2019. If you haven’t done so by 15th May 2019, we’ll automatically make this change for you. Once the change has been made, all of your PayPal sales will be processed through Etsy Payments in accordance with this Policy.”
Etsy Payments Policy

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