Shopify Payments will process all of your new PayPal transactions: How long til we get $?

[NowAngryBird]

I used to get my revenue in 48 hrs on shopify , now is 7-10 days, a nightmare. Now we have this notice about PayPal (Beginning the week of Oct 7, 2024, Shopify Payments will process all of your new PayPal transactions. Nothing will change for your customers.). Does this mean that shopify will not hijaack and control our PayPal revenue too ? does this mean waiting 5-7 days for this revenue instead of instant availability in our own PayPal accounts? 

Has anyone been able to find a human at shopify to explain this? We need clarity and transparency about what is going to happen with our revenue ahead of this terrifying takeover. 

[tonytapay]

It seems that I'm getting payments in a timely manner, but the Payouts page is now really confusing and doesn't communicate these transactions very well. Numbers change without any apparent reason and when I contacted Shopify via chat, the person I was chatting with wasn't even aware of the change.

[KaylaLynn]

My accounting team reached out to me this week noting that PayPal payments USED to go directly to our PayPal account, and we could handle money transfers from there, but starting about 2 weeks ago PayPal payments started going to Shopify and then to us with additional fees associated. I haven't received any communication about changes to PayPal payment processing, so the poor communication from Shopify has been frustrating for us. The fact that PayPal payments are now subject to extra processing fees from Shopify (again, with no notice) is also frustrating. They haven't been very transparent or communicative about the changes and the impacts to merchants.

Our payout schedule has also been off since September, and support gave me a vague answer about new payment integrations going on in the background that might throw off merchant payout schedules. I was assured that by the beginning of October the work should be done and our payout schedule should go back to normal, but as far as I know, our payout schedule is still sporadic and random orders are being processes individually rather than being rolled up into one payout. Very annoying all around. My accounting team keeps asking me lots of questions that I don't have answers to (and apparently neither does anyone over Shopify Chat).

[tonytapay]

Wait. There are extra fees now? If that's true, the lack of communication is even worse than I thought.

[KaylaLynn]

That's what my accounting dept. told me. I manage our e-commerce business channel but I don't personally handle any of the order processing or money so I'm not entirely sure. 

[NowAngryBird]

Shopify did send out a lot of info ahead of that but you can stop it from going thru their bank in your settings.

[KaylaLynn]

Odd, neither me nor other members of the team with admin accounts were able to find any emails about it in our inboxes. The only info I can find about it online is a press release from September, but nothing about how this affects merchants. Do you know where in settings you can make that change?

[NowAngryBird]

I figured out that even after my workaround, my paypal changed yesterday so I got back in line at support. I will say that this answer to my issue was the first time I have felt like I got a straight, well written , honest answer so I am sharing it for your benefit also.

Understanding the Change


1. Migration to PayPal Wallet: If you are using Shopify Payments, your PayPal transactions will now be processed through the PayPal Wallet. This means that all funds from PayPal transactions will be included in your Shopify Payments payouts rather than being deposited directly into your PayPal account.
2. Payouts: Payouts for transactions made through the PayPal Wallet will be combined with other Shopify Payments payouts and will only be sent in USD. Currently, these payouts cannot be scheduled and will be deposited every two business days.
3. Refunds and Disputes: After the migration, refunds for transactions processed through the PayPal Wallet will need to be handled within the Shopify admin. However, refunds for transactions that occurred before the migration will still need to be processed through your PayPal Business Center.

If you prefer to have your PayPal funds go directly to your PayPal account instead of being processed through Shopify, you have a couple of options:


1. Disable Shopify Payments: You can choose to stop using Shopify Payments altogether and revert to using the third-party PayPal integration. This would allow you to process payments directly through your PayPal account. However, this may not be ideal if you want to take advantage of the streamlined features offered by Shopify Payments.
2. Monitor Updates: Keep an eye on any updates from Shopify regarding the PayPal Wallet integration, as there may be future changes or options that could better suit your needs.