Most people have heard or come across PayPal. It is one of the leading online platforms for transferring money, requesting money from individuals, and storing credit.
It has the reputation of being safe and secure which is why many individuals and companies use it confidently for their economic transactions.
Some of the industries that use PayPal for economic transactions include retail, technology, education, entertainment, and gambling industries.
The American company was founded in 1998 and was then known as Confinity. PayPal then developed a business relationship with the Gambling Commission.
As we will explore later in this article, this business agreement helped turn PayPal into one of the most preferred payment methods for online casinos.
There are also other reasons behind the popularity of PayPal in the gambling industry, which we will also explore.
PayPal and online casinos
As mentioned before, many industries now use PayPal to offer safe and secure payment options to their clients. One of them is the gambling industry, or the online gambling sector to be more specific.
But why do they use PayPal?
PayPal’s reputation as a trustworthy platform
Well, first of all, PayPal is famous. Because it is famous, people tend to view it as more trustworthy and reliable than other non-famous payment platforms.
If they have any issues with their transactions, they know that the company will likely return their funds or help them sort out their issues. Their customer service is also likely to be better and more efficient than unknown companies.
Casinos can use the name and brand reputation of PayPal to gain the trust of their clients. By offering secure and safe payments overseen by PayPal, they come across as legal and reliable casinos.
It distinguishes them from other casinos that do not protect their customers’ credit card details.
Gaining clients’ trust then helps casinos build a good relationship with their existing customers, attract new ones, and collect good reviews. These good reviews will place them higher up on the list of the best online casinos, which will help them generate more revenues.
Most casinos will require customers to deposit money into their account before playing. For example, some PayPal slot sites offer promotions, bonuses and rewards to customers who deposit money in the virtual casino.
When a casino offers PayPal payment options, customers see them as trustworthy which then leads them to deposit more money into their gaming account. They know that their account is protected and secure and will therefore deposit larger sums.
As mentioned before, PayPal has a business relationship with the Gambling Commission. In other words, PayPal only works with licensed casinos.
So online casinos that offer PayPal payment methods will be licensed. This means that they are legal and officially recognised.
If players have any issues with the online casino, they can seek legal repairs or protection. They are protected.
The casino’s license also means that the casino itself is controlled and regulated, which means that it is safer than unlicensed ones.
Worse comes to worse, if the online casino offers PayPal payment methods, individuals can also seek repairs or help from the American company.
Protection of data and personal information
Another reason why PayPal is so popular when paying at online casinos is for its protection of customers’ data and personal information.
No credit card details are directly shared with the online casino. Everything is done internally by PayPal.
This helps ensure that no unnecessary information is shared between parties and that the payer’s credit card details are stored securely and not shared.
In addition to that, other pieces of information (address, nationality, etc.) are not shared when paying via PayPal.
This offers more protection to the payer.
No additional charges
PayPal does not charge you anything if you transfer money from the same currency.
If you transfer money from one currency into another, it will charge you a small fee. These are transparent and will be clearly indicated before the transaction is finalised, giving you a chance to review it beforehand and cancel the purchase if needed.
If you aren't sending money from one currency into another, you shouldn't have any fees to pay. It will be free for you to send money without any issues.
This is one of the reasons why PayPal is so popular at online casinos and other retailers.
If you receive money into your PayPal account, you can quickly withdraw it and transfer it automatically to one of your bank accounts.
Withdrawing money from PayPal is 100% free.
Quick and instant
In addition to withdrawing money for free and transferring money without any additional fees in most cases, PayPal is quick and instant.
You can send money quickly and instantly to someone else and start receiving money immediately.
Unlike other types of online casino payment methods such as cryptocurrency (bitcoin), PayPal can be seen as more stable.
It relies on official currency and is therefore more stable. Cryptocurrency (bitcoin) is known for being more volatile and unreliable.
It can easily fluctuate which can endanger customers. On top of that, it is not controlled by any entity, which is why it is so unstable.
PayPal offers stable, official and protected currencies to ensure that customers are not at risk of major fluctuations and devaluations that can come with cryptocurrency.
PayPal is one of the preferred payment methods for online casinos. In this article, we’ve discussed some of the reasons behind its popularity and why customers trust it so much.