Although the PayPal Here app is able to scan credit card information, you still need to enter the amount or missing data – such as security code – manually. Manually entering card details is also possible in the app, costing 3.5% + 15¢ per transaction.
This is the case if you are dealing with a US card. If not, cross-border transactions incur an extra 1.5% fee, i.e. 4.2% for US swipe cards and 5% + 15¢ for foreign-issued keyed card transactions. Non-US cards also incur a 2.5% currency conversion fee if the transaction was paid from a different currency.
If you primarily accept domestic cards in person, the fixed rate without a flat fee (which many competitors like to add) is a favorable fee for low transaction amounts. If there was a fixed fee added, the overall percentage of the transaction fee would become high for small transactions. But if you take many foreign-issued cards, the overall transaction rate can get expensive compared to other card reader companies.
When you process a customer refund, PayPal will charge you the original transaction fee paid for the refunded transaction. Chargebacks incur an admin fee of $20 each.