Seller adding Paypal Surcharge - what should I do?

meclive · 10 November 2004 at 12:51AM

I personally think it fair if sellers wish to charge extra for using Paypal because they have to bear the cost - about 4%... PROVIDE it is clearly stated in the listing AND the winning bidder has alternatives i.e. cheque, cash etc which don't cost extra. If the winning bidder is willing to pay for the convenience of Paypal it is their choice.

This effectively applies in many types of transactions. Try buying cinema or concert tickets... the add ons e.g. service charge, handling fees etc are ridiculous and for most they cannot be avoided. At least on Ebay you usually/should have a choice.

As for astronomically high postage the solution is simple... exercise your choice and don't bid on it! I decide the total I am willing to pay, inc P&P and thats it. Cheap postage is no help if the winning bidder has bid 'over the odds' in the first place.

I agree if people want to charge it let them as long as it is stated. Many companies charge extra for credit card payments anyway, if your happy with the price whats the problem?

knight-on-the-town · 10 November 2004 at 5:10AM

Paypal and Ebay are the same company I understand.
The more payments that are made by Paypal the more money they earn. I don't have a problem with that because that is at the heart of all business, and provide both buyers and sellers have a choice of payment options.

Sellers should have the choice to bear the paypal charge or ask the buyer to do so. The buyer has the choice of many payment options ... they can weigh up the cost and convenience of these and choose which they wish.

What would really be in the best interests of sellers would be a change in Terms and Conditions re postage costs. Some charge P&P up to five times the actual postage. People can be and are caught out by this.

soolin · 10 November 2004 at 10:47AM

I don't really know how ebay could be more precise about postage costs, after all you are not just paying for postage but for packing and all other reasonable costs associated with postage. It is already possible to report someone for fee avoidance if the post and packing is stupidly high, but i'm not sure ebay really act on it.

However, a small item might be cheap to post but require expensive and careful packing. I do the same as other posters on here have suggested, I never bid unless the combined bid price and post and packing charge is acceptable to me. That means if someone has a large p and p charge then they don't get my bid.

In one of the categories I buy the post and packing charge varies a lot, as does the amount of people charging a surcharge for paypal. It is interesting to note that those with high post and packing charges or paypal surcharges tend to get lower overal/combined bids.

Soo

Amba_Gambla · 11 November 2004 at 10:40PM

I agree - I charge a paypal surcharge, but I state it at the outset, it costs me that much to get my money, so if you don;t want to pay it, don't bid.

The way I see it is that I could pay by cheque, but that would cost me an envelope, a stamp and at least 4 extra days before I got my item. The way I see it, you pay a little extra for convenience, and so long as it set out clearly at the start, then there's no problem.

AG

payless · 11 November 2004 at 11:06PM

Amba_Gambla

Whilst I totally agree with yout thoughts, if its no against the rules of the site to ask for a fee

http://pages.ebay.co.uk/help/policies/listing-surcharges.html

surely any sale is potentially void, plus no protection for you if there's a claimback

soolin · 12 November 2004 at 11:11AM

payless I agree..I'm not sure about the implications of bidding on an auction that clearly violates ebay terms and conditions.

I also wonder if a seller is prepared to break T and Cs for that, what else is he likely to try?

Soo

chompie · 14 November 2004 at 5:51PM

i today had someone asking me how i can charge a paypal fee, as it's against the rules. (this is what i said)
-if the item sells for 99p (start price) i will be charged about 50p for the privilege of using paypal.

the only reason they changed it is because paypal and eBay are now one and the same.
i only offer it as a convenience to the buyers in getting the item quicker.
because if i want to withdraw the money it takes longer than it takes for a cheque to clear.

soolin · 14 November 2004 at 6:07PM

i today had someone asking me how i can charge a paypal fee, as it's against the rules. (this is what i said)
-if the item sells for 99p (start price) i will be charged about 50p for the privilege of using paypal.

the only reason they changed it is because paypal and eBay are now one and the same.
i only offer it as a convenience to the buyers in getting the item quicker.
because if i want to withdraw the money it takes longer than it takes for a cheque to clear.

You run the risk of having your auctions pulled and after a couple of warnings your account as well.

It is strictly against ebay terms and conditions to surcharge for paypal and many buyers will routinely turn you in if they run across it in your auction.

If you don't like the paypal charges then remove it as a payment option.

Also, your figures are a little off, a 99p items with a similair post and packing charge will cost you less than 30p in fees.

Soo

Plumpud_3 · 16 November 2004 at 12:45AM

With regard for charging for using Paypal, Ebay amended their rules to make this matter more prominent. It is illegal in the UK to charge any extra for a financial transaction unless you are a bona fide business. Ebay just brought their rules into line.

Personally, I never minded paying up to about 50p extra, otherwise they seller got the inconvenience of a cheque.

Most regular Ebay sellers just add an aproximate cost to either the p & p charge or have a higher reserve or start price. Sellers have to be more realistic about the money they are willing to accept and take into account all of the expenses involved when setting the price.

s@sha · 16 November 2004 at 6:03PM

It seems to me that the fee structure of both Ebay & Paypal puts smaller volume sellers and those who sell lower value items at a disadvantage. This has become more pronounced since Ebay & Paypal merged & Ebay decided to disallow sellers the option to charge a surcharge to cover the Paypal fees.

As well as paying a higher 'final value fee' percentage on low value items to Ebay, Paypal's fee structure means that if you pay less than £1,500 (per month!)into your Paypal account , every time someone pays you with Paypal, you get charged the highest rate percentage of that transaction as a fee. Then, if you have less than £50 in the account and want to withdraw it to a bank account, you have to pay a charge for that as well.

Personally I think it just isn't worth offering Paypal as a payment option if you're only selling a few of your own bits & pieces now and then....as opposed to being a regular trader. But I feel increasingly under pressure to offer it as an option when I next sell something, as so many people seem to expect it.

Seller adding Paypal Surcharge - what should I do?

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