Last Updated on February 9, 2021 by Jay Clover
With the coming of the internet, lots of things have changed including payments. Today, most money transfers are done via the internet. Freelancers, e-commerce owners, and other business owners (especially those operating internationally) use web-based payment solutions.
Skrill is one of the most popular payment gateways with around 120.000 users and a presence in over 30 countries. E-commerce platforms, such as WordPress and Ecwid, online shops, freelancers, and business use Skrill for accepting and sending payments.
What Is Skrill?
Skrill was founded back in 2001 under the name Moneybookers. In 2011 they rebranded themselves under their current name.
It’s one of the best-known and commonly used payment gateways that allow people and businesses to send and receive money without any hassle. No late payments, no complex transactions.
Is Skrill Legit?
I know that one of the most common questions related to online payment gateways, apart from their safety, is their legitimacy. And, most probably, you also want to know the answer to this question.
The good news is that YES, Skrill is a legit company with registration number 4260907. They are also registered with the UK’s Financial Conduct Authority with reference number 900001. In addition, they have a European e-Money license which allows them to operate globally, including in all 50 states of the USA.
Is Skrill Safe?
Now that we’ve covered the legitimacy of Skrill, let’s move to the issue that concerns people the most – the safety of Skrill.
The short answer to the question “Is Skrill Safe”? is YES. But to help you understand this better and make sure you know all the important things before deciding whether to use it or not, we’ll look at its safety from two aspects: user identity verification and encryption.
Since they comply with the UK, EU, and US financial laws, Skrill have very strict identity verification standards. Namely, every person/business who wants to open a Skrill account has to verify identity. This is done by depositing with a debit card, bank account, or Bitcoin. Also, some users are asked to provide a photo of a valid government ID or bills with their name on them.
The verification process can take from a couple of weeks to several months. The latter is unusual but can happen. In that case, users’ money is held in Skrill’s account until their profile is identified.
When it comes to this aspect, Skrill really pride themselves on being hacker-proof. They use 128-bit encryption and incorporate two-factor authentication each time they log in to their account. In this way, Skrill ensure no one can hack the users’ accounts, at least not without them knowing that.
As a payment gateway, Skrill offers various features, including:
Yes, you can open a free account on Skrill. Unlike other payment gateways like Payoneer which charges around $30/year, there are no costs related to having an account. This allows even those who don’t earn much or don’t use this type of payment often to have an option when they need to send, receive, deposit, or withdraw money locally and internationally.
Accessing your funds is very easy and fast. You just have to log in to your account. Then, you get access to your balance and can send, receive, deposit, and withdraw money in no time. Using Skrill is simple, secure, and fast.
Speaking of fast access, the Skrill app allows you to access your account and funds and manage the same on the go. It’s easy to use, secure, and fast. So, you can access it wherever you are as long as you have an internet connection.
With the Skrill app, you can:
- Check your balance – See how much money you have at any moment along with a list of recent transactions.
- Send and receive money – Sending money with the app is hassle-free. All you have to do is choose the recipient, choose the amount, and click to send. Even if they don’t have a Skrill amount, you can just write their e-mail address to send them money.
- Upload and withdraw money – You can deposit money to your Skrill account when you need more and withdraw it at any time.
Credit Card Transactions
You can easily pay and receive money locally or internationally. Also, you can upload and withdraw your money at ATMs using the debit card you get from Skrill as long as the ATM accepts Master Card. Moreover, you can pay in shops, restaurants, and online where Master Card is supported.
However, you have to be aware that there are some fees related to transactions. Namely, for uploading via local and global payment methods, there’s a 1% fee of the sum. For withdrawing funds to your local bank account, there’s a €5.50 fee and for withdrawing with your debit card, there’s a 7.50% fee. If you pay internationally via a SWIFT code, the fee is €5.50.
When it comes to sending money, if you send money to another Skrill account, there’s a 1.45% fee. If you send money to an international bank account, it’s free, and if you send money to a local bank account, there’s up to 2% free. Also, receiving money is free.
This feature allows you to send money using the recipient’s email address. It’s simple and hassle-free. All you have to do is select the amount you need to pay and the currency. Then, you confirm the transaction by entering the 6-digit verification code or your PIN.
In this way, you can pay not anyone you want, regardless of their location or whether they are a Skrill user or not. The transaction is fast, however, if they don’t confirm it in 14 days, the transaction will be canceled and the funds will be returned to the sender.
What makes Skrill stand out from its competitors is that it accepts more than 40 currencies. From the standard EURO, GBP, and USD to the less known MYR (Malaysian ringgit), BHD (Bahraini dinar), INR (Indian rupee), ZAR (South African rand), and RSD (Serbian dinar).
Also, it supports cryptocurrencies, including Bitcoin, Bitcoin Cash, Etherenium Classic, Ether, Litecoin, OX, and XRP.
This allows you to scale your business globally and even work with cryptocurrency.
A Lot of Supported Countries
Skrill is available in almost all countries around the globe. Of course, there’s a number of countries where Skrill isn’t allowed. Some of them are:
- Faroe Islands
- North Korea
- Tajikistan, etc.
Is Skrill a Scam?
As mentioned somewhere at the beginning of this post, Skrill is a registered company operating under the laws of England and Wales. They are also registered with the Financial Conduct Authority and have a European e-Money license. In addition, they incorporate user identification, two-factor authentication, and 128-bit encryption. Falling under the England and Wales laws and with all these authorizations and safety features, you can rest assure that Skrill isn’t a scam.
However, if we speak in terms of whether you are safe from scams, the answer is NO. This has nothing to do with Skrill or any other payment processor for that matter, but with the people you are dealing with.
Working with people you may or may not know (clients), always puts you at risk of being tricked unless you use some sort of platform that ensures your payments.
Some people report that they didn’t receive the money although their clients claimed they’ve sent the funds. This, again, has nothing to do with the payment process you use (Skrill, Paypal, etc.) but with the fact that the person is a fraud. Unfortunately, this happens and you have to be careful whom you are dealing with.