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Buyer Pays Paypal Fees


OverSoyed

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Something that I have always seen as funny on the board is sellers putting paypal fees on the buyers end. Granted, when you are selling something in the classies, you want to make back as much money as possible, and having to pay fees yourself cuts into that.

I don't know, maybe it's the wording that urks me a bit. When you purchase anything anywhere, you are obviously paying for part of the businesses overhead, but wouldn't you take a step back in you walking into a store and on every shelf you saw:

Widget - $5.00

CC Fee - $0.25

Signage - $0.10

Customer Service - $0.05

Maintainance Fee - $0.05

Why not just include any overhead you might have (if you choose to charge it), into the price?

Just a bit redundant to me! :confused:

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That's a different situation. I was referring to strictly selling your own items in the classies.

I don't even know the current rates for PayPal as I don't use them often, but I believe it's 3% + 40 cents or something like that.

But sometimes you may not be able to work it into the price...say for example you are holding a co-op, you're not selling or making any money, so why should you have to eat the charge?

How much is the charge anyway?

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Like I said, I guess it's the way it is presented.

When I go to a store to buy something, I'd rather spend $6.00 for something, than see extra charges (although they aren't really extra).

I guess when you don't see each thing added to the cost, you feel less like you are being nickeled and dimed to death.

Hope that makes sense. :laugh2:

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There are other types of funding that don't include those fees. For example if the person buying wishes to send a check or a money order? I don't list them, I include them in the cost of the item, or know in my head it's associated with the cost of the sale - but there are those that might not want to promote PayPal and this is their way of pointing out if you use the service you will pay for the privledge?

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There are other types of funding that don't include those fees. For example if the person buying wishes to send a check or a money order? I don't list them, I include them in the cost of the item, or know in my head it's associated with the cost of the sale - but there are those that might not want to promote PayPal and this is their way of pointing out if you use the service you will pay for the privledge?

That is what I've always noticed. Sellers state that they will accept PayPal instant transfer, check, or money order for free but they charge extra if you use your credit card. That just fair to other buyers, IMO. I don't want to pay over all higher prices (even if it is just .50) just because other people want to use a Credit Card.

What I really don't understand is why people are complaining about it. If you are buying from the classies you are getting a better deal in the end. If you don't wanna have to add on .50-.75 in credit card fees to save yourself some money then just purchase from the supplier and pay the higher prices....

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has PayPal changed their TOS? It used to be against their policy to pass on any fees to your buyer. If you want to sell something and accept PayPal as payment, you have to deal with the fees. Whether you add it in your base price, list it as a "handling fee", or just eat it is up to you, but it was never allowed to be listed as a "processing fee, CC fee", etc.

If it IS still that same policy, the classifieds here should be monitored more, and those that violate the policy should be banned from listing/selling. A rule is a rule, and Craft Server allowing people to list for FREE and break another company's rule would just be wrong.

Sellers should be grateful they're saving listing fees and reaching a target market instead of trying to pass on processing fees. If they had to list on Ebay, they'd pay a LOT more in the end then the PayPal fee for selling on here.

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Actually, it is more like $4.00 on a transaction(just over $100.00), If it was only 50 cents or whatever I would suck it up.... but that can add up....

I just checked one of mine....

I think the fees are less on a normal cc processing .... or debit..

I do bookkeeping for a restaurant and they only pay approx $30.00 per month for the large volume of sales they have.

I am looking into another option over paypal....

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I have a merchant account (credit cards) and in the TOS for the credit card(s) they specifically spell out that you cannot pass on the processing fee to the consumer purchasing from you.

That is your overhead and should be calculated into your cost accordingly.

Think about it, the fees you pay thru your paypal account are deductible on your taxes, they are no different that the credit card fees you pay on your other sales...deduct them at the end of the year. If you collect them at time of sale, you really shouldn't claim them on your taxes...that's a double dip and that's a no-no! LOL

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I spoke with pay-pal about 2 weeks ago and was told that no matter what account you have anymore, you will be charged a fee to receive money. They told me that they have a new computer system and that is the new policy.

They also told me that it did not matter what type of "payment" you received whether it be cash or credit. I can see where you would not charge a credit card fee if they are your merchant account, as that is the normal cost of business, but otherwise.... who knows anymore.

But if charging the fees onto those who buy is against the rules then a different wording will have to be used.

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I think it is not only wrong but also a turn off to buyers to put that buyer pays paypal fees. I know I turn away at that. If you are a business and operating as a business then there are business costs and you should either include these business costs in the product cost or absorb it yourself. But, you should not put it on the buyer. Maybe sellers need a system like Visa. With Visa you can't set minimum purchases BUT you can offer cash discounts to buyers. So if they want the buyer to pay the paypal fees then offer a discount if they pay by another means. Of course that would mean you'd probably have to wait for your payment. Paypal is a convience payment and you are a business. In my eyes both should be treated as such. Just my 2 cents though.

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