.01 transaction fee?

Kinda new to this so stay with me. I have the newest xpm wallet. I mined a few coins and wanted to send a fraction to a friend. I tried to send .001 XPM and it says must be at least one cent (.01). Then I tried to send 0.1 and it says it’s OVER the size limit but I can still send with a .01 transaction fee. I’m confused about the wording. Why are we calling .01 a “cent.” That is confusing. Just call it .01 xpm. Also why does it say I am OVER the size limit when trying to send 0.1 xpm?

And can someone explain why there are transaction fees? Are there no fees when sending larger amounts? Thanks

Suppose you have 0.1 XPM in your wallet, you can only send 0.09 XPM. It will automatically add 0.01 XPM to your transfer.

The fee of 0.01 is 1%.
It’s higher than credit card fees in most countries. Instead of attracting, it draws people away from using primecoin. Look at the xpm price drop for the last few days.
I thought the cryptocurrency was created to lower transfer fees and time. And someone explain to me where that fee is gone anyway after processing the transaction?