Four Types of Paypal Card Readers - What's the Difference?

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Since it’s craft show season, there are lots of crafters ordering mobile credit card readers to use at shows and fairs. Since the last time I wrote about them, Paypal has introduced a number of new card readers. Let’s take a look at the differences.

First, know that all the Paypal card readers do the same thing: Accept payments from customers and put the money into your Paypal account. To use any of the Paypal credit card readers, you’ll need the free Paypal Here app for your tablet or smartphone. Get it here in the App Store or here in Google Play.

Differences Between Paypal Card Readers

This is the most basic Paypal card reader. It accepts cards that are swiped using the magstripe. This Paypal card reader connects to the headphone jack or your tablet or smartphone. (This means that some iPhone owners will need to use an adaptor to your lightning port since you don’t have a headphone jack.) This also means that you cannot dip chip cards. Cost: $14.99, but is often offered free when you download the app.

The next Paypal card reader accepts both magstripe cards and chip cards. It is important to be able to accept chip cards using the chip instead of swiping it. Unfortunately, in the case of fraudulent charges you will be held liable if you accept a card that has a chip and you swipe it instead. For more information on this, see this post on the blog. Instead of using a headphone jack, it connects via Bluetooth on your tablet or smartphone. Cost: $24.99. This is the Paypal card reader that I recommend most.

This Paypal card reader also accepts both magstripe cards and chip cards. Again, it connects through Bluetooth connection to your tablet or smartphone. It also has the capability to accept contactless payments; like those from Apple Pay. For the average craft show seller, there’s no reason you’d need to offer contactless payments. Cost: $59.99.

Last, this Paypal card reader does everything above: Accepts payments through magstripe, chip cards, Samsung Pay, and contactless pay. It connects through Bluetooth to your tablet or smartphone. It also features a numerical keyboard. Again, for the average craft show seller, there’s no real reason you’d need this reader. Cost: $79.00.

Cost of Using the Paypal Card Readers

2.7% per US swipe for magnetic stripe, chip card, or contactless transactions.
For keyed transactions, the fee is 3.5% plus $0.15, per US transaction.
Accept non-US cards for the standard 2.7% per swipe plus 1% cross-border fee.

Ready to order your Paypal reader? Click here.

Prefer to use Square instead of Paypal? Click here to read my post on the magstripe and chip card reader from Square – and get $1000 in free processing.

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Christine Schinagl, Cutting for Business

Since 2015, Christine Schinagl has been helping crafters start and run craft businesses through her blog, Cutting for Business. As a Silhouette and Cricut crafter herself, she has a unique take on what works and what doesn’t work in the craft business world. She also enjoys teaching other crafters how to create digital SVG designs, available through the Design with Me series.

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