How best to withdraw $US balance from UK Paypal account avoiding fees? Already tried TransferWise...

cheniesboycheniesboy Forumite
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MoneySaving Newbie
My wife has been doing some work for a company who pays her into her Paypal account in $US. This part of the equation can't be changed, so don't ask! When trying to withdraw the $ to her UK bank account, Paypal offers a very poor conversion rate, way below the standard exchange rate, so she loses a hefty chunk of what she's earned. She has a TransferWise borderless account, and she's managed to add the US bank account details to Paypal (that in itself was a challenge, Paypal don't make it easy!). The idea being she could withdraw the $ balance to her TransferWise $ account, and then convert the balance to £ back in TransferWise at the proper rate. However, even though the Paypal withdrawal is technically $ to $, they still want to charge a 3% fee because her Paypal account is registered in the UK and it is considered an international transaction (go figure). We thought about using her Revolut card but Revolut don't have US bank credentials, and even if they did we'd still have the same issue as with the TransferWise account. So, does anyone have any workarounds as to how best to withdraw this $US balance to her UK bank account avoiding fees / bad exchange rates?  Thanks for reading this far, and thanks in advance!

Replies

  • colstencolsten Forumite
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    The only other option I can think of is Fineco bank, though Paypal will probably also charge for moving money to Fineco.
  • eDickyeDicky Forumite
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    If a Fineco Bank UK account is recognised by PayPal as a UK account, even for receiving dollars, it may be worth a try...
    Evolution, not revolution
  • edited 5 February at 2:18PM
    colstencolsten Forumite
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    edited 5 February at 2:18PM
    eDicky said:
    If a Fineco Bank UK account is recognised by PayPal as a UK account, even for receiving dollars, it may be worth a try...
    It is, just as Transferwise is. Which might represent the same issue as they already experienced. It's a matter of trying it out, I reckon.
  • born_againborn_again Forumite
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    If the above does not work, Which I think will not on the basis the "Paypal account is registered in the UK"  then unless they could set up a US PayPal account (unlikely) as they do not live in the US.
    "This part of the equation can't be changed, so don't ask! "
    Someone needs to have a word with said company paying the money if they are prepared to pay to TransferWise or other co.
    Life in the slow lane
  • eDickyeDicky Forumite
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    colsten said:
    eDicky said:
    If a Fineco Bank UK account is recognised by PayPal as a UK account, even for receiving dollars, it may be worth a try...
    It is, just as Transferwise is. Which might represent the same issue as they already experienced. It's a matter of trying it out, I reckon.
    TransferWise Borderless USD account details are for an account in the US, and recognised as such by PayPal, whereas a Fineco Bank UK USD account has (presumably, I don't have one) UK account details.
    Evolution, not revolution
  • colstencolsten Forumite
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    eDicky said:
    colsten said:
    eDicky said:
    If a Fineco Bank UK account is recognised by PayPal as a UK account, even for receiving dollars, it may be worth a try...
    It is, just as Transferwise is. Which might represent the same issue as they already experienced. It's a matter of trying it out, I reckon.
    TransferWise Borderless USD account details are for an account in the US, and recognised as such by PayPal, whereas a Fineco Bank UK USD account has (presumably, I don't have one) UK account details.
    The account holder is a UK resident in both cases. The USD account will in both cases be identified by the standard US account nomenclature.
  • cheniesboycheniesboy Forumite
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    Thanks for all your comments so far. Yes unfortunately I don’t think the Fineco option will work as PayPal will see it the same way as it does the TransferWise option. Not feeling too hopeful about finding a working solution!
  • eDickyeDicky Forumite
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    Trying Fineco will cost you nothing.

    TransferWise give you an actual US bank account details for receiving USD.

    I don't have a Fineco Bank UK account so I don't know their arrangement for incoming USD, but it may not be the same as TransferWise. If not, or just to find out, I still think it's worth a try.
    Evolution, not revolution
  • cheniesboycheniesboy Forumite
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    eDicky said:
    Trying Fineco will cost you nothing.
    TransferWise give you an actual US bank account details for receiving USD.
    Do you know if you actually get US bank account/routing number details with a Fineco account or does it just allow you to hold a US$ balance? If it only offers UK bank details then PayPal will most likely transfer the $ to £ when making the withdrawal.
  • edited 14 May at 2:46AM
    OceanSoundOceanSound Forumite
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    edited 14 May at 2:46AM
    eDicky said:
    Trying Fineco will cost you nothing.
    TransferWise give you an actual US bank account details for receiving USD.
    Do you know if you actually get US bank account/routing number details with a Fineco account or does it just allow you to hold a US$ balance? If it only offers UK bank details then PayPal will most likely transfer the $ to £ when making the withdrawal.
    I change the primary currency from GBP to USD within paypal, then try to transfer my USD balance of 115 USD to my fineco account. At the last step, paypal still converts to GBP and shows the amount in GBP as 78.82 GBP. This is about 3 GBP lower than xe.com and rate at fineco. Fineco rate conversion tool gives me 81.69 GBP. If only I could transfer USD from Paypal. Wise borderless USD account does not provide a sort code. anyway, there's a 7.50 USD charge for receiving wire transfers to wise borderless USD account
    edit: my research led me to this thread on Paypal community forums:
    https://www.paypal-community.com/t5/My-Money/PayPal-forcing-me-to-convert-currency/m-p/1632084#M22856
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