PayPal friends and family – how does it work?

When you make a payment in PayPal, you’re presented with two options: ‘friends and family’ and ‘goods or service.’

To be fair to PayPal, the branding is pretty self explanatory. If you’re informally paying somebody you know well, you want ‘friends and family.’ If you’re buying something from someone unknown (a company or a random seller on your marketplace of choice), you want ‘goods and services.’

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