Using Paypal to receive payments
To offer Paypal as a payment option, you will need to set up an account at paypal.com. The type of account that will probably work best for you is a Premier account (under the Personal account option).
There are no Felt fees associated with using Paypal, however Paypal does charge transaction fees, which are outlined here.
Once you have your Paypal account set up, you can enter it as a payment option on Felt by going to My Account » Payment Preferences (under Shop Admin). Under "Accepted payment methods", tick the Paypal box, then enter your Paypal email address into the text field that appears under "Payment details".
You can also tick "credit card via Paypal" as an option. This option is exactly the same as the regular Paypal option, but as not everyone is aware of what Paypal does, this ensures that your customers realise they can pay you by credit card using Paypal.