You’ve certainly encountered Skrill while making purchases online. As it’s a fairly popular payment processor, you might have been wondering is Skrill safe and legit payment processor? Or maybe you have heard that Skrill is a scam that you should avoid?
Well, in this post, that’s what you’ll find out.
We will uncover the good and the bad about Skrill and will address all the safety concerns you might have about their services. In the end, you should have a pretty good idea if this is a digital payment service you should consider using.
So, let’s begin with a short overview of the platform.
- What is Skrill?
- Is Skrill Safe and Legit?
- Skrill fees
- Who accepts Skrill Payments?
- How secure is Skrill?
- Why would I want to use Skrill?
- How Does the Skrill Debit Card Work?
- Wrapping up on how safe is Skrill
What is Skrill?
Similar to PayPal, Skrill is a digital wallet. Users can deposit funds onto it and spend it anywhere that accepts Skrill payments – or send money to each other.
Founded in 2001, the company was originally known as Moneybookers. At first, it was mainly used as a platform to store and transfer gambling funds online.
While gaming transactions still make up a fairly sizable part of their business, Skrill has diversified its services throughout the years.
It has evolved from a bet-placing app to a fully functional digital wallet that is commonly used for international money transfers, online purchases, and even cryptocurrency trading.
Even though the adoption rates are much smaller than those of PayPal, the reported numbers of Skrill are 40 million unique users and supported 150.000 merchants which is still quite impressive.
But does this mean they are legit and can you trust them with your money? We’re here to find out exactly that.
Is Skrill Safe and Legit?
Before we go deeper into Skrill’s features and offers, let’s try to establish how safe and legitimate they are as a business.
Since 2015, Skrill has been a part of the Paysafe Group, together with Paysafecard and Neteller, a former digital wallet competitor.
Skrill has also been registered with the UK’s Financial Conduct Authority since it started operating. Additionally, they have a European e-money license that allows them to operate anywhere in the world outside the US. For the US, they are licensed in all 50 states as well.
So, as far as legitimacy goes, Skrill is obviously the real deal and there’s no doubt they are a real company. Even their stock is traded on the London Stock exchange.
But before you sign up for Skrill’s services, let’s first check their fees and services and see if they suit your needs.
One of the most important aspects of digital wallets is their processing rates.
When it comes to Skrill they can be easy to misunderstand, as they are different for different countries.
Sometimes, the same service can be billed 0% in some countries where it might cost up to 7.50% on top of the transaction in others.
So make sure you check the rates Skrill charges in your country, by checking their fees page.
A quick overview of Skrill fees:
- Fees can range from 0% to 2.5%, depending on the method of payment and country.
- Some deposit methods are available to some countries only.
- Deposits in Bitcoin and Netteller, where available, have a fixed rate of 1%.
- Withdrawing funds to a bank account in the US, EU and the UK has a fixed fee of 5.50EUR.
- Withdrawals on credit cards will cost a steep 7.5% of the transaction.
- Withdrawals on supported mobile wallets like Neteller cost 1.45%
A big difference with other digital wallets is that transfers between Skrill accounts aren’t free.
They can cost up to 2% of the transaction with an additional fee for currency conversion of 3.99%. Furthermore, if your account is in another currency than Euro, they will charge an additional 1.5% on top of that. Can’t say this is the most appealing of offers.
Skrill charges an additional 5EUR/month to accounts that have been inactive for more than 12 months.
Things to Watch out for
In addition to the different applicable fees, it’s a good idea to understand the differences between all the platforms that Skrill has to choose from.
Unlike some other digital wallets that let you use the most affordable option, you need to do a bit of research beforehand. This way, you will make sure you are using the most advantageous feature given the circumstances.
For example, using the International Money Transfer to a bank account has zero-cost, while making a money transfer through your account could cost you up to 1.45%. So, in this case, you will be better off using the web feature instead of your own account.
Skrill App Review
Skrill offers a mobile app that connects directly to your Skrill account and has the same functionalities as the web client.
Here, you can :
- Deposit funds – using different payment methods that are linked to your country/region
- Withdraw – you can withdraw money to a bank account and/or credit card.
- Send Money – to another Skrill user or a bank account
- Exchange – exchange different supported currencies
- Buy and Sell Cryptocurrencies
- Create Virtual Master Cards for online purchases
- Consult your transaction history
The app is quite simple and intuitive to use, as the user interface is extremely beginner-friendly.
Each of Skrill’s features has a fee attached to them which displayed under their respective option. This way there shouldn’t be any unpleasant surprises when making a transaction.
This mobile app is very practical as it allows you to use your Skrill account on the go, allowing you to send and receive money and crypto whenever you need it.
Who accepts Skrill Payments?
Skrill is accepted by a large number of merchants, reportedly over 150.000 worldwide. Since the platform debuted as a payment processor for gambling sites, a good number of online casinos accept Skrill as a payment method for winnings.
Here are 10 of the most popular merchants that accept Skrill as a payment method:
- GoG – Video game digital distribution platform
- Deposit Photos – Licensed Stock Images
- DHGate – Wholesale Products
- eGifter – Name Brand Digital Gift Cards
- Fotolia – Royalty-Free Photos
- G2A – Digital Gaming Marketplace
- GoDaddy Domain Names & Websites
- Shutterstock – Royalty-Free Images
- Skype – Chat Messenger
- Wix – Website Builder
The fact that these high profile companies have accepted Skrill should be proof enough that it is a legit payment service provider.
How secure is Skrill?
When considering digital wallets, security should be your priority. After all, you wouldn’t want your hard earned money to be compromised by hackers or low safety measures.
To comply with the FCA certification, Skrill requires you to verify your identity before you can use your account. It’s a fairly simple process that involves uploading your national ID and a utility bill issued within the last 90 days.
While some users might find Skrill’s identity verification procedures a bit invasive, they are a necessary evil. They keep their users safe by making sure people are who they say they are.
The mobile application has multiple layers of security, like an optional
- 6 digit pin
- fingerprint lock
- 2FA through a third-party authenticator
- SMS verification.
Combining a couple these measures together should make your account virtually impossible to compromise. Of course, you should always take all necessary precautions to safeguard your data from prying eyes.
Finally, Skrill transactions are encrypted (web or mobile), so even in the event they get intercepted, they are unusable to the party with malicious intent.
How Skrill compares with similar services
Skrill vs PayPal
When compared to the digital wallet giant, Skrill doesn’t lack in security measures.
Both encrypt communication between the users and their servers, offer 2FA and email confirmation.
Also, both require some sort of identification once the transfer limit is reached.
Is Skrill Safer than PayPal?
Skrill’s regular fraud prevention audits, their superior 128bit encryption, and obligatory 2FA put it just above PayPal in terms of security.
Skrill vs Neteller
Neteller falls under the same company as Skrill, Paysafe Group. This means they use similar military-grade encryption methods for their transactions. This is so that they can comply under the FCA rules in the UK.
Both companies require ID verification before a significant transfer, and their mobile apps provide the same levels of security using 3rd party 2FA.
Skrill vs Payoneer
Payoneer is a digital payment provider which is very popular throughout the freelancer community. They provide a free-of-charge debit card that is directly linked to your account.
Unfortunately, other than a few layered captcha opt-ins, their web interface does not offer 2FA for logins or transactions. This leaves a lot to be desired, opening a window to phishing scams and social hacking.
Skrill is the clear winner here, with its multiple levels of security through SMS verification and biometrics.
Skrill vs WebMoney
Webmoney is a Russian-based money transfer system that was created in 1998. They use a multitude of different measures to secure their users’ accounts:
- Login and password
- Files with secret keys (similar to cryptographic private keys)
- Creation of personal digital certificates during registration
In addition, they use 2FA SMS confirmation for each transaction.
When compared to Skrill, WebMoney offers a good array of security options which put them on par in that regard.
Skrill vs Revolut
Revolut has become one of the fastest rising e-money companies out there. With their zero-fee approach to transfers and ATM withdrawals, there’s certainly a lot to like.
In terms of security, Revolut allows fingerprint identification to protect your mobile app. Additionally, they allow you to disable certain features “a la carte” from your account to mitigate the risk of fraud.
Finally, they add the possibility to use one-time virtual cards that are created and disposed of after they are used for a transaction.
Unfortunately, 2FA for Revolut is still in the works, so Skrill is still ahead in that department.
Why would I want to use Skrill?
While their fees might be a bit higher than the competition, Skrill still has a couple of aces in its sleeve. Here’s why you might want to consider using Skrill over another e-wallet system:
#1 They Do Business In Industries Other Processors Won’t Touch
Unlike some of the competition (we’re looking at you PayPal), Skrill isn’t too restrictive when it comes to the industry where the transaction is made.
If you want to buy or sell services that your bank or other processor doesn’t approve of, Skrill will be your clear choice. Gambling, cryptocurrencies, and adult content are just a few of the services Skrill processes payments for where other’s won’t go near.
#2 They Support a Variety Of Payment Methods
With Skrill, you can top up your account with a multitude of different payment methods: other digital wallets, credit cards, bank transfers, cryptocurrencies…
If you can think of a way of transferring money to your Skrill account, the chance is, Skrill accepts it.
#3 They Support Transactions For Apps
Skrill supports app microtransactions, allowing smaller developers to get funded through their work. It has become very popular for gambling apps, but also for other types of games.
These microtransactions allow users to support the developers and receive ongoing content in their preferred game. So, if you’re an independant app developer, Skrill will help you out.
#4 Seamless Integration With Online Retailers
Big third party shopping sites like Shopify and Woocommerce have a partnership with Skrill, allowing sellers to accept payments through their platform.
This allows sellers to offer their products to customers without Skrill accounts and still receive payments in their Skrill merchant account.
This is extremely handy as it allows the merchant to accept many different payment methods, that they wouldn’t be able to otherwise.
#5 One-Tap Payment
Skrill offers a quick and easy way to make purchases using the 1 Tap option. This allows users to pay for goods and services using just by logging in, selecting their card and completing the purchase.
#6 They Support Recurring Payments & They Support Mass Payments
For users that use services from sellers that accept Skrill can use the recurring payments feature. This is great for subscriptions like domain renewals or website memberships.
Additionally, for smaller business owners that need to make mass payments on a regular basis, they can use Skrill to do this.
#7 Skrill and Bitcoin
Skrill integrates a cryptocurrency tab within their web and mobile apps. Users can directly buy and sell a selection of the top 10 cryptocurrencies, like Bitcoin, Bitcoin Cash and Ethereum.
The app allows you to track profits and consult your portfolio on the go, making cryptocurrency trading beginner-friendly and accessible to anyone with a Skrill account.
How Does the Skrill Debit Card Work?
Skrill provides residents of the European Economic Area a Mastercard prepaid debit card, for an annual fee of 10EUR.
Users that are in the supported regions, can order this physical card by simply logging into their account, selecting the Skrill Card section and choosing Apply Now. The card should be delivered to their address within 5 to 7 days.
The Skrill Card is a reloadable, prepaid card that can be used for online or in-store shopping, to any merchant that accepts the Mastercard payment method. So, literally anywhere in the world. The card is directly linked to the Skrill Wallet, making it possible to directly spend your Skrill funds while shopping.
While paying for goods and services with the Skrill Card is free, ATM withdrawals are charged with a 1.75% fee per withdrawal.
The physical card is not to be confused with the Skrill Virtual MasterCard that users can create within their wallets. This virtual card can be exclusively used for online purchases.
Wrapping up on how safe is Skrill
To wrap up this article, we can safely say that Skrill is a legitimate business and is anything but a scam. Their security measures are one of the best on the market and you can rest assured that your funds will remain safe in your wallet.
While Skrill might have some steeper fees than its competitors, it remains a viable option in a lot of countries where PayPal and other processors are unavailable.
It might not be everyone’s first choice, but the fact that Skrill supports stigmatized industries and integrates cryptocurrencies play well in its favor.
All in all, Skrill is a decent payment processor, with a great user-friendly digital wallet that offers a good set of features for its users.
1. What is a Skrill Wallet?
The Skrill Digital Wallet is your way of consulting and using your Skrill funds. This mobile app is your access point to your account, allowing you to deposit, withdraw and transfer money.
Additionally, you can buy and sell cryptocurrencies through your wallet and handle your asset portfolio.
Finally, it’s also your best way of consulting all of your transactions, through a user-friendly and understandable interface.
2. How much does Skrill charge for withdrawals?
There are different fees that apply to different types of withdrawals.
To begin, Skrill charges a flat 5.50EUR fee for every withdrawal through a bank transfer.
Withdrawals to credit cards, on the other hand, are charged an additional 7.50% of the transaction.
When you want to withdraw cash from an ATM using the Skrill Prepaid MasterCard, there is a 1.75% fee per withdrawal.
3. Where Skrill is accepted?
Skrill is accepted in a wide variety of countries (200+) and over 150.000 merchants worldwide.
Furthermore, through the Skrill Prepaid physical card, you can spend your Skrill funds wherever Mastercard is accepted as a form of payment.
Finally, for those that aren’t eligible for a physical prepaid debit card (non-EEA), they can create a virtual prepaid Mastercard for online purchases only.
4. Can Skrill transfer money to PayPal?
Unfortunately, there’s no official option for transferring Skrill directly to Paypal. But you can still use a 3rd party exchange to transfer funds from your Skrill account to Paypal.
To do this, visit BestExchange where you can find digital money processing exchanges that will help you complete your Skrill to Paypal transfer.
5. Which sites accept Skrill?
There are a lot of websites that accept Skrill as a payment method. Here’s a list of the bigger ones covering different categories:
And Many More!
6. How many Skrill accounts can I have?
Only VIP users can hold multiple accounts on Skrill. Otherwise, only one personal account is permitted per customer.
VIP customers can apply for secondary accounts for different currencies.
7. Is Skrill legal in the USA?
Yes, Skrill is registered in all 50 states, and is entirely legal in America. Gambling activities in the US are however limited, but all the other functionalities of the platform are permitted.
8. Is it possible to transfer Skrill funds to bank account?
Yes, you can transfer your Skrill funds to your bank account. However, you will need to comply with a verification procedure beforehand.
Transferring Skrill to a bank account is one of the cheapest ways to reclaim your funds.