A quick paypal fee question - resolved now thanks all.

[PitterPatter]

**I am resolved now so ya know, feel free to ignore me away to the end of the board somewhere  **


Hi all,

I sold some things on Ebay and the person has paid, however I got a charge I wasn't expecting. I've worked out it's a fee for credit/debit card payment, but this is the first time I've had someone pay like that so the first time I have seen the charge, my other ebay sales/arena sales people have used the bank transfer method so there was no charge.

What I was wondering is, on Paypal it says that this fee can be paid by either the buyer or the seller, but I didn't get a choice in the matter as I assume the buyer put it on me. I assume there is not much I can do about that now but I would have thought it to be a mutual decision between parties if the fee is going to be put on the seller, which this was not. Is there anyway I can set my account so that I do not accept the fee for credit/debit card use?

I know the spiel about sellers needing to bear in mind the various fees in the process but this one kinda came out of the blue and I don't really feel sellers should take on that cost when the buyers can, and it is their choice of paying that way.

Probably not much I can do about this sale now, but maybe for future sales?

Thanks all

 

[HawaiianRain]

NO, currently there is no way to block since it's the buyer's choice on who pays this fee.

We sellers pay the fee because it's convenience for us and you are using paypal's service to obtain your money and to make a profit, As long as your a seller that accepts payments with credit cards. If not, then in your terms, I would state non CC/debit card paypal payments only.

I'm not sure what your PP Terms of service are, but I would look and see if you can actually charge the service fees. Some countries do and some like the USA do not.

[hathorcat]

Unfortunately for the privilege of having Paypal as a payment method you do have to accept fees - that is the nature of the system. Therefore while you could state it in the auction terms you wont accept it, it would be against the terms of your Paypal contract and the buyer would be well within their right to stand firm on you accepting their payment via whichever Paypal method they prefer.

Ebay policy is this:

If you offer PayPal as a payment option on eBay (either using logos or text in the item description) you must accept all forms of PayPal payment including payments from an existing PayPal account balance, bank account transfers, and credit card payments ... Also, you can't tell eBay buyers that you will only accept specific forms of PayPal payment.

[lovesbabysquirmy]

Don't like it?  Don't use Paypal as a form of payment you accept.  Yes that means you can't use Ebay, but paying fees for services is part of being a seller/small business. 

Check this very recent thread out, it has lots of advice on the subject:

http://mlparena.com/index.php/topic,331859.0.html

[FluffleNuff]

Whenever I buy something through PayPal, it is always requested that I pay for the seller's fees. I think you could do that too! Just ask the buyer really nicely to include that amount of money that covers the fees

[CupidStrikes]

Whenever I buy something through PayPal, it is always requested that I pay for the seller's fees. I think you could do that too! Just ask the buyer really nicely to include that amount of money that covers the fees

I'm reasonably sure it's against Paypal's ToS to request that the buyer pay the fee and you can have your Paypal account suspended for doing such a thing.

[FluffleNuff]

Really? Wow I had no idea! And I don't think the seller did either! :O Oops!

[CupidStrikes]

Really? Wow I had no idea! And I don't think the seller did either! :O Oops!

In my experience...A lot of sellers are aware of it but bank on buyers not knowing I personally always found it quite rude for sellers to ask this (especially if they don't bring it up until the last minute) even before I knew it was breaking Paypal's ToS.

[PitterPatter]

Whenever I buy something through PayPal, it is always requested that I pay for the seller's fees. I think you could do that too! Just ask the buyer really nicely to include that amount of money that covers the fees

I'm reasonably sure it's against Paypal's ToS to request that the buyer pay the fee and you can have your Paypal account suspended for doing such a thing.

But see, this is where my issue is. I don't mind paying fees, on ebay etc, when it is directly my responsibility. But When I checked up on Paypal what these fees were that I was charged it said that it was for credit/debit card payments. Now that's okay in principle, but it stated that *either* the buyer or the seller can pay. So it isn't as if asking the buyer to cover that kinda fee would be against terms and conditions because it clearly stated that it can be either party - this is what is says:

It's free* when you use your PayPal balance or your bank account linked to your PayPal account. There is a charge of
3.4% + £0.20 GBP*

for debit or credit card payments
(either the sender or recipient can pay this fee).

This is why I was a bit annoyed about it. Not about paying fees in general, or anything like that, but about the specifics of either party can pay, so why should *I* pay it. Many shops and supermarkets used to, and many still do, charge the buyer a small handling fee to cover the handling fee of credit cards, and I see many shops in the UK still - particularly those that are not chains - who have a small card charge when it is under a small amount.

I might be rambling a bit here, but I want to be clear on what I mean because this wasn't a general "urgh, fees!" question, it was a very specific case question on something. Especially, as I'm sure many of you will appreciate, as an occasional seller on ebay (grand total of 4 sales ) another £2 after the fees I was expecting was quite a shock.

I hope that all makes sense 

[banditpony]

Here is the breakdown for fees (for paypal UK). ^^ It's broken down pretty well, and maybe it'll make sense when/why the fees are there.

For the buyer, it's always free. For the seller, there is always a fee. and when it's a transfer, then it's up to the sender. But that third one is supposed to be for friends and family, not purchases.

https://www.paypal.com/uk/webapps/mpp/paypal-fees

[Shiromisa]

That's odd, I generally pay on Ebay with a card, and I've never gotten the option to pay the fees. :s

Edit: That said, would it be kosher to add a small amount to shipping to cover it? I've never sold on Ebay, so I don't know the etiquette.

[tulagirl]

I think what you are talking about is when a buyer uses gift option to pay you, but uses a credit card instead of the bank transfer.  If you use the bank account transfer neither the seller nor the buyer will pay a fee, but if you use gift option and you pay by credit card then someone has to pay that credit card fee.  Since you are the seller it sounds reasonable that you would pay this fee. Every business establishment pays their own credit card fees when someone uses a credit card/debit card in the USA.  I can't think of one place I have ever seen expect a buyer to pay that. 

I am not positive this is what happened in your case, but anytime I have seen that option buyer verses seller pay the fee thing...its always been on a gift option purchase. It may also extend to paying someone by credit card for goods also. This should always be an expected fee as it costs money to pay by credit card. These are part of seller fees, they have been around for a long long time. The buyers have already paid sellers for merchandise why do they also need to pay a fee for a sales transaction too? 

[PitterPatter]

The buyers have already paid sellers for merchandise why do they also need to pay a fee for a sales transaction too? 

I know what you are saying... but there are plenty of shops around my area that have a charge for card usage when it is under say £10, so you are buying your goods, and paying to use your card. So it's not like it's unheard of. And I've worked many places that out and out refused Amex transactions because of the charges the sellers would have to pay on it (not quite the same but similar vein)

I've just always been used to not seeing this charge becuase it's been bank transfer things, and so I found it odd to see that it said "sender or receiver" can pay so really.... it could be either without it being "Oh it's your responsibility because you sold it"

Like I said before mine is bank transfer, but if it was to go from card and it had a fee option or to pass that onto the seller I would most likely pay it because I've chosen to use a card instead of the free way.

I mean, obviously if there is nothing that I can do to make the buyer pay this in future then fine.... but.... I just don't understand why I paid when it said anyone. I worked out the percentage as per what I quoted earlier from Paypal, on what I had sold and it was bang on what I was charged, and I've never seen Ebay Paypal system offer a gift payment so I don't think it was that really.

Oh well.

[hathorcat]

The section you have quoted is, as others have mentioned, for when a payment is being sent as a personal transaction. When it is a purchase then the rule with paypal is:

1.4% to 3.4% + £0.20 GBP*

There are no conditions on Paypal UK in regards whether that money is coming from a bank, balance or card. You are paying for the service and the method of payment unfortunately does not matter to paypal.

You can check it on this page.

https://www.paypal.com/uk/cgi-bin/webscr?cmd=_display-fees-outside

[PitterPatter]

This is why some people don't sell online. It is all far too complicated. Having had my ebay account for 8 years, I have only sold things as of this year, and then only a total of 5 times.

Thanks for your help anyways. It's not going to stop me or anything selling on ebay now and then, but boy is it complicated.