The Best Way of Withdrawing Fiverr Earnings

Are you a new freelancer on Fiverr,making your first order done but totally confused about the payment methods? You might have heard of the names like "PayPal" or "Payoneer" but don't know much about the working procedures. At this point, if you are from the US, you might be thinking of leaving all the hustles of these systems and simply going with the direct bank transfer process. HOLD  ON  FOR A  LITTLE WHILE. You MUST know in detail and then only decide to go with the most profitable money transfer system. It is very important for freelancers and business owners living outside the US, as it may save at least 20% of your actual earnings, which I suppose is not a small amount at all.  Let's just start the discussion one by one.

Save your Earnings by choosing right method

How to Withdraw Money from  Fiverr

After you have completed any order and waited for 14 days clearance period(7 days for PRO sellers), you may visit the earnings section. There you will see withdrawable amount under "Available for Withdrawal". Just beside the "Withdraw" button, you will see two options:

• PayPal
• Bank Transfer

Now we have to choose the withdraw option wisely. 

PayPal is an e-commerce company that is used worldwide for fund transactions. There are several charges applied to PayPal transactions. Let us discuss the pros and cons of using PayPal from any country.

PayPal  v/s  Payoneer : there are several factors you need to consider.

• Transaction Fees: According to Fiverr's rules and regulations, Fiverr deducts 20% of the order amount and gives you only 80% in your Fiverr wallet. PayPal charges 2.9% from the seller to receive any amount and a $0.30 as transaction fees. Whereas, Payoneer charges $2.99 for bank account transfer and $15 for USD SWIFT transfer. 
• Transfer Time : PayPal takes 3-4 days to transfer the amount to your bank account but Payoneer does it within 24 hours max.
• Debit card charges: If you are planning to use Debit Card for a transaction, then choose depending on the amount of transfer, as PayPal charges 0.25% whereas Payoneer charges $3 per transfer.
• Currency Conversion Rate : PayPal provides at least 7% less in case of currency change , whereas Payoneer gives current currency conversion rate.
• Refund Charges: PayPal does not charge any fee directly on issuing a refund. However, the amount a seller paid for the transaction is not refunded(the 2.9%+ $0.30).But Payoneer charge only 1% of refunded amount.

So to clear all your confusion, suppose, I withdraw 2000$ via PayPal, I will get only 1800$ in my PayPal account. If I withdraw the same via Payoneer, I get 1970$ even with the 30$ fee(Payoneer charges an annual fee). Now if I need a currency conversion here, PayPal will give a 7% less than the current  conversion rate but Payoneer will give me accurate conversion rate. So I will have almost 98% of my Fiverr earnings if I go for Payoneer. But If I choose PayPal instead, I will have 84-85% in my bank account. There is one condition upon which PayPal is way too stronger that Payoneer. I suppose , this quality is only taking PayPal ahead. PayPal is a bit more trustable that Payoneer. The major problem of it is the small charges that sum up to a noticeable amount for any freelancer.

Now comes the question, how to set up an account in the above-mentioned systems. I will explain both. Choose whichever you feel comfortable with.

How to set up a PayPal account : It is not at all difficult to set up a PayPal account. Follow the following steps:

1. sign in to the official website of PayPal
2. Select the type of account you would like to create, and click Get Started.
3. Enter the required information and click Continue.
4. Follow the instructions on the screen to complete your account sign-up.

After you are successfully logged in, you can add debit/credit card or you can link your bank account to PayPal. Just click on "Add Bank" and you will be asked some front-page details of your passbook. PayPal will drop two small amount (less than $1) in the linked account and will ask  you to verify the two amounts. It will take 3-4 business days to arrive in your mentioned bank account. After you enter those amounts and submit, your account will be verified and ready to use.

How to set up a Payoneer Account : 

The bank transfer is associated with Payoneer that connects your bank account to Fiverr.
1. Go to official Payoneer website.

2. Click on Sign Up

3. Fill out the details shown on screen.

4. Upload the documents needed.

5. Submit the form.

After the application form is submitted, You will be shown a "Successful" on screen.

The following will be needed to open an account:

1. National ID card
2. Driving Licence
3. International Passport

To set up your bank account for withdrawals:

1. Once logged in, from the Selling menu, click Earnings.
2. In the Withdraw area, click Bank Transfer.
3. Fiverr will ask you if you want to verify your account via SMS code or call. 
   After verifying your account, you will receive an email instructing you to confirm your bank details.
4. Click the link within the email.
   
5. Click Get Started.
   You will go through the process of setting up your Payoneer account.Just follow the on screen instructions and fill up your bank details there. You might apply for a MasterCard too. That will help you to keep track of the transactions. If you have an existing Payoneer account, you can connect your account.

You can always choose a withdrawal method of your relevance. My suggestion would be opening both accounts and use the relevant method depending on your amount of withdrawal every time. If you want to save some money and get rid of the extra charges, then just go with Payoneer.