Say no to the latest PayPal rate hike – Quantum Bass Market

NB due to PayPal's imminent rate hike, we will discontinue accepting PayPal as of August 2, 2021. Here's how you can fight back

Say no to the latest PayPal rate hike

TLDR: We will stop accepting PayPal when they raise their rates on August 2. Please go to your PayPal account and send them feedback that rate hikes in this economy are unacceptable. Consumer pressure is effective.

Payment processing is a cost that may be "hidden" to many consumers, but adds an average of 3 percent to virtually everything you buy. As nearly every product and service now accepts online payments, merchants pass along this payment network fee to you, the consumer, even if you are not paying for a specific transaction with a credit card. This means you're paying for the cost of the merchant accepting electronic payments from his OTHER customers. 

Paying your car insurance electronically? Was $1000 not enough - great, you're now paying $1030 for a payment method that SAVES your insurance company money. Once merchants get wind of one payment processor raising its fees, they will raise their prices. Now you're paying $1035.

Was your doctor visit co-pay not high enough? No problem, you're now paying an extra 3% because they adjusted their fee schedule to pass along the credit card fees to ALL their patients. 

Are you doing your part to patronize small businesses and pay cash? It's the right thing to do, but your prices are still 3% higher, as all shelf prices are adjusted to pass along credit card processing costs. Unlike big businesses, small-business profit margins are razor thin. Insurance companies can afford to absorb processing fees that result in long-term profitability increases (such as not having to hand-process mailed paper checks), but small businesses struggle with any increase in costs.

During the pandemic, electronic payment processing services made windfall profits, with even more consumers buying online than ever before. Yet, PayPal has just sent out a notice that they are hiking processing fees as of August 2, 2021, to about 3.5%. Inflationary price hikes are showing up in many market sectors even as many Americans are living on less income than in 2019. We have always advocated PayPal for its convenience and relative security, but a price hike at this time is usurious to consumers and merchants alike.

Please join with us in refusing this profiteering from PayPal.

As of August 2, 2021, and until PayPal returns its fee to the former (ample) percentage or below, we will discontinue accepting PayPal as a payment method, and we will not be adding the additional 1/2 percent to our prices, either. We realize this may be an inconvenience, and invite you to navigate to your PayPal account, click their feedback box on the right side of the page, and tell PayPal that adding to the burden on consumers is unacceptable.