In my earlier blog post “How to Choose a Chinese Online Payment Solution”, I introduced some of the more popular Chinese online payment solutions. Some are fit for non-Chinese companies and some aren’t. Most China-based payment companies know Chinese clients well but have major problems dealing with non-Chinese companies.
Today I’ll introduce another option for receiving online payments from Chinese consumers: PayDollar.
5 Reasons You Should Consider PayDollar
- They can accept payments from several popular sources:
- Alipay, China’s most popular payment processor.
- 99Bill
- Chinese credit cards
- UnionPay
- PPS
- TenPay
- They provide support in English, Mandarin Chinese, Cantonese and Thai.
- Both Chinese and non-Chinese companies can register with them. Plus, they can transfer money from China to your company bank account even if it isn’t located in China.
- Multiple currency settlements: HKD, USD, CNY.
- Rapid settlement: Twice per month or T+1 days. (“T+1” means the day after the transfer.)
Fees
- Account set up fee: 1,000 HKD to 5,000 HKD, depending on the type of payments you would like to accept.
- Yearly service fee: 1,800 HKD to 3,600 HKD, also depending on which payment services you use.
- Transaction fee: from 3.0% to 3.8% of each transaction. This is negotiable if you have a large transaction volume.
Here’s how PayDollar’s fees are compared to Alipay and PayPal.
|
Account Set Up Fee
|
Yearly Service Fee
|
Transaction Fee
|
|
|
PayDollar
|
1,000 HKD to 5,000 HKD
|
1,800 HKD to 3,600 HKD
|
3.0% to 3.8%
|
|
Alipay
|
$1,000 USD
|
N/A
|
2.5% to 3.0%
|
|
PayPal
|
N/A
|
N/A
|
0.30 USD + 2.9% to 3.9%
|
Signup Process
Both Chinese and non-Chinese companies can apply for PayDollar business accounts. PayDollar does not offer personal accounts.
Step 1: Fill out the application form and send it with your company info and contact info. (“Company info” includes a copy of the company’s business registration documents as well as a copy of a government-issued ID card or passport for a director of the company.)
Step 2: Wait for approval. They say it takes up to 7 days.
Step 3: The account will be activated.
Drawbacks
As you can see from the fees above, PayDollar does charge more than Alipay. They also have a flat setup and yearly fees, unlike PayPal.
I searched for negative comments about PayDollar but I was only able to find one, which I’ve translated for you:
“I used it, and I would recommend that you do not use PayDollar for International trade. Within one or two months of paying the service fee and account access fee, PayDollar will use some excuse to terminate the contract and end service. The consequence is that you won’t be able to withdraw the money in your account, not to mention getting a refund for their service fee.”
More Info
There are many other online payment solutions, each with different features. If you like this blog post or are thinking of setting up a payment solution for China on your website, let me know. Also, subscribe to this blog.