![Pinterest](https://pinterest.com/pin/create/button/?url=https://uknews.evprotec.com/paypal-is-making-a-huge-change-to-fees-within-weeks-and-shoppers-wont-be-happy/&media=https://uknews.evprotec.com/wp-content/uploads/2023/07/crop-23081308.jpg&description=ON THE UP PayPal is making a huge change to fees within weeks – and shoppers won't be happy PAYPAL is making a huge change to fees within weeks and shoppers won't be happy. The global payment platform will charge the average customer more interest for every £500 borrowed through PayPal Credit. 1 PayPal is upping the interest rate charged to borrowers who use PayPal Credit Credit: Rex Like a credit card, PayPal Credit offers users the chance to borrow money for their purchases when they checkout online. Customers get a monthly statement and are required to make a minimum payment towards their balance each month. Unlike PayPal's Pay in 3 buy now, pay later option, PayPal credit is not usually interest-free and customers have to undergo a hard credit check to be accepted. The interest rate that a customer is charged is based on their credit score and PayPal offers three typical rates. These are currently 21.9%, 25.9% and 29.9%. But PayPal is raising the lowest rate of interest charged from 21.9% to 23.9% APR. Moving to this higher rate will mean that customers will pay 69p more per month for every £500 borrowed. And if you've borrowed £1,000 you'll pay £1.39 more per month. The payments giant has been contacting existing customers to notify them of this change. At the same time, it has been reviewing the rates offered to all existing customers. This could mean that you're moved to a lower or higher interest rate depending on your circumstances. A PayPal spokesperson said: "The change is in response to an increase in the underlying costs of us providing PayPal Credit to our customers. "We encourage customers to contact us with any questions or concerns the change could impact on their current financial situation." But Sara Williams, founder of Debt Camel, has said that existing customers can opt of this interest rate hike. She said: "As this is a change to the terms and conditions of your account, Financial Conduct Authority (FCA) say that Paypal has to allow you to sta){kind=link}
PAYPAL is making a huge change to fees within weeks and shoppers won’t be happy.
The global payment platform will charge the average customer more interest for every £500 borrowed through PayPal Credit.
Like a credit card, PayPal Credit offers users the chance to borrow money for their purchases when they checkout online.
Customers get a monthly statement and are required to make a minimum payment towards their balance each month.
Unlike PayPal’s Pay in 3 buy now, pay later option, PayPal credit is not usually interest-free and customers have to undergo a hard credit check to be accepted.