Stefanie Olson reports that Yahoo has removed some fees from its PayDirect person-to-person payment service.
In the last week, Yahoo split PayDirect to give customers two options. One, a free account, is designed for family and friends who want to exchange money online without using credit cards. (Previously, Yahoo charged all subscribers, even if they didn’t use a credit card.) The “professional” service racks up fees from the customer who accepts credit card payments–a common practice for online auctioneers. Yahoo charges 30 cents plus 2.5 percent of the cost of each transaction made using the service.