Freelancers Beware of Receiving Payments via Credit Card through PayPal

I’m a freelance web designer and I recently had an experience with a client using PayPal as a payment method which I think more freelancers need to be aware of.

Mistake #1: I didn’t research my client.

In February last year, a potential client emailed me and said he’d seen my site in a CSS design showcase and asked me to quote for a project he had. I spent a lot of time helping him through the jargon and helping him lay a good foundation for a successful web project by defining his ideas of what he wanted the site to achieve. After lots of the usual emails back and forth, he then abruptly emailed and said “This is on hold sorry”. He disappeared for a couple of months and then made contact again only after he said he’d “wasted 4 weeks with the last designer”. Now I know obviously this should have sent a few alarm bells ringing, and with hindsight being 20/20, I should have questioned and done a bit of research on this client before I made the decision to accept the job.

Mistake #2: I accepted credit card payments via PayPal.

As the client was in New York and I was in Brisbane, Australia, I thought I’d better be cautious let him know up front that I’ll require payment at regular intervals. First, a small deposit up-front, then only at key stages when work has been completed and approved. I chose PayPal as the payment method for as an easy and secure way of transferring the funds internationally. Continue Reading