Question for Canadians using Paypal

[mallik]

I'm trying to setup a paypal account, but I'm having a problem setting up a US bank account. I have two of them, and both banks say that I can't setup paypal with my US bank account. I'm wondering if anybody in Canada has been successful trying to do the same thing that I am. If not, how is your paypal account setup?

 

[Soulflare]

Credit card.

 

[mallik]

How does that work? Isn't the exchange rate a killer, and aren't there charges with credit card payments?

 

[Soulflare]

Umm... you signup, they charge your card like $0.02 twice just to make sure your card
is valid and that you are the actual cardholder before allowing you to buy things through
Paypal. At least that's what I went through about 1 1/2 years ago. It took about 4-5
days for the process to complete (really annoying).

As for exchange, it's handled by your CC company just like buying anything else from a
U.S. vendor. Luckily CC companies tend to charge less than most banks do when it comes
to exchange.