Xoom vs. Chura - How I lost 1000 bob transferring from PayPal to M-Pesa

I needed to transfer some money from my PayPal to M-Pesa quickly over the weekend, and I decided to use Chura. Looking at their rates, it’s clear that there’s a significant haircut involved - Their USD conversion rate is 99.72 KES, compared to 103 at conventional bureaus. There’s also a 6.5% + 2USD charge, meaning that I was losing about 8 USD in the conversion, and at a sad rate no less.

Today I had a look at Xoom, the PayPal transfer service. I’d read about them extending their service to Kenya at last year’s Mobile World Congress, though it took forever for this to roll out.
So I decided to have a look, and as it turns out, the rates are way better.

Also, Chura caps how much you can send to 100 USD, while with Xoom you can send up to 690 USD to M-Pesa, which roughly corresponds with the daily transaction limit of 70,000 KES.

So I learned the hard way. I lost roughly 1000 bob, but all this could have been avoided if I’d done a little research.

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Correction, this is depended on their KYC terms, my limit is at $500 a day and there’s probably others with a higher rate. But that’s besides the point of the conversation.

It’s a rolling rate, evidently. It’ll go up to 250 after a few days depending on level of use.

For those who do not know, using unlicenced 3rd part merchants to withdraw from PayPal is illegal. There’s paper trail and PayPal when it catches wind will wait till your account gets a substantial amount and freeze the account indefinitely.

UPDATE: Tried withdrawing from PayPal using Xoom, and as it turns out, you need a US bank account to send money to M-Pesa. Back to square one. :unamused:

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Maybe you can sign up for a payoneer debit card to get a u.s bank account. I’m not sure whether that will sort out the issue but you can give it a try.

The Payoneer US Bank account ONLY accepts money from APPROVED companies. It does not remit or accept person to person payments.

Okay. What are we trying to sort out in the first place? I don’t know.

Register for skril euro account, instant mpesa with rates almost bureau levels,nd with a coop account you can collect the euros in 3dys…