E-commerce is growing in popularity — in 2019, 15% of global retail transactions were carried out on e-commerce websites, while in 2022 the figure sits at 22%. This has introduced a growing need for fast, cost-effective, and safe payments across borders and platforms.
Different payment options will be more or less suitable depending on the requirements and situation of buyers and sellers (returns policies, encryption and security levels, and more). However, in order to get orders into factories/warehouses/shipments first, as well as ensure they are making as much money from this $3.3 trillion industry as they can, buyers and sellers alike must know how to use these payment methods efficiently.
One of the most popular e-commerce websites is AliExpress and one of the most popular payment methods is PayPal. Let’s have a look at why PayPal is a good option and how, as a buyer, you can use these two platforms together.
Table of Contents
Why would a buyer want to pay with PayPal?
Can a buyer pay for products on AliExpress with PayPal?
Which countries accept PayPal on AliExpress?
How to use PayPal on AliExpress
Alternative payment options on AliExpress
FAQs on using PayPal on AliExpress
Conclusion
Why would a buyer want to pay with PayPal?
PayPal is one of the most popular payment methods on the Internet, with a user base of 173 million people sending money across 202 countries and in 21 currencies. There are four main reasons that users like to use PayPal:
- Compatibility: PayPal allows users to link many different types of bank cards, including MasterCard, Visa, American Express, UnionPay, and more to their accounts, and then adds a layer of security and convenience.
- Security: Paypal encrypts personal bank information to keep its users safe. It also allows for convenient bank transfers to users who provide the other party with nothing but an email address or phone number.
- Assistance: In terms of buying items online, PayPal will reimburse buyers if they do not receive the item or if the item is not up to the standard described. It also has a team that will mediate between the buyer and seller if there are problems, and a 14-day return policy.
- Speed and cost: Paypal is also relatively fast and low cost, with transfers taking 1-3 business days, or just 30 min if opting for the instant transfer at a cost of 1% (up to a maximum of $10).
Can a buyer pay for products on AliExpress with PayPal?
The relationship between PayPal and AliExpress has been a turbulent one. The partnership was initially launched in April 2010, but within a year it had been withdrawn due to the high fees imposed on buyers — a 7% processing fee for PayPal plus the 5-8% commission taken by AliExpress. These high fees were unsustainable and slightly pointless as AliExpress and Paypal were both offering the same buyer protections, meaning buyers were essentially paying for the same thing twice.
Today, buyers can once again use the PayPal payment service on AliExpress — but only if they are buying from the right country and if the seller accepts it.
To check seller acceptance, the buyer can follow one of these steps:
- Check the payment section
- Contact the supplier directly
- Filter using the “Ship To” options and setting it to a country that supports PayPal
Which countries accept PayPal on AliExpress?
The countries that support PayPal on AliExpress are the following:
- USA
- Australia
- New Zealand
- Canada
- United Kingdom
- Ireland
- Germany
- Israel
- Spain (except AliExpress Plaza)
- Mexico
- Brazil
- Portugal
- France
- Italy
- Austria
- Belgium
- Swiss
- Sweden
- Norway
- Turkey
- Netherlands
How to use PayPal on AliExpress
Once the buyer has confirmed that they can use PayPal for the sale, then the process is easy.
- Choose your items, go to the checkout, and select “Place Order.”
- This will open a pop-up window. Select PayPal as the payment option.
- Select check-out with PayPal.
- You will be redirected to the PayPal website. Sign in and finish the process.
Alternative payment options on AliExpress
Should PayPal not be available in your country, there are many other options open to you. Visa, Mastercard, Alipay, Western Union, and more all offer secure, low-cost, and fast payments across the globe. Additionally, buyers will not lose the assistance they receive with PayPal as AliExpress will take care of the returns and refunds, as well as meditate with the sellers on their site in case of any problems.
PayPal may be a convenient payment method, but based on the country you are buying from, you may find that a different payment system offers an even better solution. Be sure to check the speeds and fees of your favorite payment method when used on AliExpress.
FAQs on using PayPal on AliExpress
- How to handle disputes if payment has been made through PayPal
One pro of paying with PayPal is that a buyer can open a dispute twice — the first time through AliExpress and the second time through PayPal. This gives the buyer twice as much chance of winning. Note: The first dispute must be made through AliExpress.
- How to handle returns if payment has been made through PayPal
If an item does not have a free returns policy, then buyers can go through PayPal to return the product. This can be done a maximum of 12 times per year and each time has a max. refund request of $30 to return the item.
- Will AliExpress charge a commission if a buyer uses PayPal?
This was an issue previously, and one of the reasons why the fees became unsustainable. Today, however, this additional fee is placed on the seller as opposed to on the buyer. This makes PayPal a much more viable payment option on AliExpress than in the past. However, it should be noted that a buyer’s bank can impose their own currency conversion fees when a user chooses to pay with PayPal.
Conclusion
PayPal can be a great payment method to use on AliExpress. In the past, it may not have been viable, but now that AliExpress has dropped the additional commission fees, buyers can get double the cover and security at a similar price to when using other payment solutions.
If PayPal is not available in your country, you may find that other payment methods, such as MasterCard, WebMoney, Visa, etc., offer better solutions for your area. It is important to check the fees and speeds of any payment method you choose.
