Hotel rate increased when I asked to pay by PayPal. Advice Please

lara352

I'm not sure if this is a rip off but I'll ask for advice here anyway. I tried booking accommodation for Goa through a Goa based tour website. It was on a request basis. The booking came back as available at a total of 18205 INR which I was happy to accept. However the payment link in the email did not appear to have a security certificate although it does state that transactions are secured through VeriSign Secure ICICI. I emailed them back saying I wanted to make the booking but pointed out the lack of security certificate and if they could provide me with a more secure method of payment. I was told I could pay by PayPal which I said I was h.appy to do. I then received 2 separate emails, one with booking details confirming the total again at 18205 INR, the other for making the booking through PayPal but at a total of 422 US dollars which on xe.com is 20,912 INR.
Is this increase justified by requesting to pay by PayPal and any extra charges it might involve? I'm travelling to India for the first time in a few weeks. I understand there are often hassles over exchange rates at hotels when settling bills which is one reason I want to book in advance and avoid this where possible. I guess maybe it can't be avoided so I'll just have to bring the boxing gloves

Thanks in advance for any advice

PeakXV

If it's clear that payment by paypal is accepted for the quoted price then I would protest it or go elsewhere for a booking. But if paying by Paypal was suggested/accepted after the original quote was offered then there may be a surcharge that is implemented due to Ebay's service fees and exchange rates that are usually skewed in their favour. Have never booked this way - just my immediate thoughts on the issue.

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Don't go to India ~ Pre-trip Warnings & Misconceptions?

lara352

Thanks PEAKXV. That is useful. I'm not overly familiar with PayPal charges etc. so it's possible I'm incurring extra charges for wanting to pay through them. I'll contact PayPal and see what light they can shed on it. Really the tour operator should have a security certificate and while they appear to be reputable I wasn't going to run the risk

Haylo

Officially, PayPal transaction fees are payable by the seller, but if they decide to pass on their customers the fees that PayPal charges them for using the service, there's not much you can do about it other than negotiate with the seller.

Can't remember the actual amount PayPal charges sellers but it's roughly 2%, which is a figure I've never had a problem with if it's been necessary, considering how convenient and secure PayPal is (I prefer not to give my credit card number out to sellers) and how much cheaper it is than other forms of secure payment such as international money orders or bank transfers.

EDITED TO ADD: Payment type aside, most hotels round here don't ask for full payment upfront, presumably Goa hotels are the same. If you're not happy about paying more than a deposit for acommodation you haven't seen, you can probably go elsewhere on more reasonable terms.

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dhans

A small deposit (by paypal) would do the trick. If not plenty hotels available.

Hans

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Kanehanahou

As above, yes, there are many options available for accommodation. How long are you staying, or what level of accom are you booking that would cost 20K rupees?

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Freereedsqueezer

Xe.com give you quotations using mid-market rates, rates by Paypal or anywhere else will be less in your favor and Paypal charges 3% I believe so there's a little bit of your difference. I wouldn't pay up front though as others have said, a deposit should be fine.

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Booradley

Would you have a problem paying over the phone with a CC. I did this when booking a hotel room in USA from UK
Boo

devorenm

When I was recieveing payment through paypal through ebay I was paying paypal 3 percent for their services which basically covers what it costs them process credit card transactions, it sounds like the hotel is asking you to pay this penalty, which sounds fair enough to me, plus I would imagine there will be a fee for the currency exchange as well.

However, I think the best option here would be to send them a small deposit via paypal, that extra 3 percent on a 50 USD deposit won't bother you much I imagine then pay the rest in INR when you get there. I can't imagine they would object as they are going to git bitten with charge card fees either way online.

Simply get traveller's checks from home before you go (for no fee) and then exchange them anywhere in India for a better exchange rate then you would get for US cash

holikarang

As per my calculations, Paypal retains 4% from the receiver, anyway if you use it on ebay, for example, the seller is not allowed to charge the Paypal commission, but has to pay it himself. Just keep in mind that any other method will anyway have a commission and Paypal is the only way to avoid giving your card number.

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