PayPal Question

[Stiletto]

This may be a n00b question but I hope someone can answer it for me.  I was under the impression that when you receive payments on Paypal via bank transfer that no fees were charged.  I thought fees were only charged if the buyer paid with a credit or debit card?  Am I wrong?  Because the last 2 instant transfers I've had took out fees.

Is the only way to avoid fees is if the buyer sends it as a "gift"?  Any help is appreciated!  I'm getting hit so hard with fees its discouraging.  Thank you in advance!

[ponylady]

Paypal charges you 2.9% plus $0.30 per transaction. And a 3.9% transaction fee plus a fixed fee based on currency received from International buyers. The only way to avoid fee's is to accept a gift payment.




This is a link to Paypal's Fee calculator so you can get an idea of what you will be charged if you are not accepting payment as a gift:

http://paypalfeecalculator.paymentprocessing.cc/

[Rhubarbpie]

Yes unfortunately, the only way to avoid the fee's is if the buyer sends the cash as a gift.  The problem with this is that sending a payment as a gift means that if there is an issue with the purchase (for example non-delivery), you cannot issue a claim through paypal.

[Stiletto]

Paypal charges you 2.9% plus $0.30 per transaction. And a 3.9% transaction fee plus a fixed fee based on currency received from International buyers. The only way to avoid fee's is to accept a gift payment.




This is a link to Paypal's Fee calculator so you can get an idea of what you will be charged if you are not accepting payment as a gift:

http://paypalfeecalculator.paymentprocessing.cc/

Is it appropriate to ask people to send the money as a 'gift' or is that generally frowned upon?  Do sellers typically pass on the fees to the buyer or just eat them?

 2.9% is even more then Square (2.75%) and PayNow (2.6%).  Kind of a bummer =/

[ponylady]

It is entirely up to you. But be prewarned because you are a newer member some folks will not feel comfortable with that.  It is nothing against you personally but when paying as a gift, like Rhubarb mentioned the buyer is not covered. And we have had our share of trouble recently that I think peeps are a little more leery about sending it as a gift.  I know I personally will not, unless the member is a reputable and long time member and seller.

I personally feel your buyers will feel more comfoartable with sending it as a regular payment.  If you use that link above you can estimate that cost and work it either into the price of your item or your shipping charges. 

[Stiletto]

Ok, thank you for the answers!  I took a look at the calculator and it was helpful.  I was just wondering what the 'standard protocol' was for most transactions.

[lovesbabysquirmy]

Paying the fees associated with having a Paypal account is all part of, well, having a Paypal account.  IMHO it's considered rude to ask others to cover the fees, but others have a different opinion.  Just be mindful that if you are selling through Ebay, they expect you to build the fees into your prices because you aren't allowed to have buyers cover the fees there. 

[Stiletto]

Paying the fees associated with having a Paypal account is all part of, well, having a Paypal account.  IMHO it's considered rude to ask others to cover the fees, but others have a different opinion.  Just be mindful that if you are selling through Ebay, they expect you to build the fees into your prices because you aren't allowed to have buyers cover the fees there.

Yeah, I was curious how asking buyers to pay the fees was viewed.  I can understand both sides as a buyer and a seller,  and certainly not aiming to offending anyone.

[Dreamingwyld]

Doooon't start telling tons of people to give money as gifts! not only for the fact that you can't dispute it, but paypal watches how often you do that, if you keep doing it a LOT they can shut down your account.

My advice would just be to roll with the fees, or ask a lil extra from people to cover them if you like. As stated above in someone's post, it is a bit rude to ask. Myself, i deal with the fees. x3;

[fingerpaints]

Even with gift payment, there are still fees involved. There is an option for the sender or reciever to pay for the fees.

I would suggest when buying online to not use the gift option, if the seller has an issue with fees, offer to pay a little extra to cover the fee.

[HawaiianRain]

It's also against paypal's TOS (usa) to make the buyers pay your pp fees. If you are caught doing this, as in someone reporting you, they will shut down your account.

[gabumon]

Yeah.  Pay your own fees, don't ask anyone else to, and don't use Gift unless it really is a "gift"; no merchandize changes hands.

Paying the bills for a service is part of being a responsible adult.  Besides I don't mind paying Paypal!  They do a great job!