You're not a merchant or those are friends/family type no-fee transactions.
For business recipients they take a few %, that adds up really quickly.

https://www.quora.com/How-does-PayPal-make-money-1

On Fri, May 26, 2017 at 11:57 PM, Steve Jones <[email protected]>
wrote:

> How does paypal make money outside paypal buyer credit? I remember way bac
> in the day, it was two things to take a payment or make a payment. I prefer
> to pay with paaypal, I actually will opt not to donate to certain causes
> (dick that I am, a big percentage of my income goes to donations, like
> don't tell the old lady how much of those random paypal expenses aren't to
> "buy gear for work")
> I never felt good about it cause in the day there were fees to the
> recipient. but recently Ive found a lot of my folks I do 1099 work actually
> prefer to pay me paypal. I dig the shit out of it, I get free transaction
> documentation (this is the sole reason I started taking those payments, it
> costs me anywhere I log a a payment) but I haven't got a transaction fee or
> anything, no balance percentage, nothing. I just dump 30-35 percent into my
> tax account on any payment depending on the gig.
> How do they stay in business since it appears outside buyer credit its
> fre, or am I just small enough they don't charge me?
>

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