Credit cards are no longer considered the safest mode of online payment
transactions, due to the fact that banking information is distributed to online
vendors without being entirely sure of the security precautions the vendor has
in place to protect the user from fraud. As such, several online fund transfer
and e-wallet solutions have been developed to ensure the secure deposit and
withdrawal of monies. One of the leaders in this field, is PayPal.
Basically, PayPal offers its clients a pre-paid account which can be accessed
from online vendor locations in order to make deposits or payments. Being
pre-paid, the user deposits monies into his/her PayPal account via MasterCard,
Visa or American Express. The user then accesses PayPal affiliated online
stores, casinos or poker rooms, where they are able to make payments or deposits
using their PayPal account. The user is required to enter log-in information
that he/she alone is privy to, thereby ensuring that no unauthorised
transactions can be made on the user account. Because the vendor does not have
access to any banking or financial information, transactions are far more secure
than other payment methods such as the credit card. PayPal also ensures that
these transactions are protected by highly advanced encryption technologies and
fraud detection systems.
One of the great advantages to using PayPal is its convenience and
simplicity. Payments are made immediately, and as such, there are no delays in
processing deposits. PayPal is available in over 180 countries around the world,
as opposed to other e-wallet solutions that are only available in limited
currencies and regions. Users have the benefit of being able to access their
PayPal accounts online to monitor spending, and will be pleasantly surprised to
see that there are no deposit fees incurred. However, users should be advised
that receiving payments for goods or services sold, receiving payments made by
debit or credit card, and receiving of payments from a foreign source do incur a
transactional charge. Users should also take note that PayPal also has a
transactional limit of $10 000 per transaction.
