PayPal fees take a large cut of Xero payments
PayPal's percentage fees on Xero invoice payments are high, and they stack on top of Xero's own invoicing fees.
Tier II · Emerging Problems that are still building up.
4 public reports · first reported 5 September 2019 · last reported 28 March 2026
What's going wrong
Small businesses and freelancers who take payments through PayPal from Xero invoices report that the percentage cut is steep, and that it stacks on top of fees already charged for invoicing.
AI-assisted: written with the help of AI from the reports. The idea report has the full summary.
In the idea report
- The full summary.
- The products the 4 reports are about, and how many came each month.
- Related problems.
No business has been found with this problem yet, so the report has no contacts. All sales are final — no refunds. Pricing.