Payment cannot be processed due to the PayPal currency conversion handling error

Problem

If merchant and buyer have different (main) currencies in their PayPal accounts and merchant restricts currency conversion – PayPal is showing following error message:

“We aren’t able to process your payment using your PayPal account at this time. Please go back to the merchant and try using a different payment method.”

Solution

In order to resolve this issue, following steps recommended on vendor (PayPal merchant Business account) side:

Go to “Block payments (Business) -> Payment receiving preferences” and select „Yes, accept and convert them to U.S. Dollars.”

See also the screenshots below for your reference (click to enlarge):

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