Payoneer Transaction Fees Set to Increase: How Will It Impact Pakistani Freelancers?

Famous online money transfer platform Payoneer recently announced a noteworthy increase in its transaction fees for users in Pakistan. This shift will impact many local freelancers who depend on the service to send and receive payments. As the platform remains a key tool for freelance payments and international transactions, the increase in Payoneer transaction fees is raising concerns among professionals who rely on it for their livelihood.

New Fee Structure

Starting October 20, 2024, Payoneer will increase its transaction fee to 3% of the total transaction amount. A $0.49 fixed fee for transactions based on USD will also be charged. This is a significant jump from the previous 2% fee, making the platform costlier for users.

For transactions not made in USD, the fixed fee will differ depending on the currency:

• 0.39 GBP
• 0.45 EUR
• 0.75 AUD
• 0.67 CAD
• 73.76 JPY

The new fee structure applies to payments made through debit or credit cards and those processed via Payoneer’s Request a Payment or Initiate a Payment features.

Here is what Payoneer’s support center page says about the fee increase:

To ensure we can keep giving you the best service, we periodically review our fees as the market changes. While these adjustments are necessary, our commitment to empowering your business growth remains our top priority.

Impact of High Payoneer Transaction Fees on Pakistan’s Freelancers

Payoneer’s fee hike will hit Pakistan’s freelance community quite hard. Many freelancers use Payoneer to get international payments for their work. The fee hike will lead to noteworthy deductions from their earnings. Pakistan is one of the largest freelance markets in the world, with thousands of professionals offering services on global platforms. This fee change could diminish the grandeur of Payoneer as a preferred platform. Payoneer has proven to be a trustworthy service for freelancers, but the new fee hike may lead users to seek alternative payment solutions that offer lower fees.

This update won’t take effect until October 20, 2024, giving users time to acclimate to the upcoming changes. The updated fees will show on the Fee page under account settings after this date. It is pertinent to mention that any existing fees applicable to additional services will remain unchanged. For freelancers and business owners, it’s important to review the changes carefully and evaluate how this fee increase will impact their costs, particularly for high-volume transactions.

If you want to explore new alternatives, platforms like Wise or Revolut may offer various fee structures and options that can help freelancers mitigate the increased costs. Moreover, negotiating payment terms with clients or selecting for direct bank transfers are other ways to minimize the impact of these fee hikes.

Check Out: phoneworld.com.pk/a-step-towards-digital-convenience-punjab-introduces-e-registration-cards-for-vehicles/