PayPal has stated that the payment methods offered to business accounts would be changed “in the coming weeks.”
Customers will only be able to send these types of payments for goods and services through consumer PayPal accounts, as the company will remove the long-standing “Friends & Family” option for business payments. PayPal claimed in a press release that it is “changing the manner users send money.”
“This upgrade assures that qualified purchases of Goods and Services will be reimbursed for both parties and will provide uniformity on our platform,” the company stated in a statement. “PayPal will also be able to aid businesses in properly reconciling data and arranging personal and commercial income.”
Under the new setup, business account holders may continue to use business-only features such as automated reporting, invoicing, multi-employee access, and more.
Users with a business account who currently use PayPal for non-business-related purchases can use or create a personal account to accept personal payments without incurring seller fees while continuing to use their business account for commercial payments.
Customers may spend $199 to $10,000 and split the expense over six to two years, with the first payment due one month after purchase.
Customers who choose Pay Monthly fill out an application at checkout and, if accepted, are offered up to three plans of varying lengths with risk-based annual percentage rates (APRs) ranging from 0% to 29.99%. Customers may then choose the option that best fits their budget.