Who Should Pay The PayPal Fees?

[squirrel_hunter]

So I agreed a deal on some bike parts via another forum. Little bit of a negotiation via private message. All is good. Then the payment comes, PayPal the traditional method for online transactions. I ask for the email address and get sent it along with the request to send it as a payment between friends and family so the seller doesn’t pay the fees but the buyer (me) does.

I say that I can’t do that as its payment for an item and if anything were to go south I’d be out of pocket. The seller responds to me that if I want to have the PayPal protection then it would be an additional £10 on top of what was agreed to cover the fees.

At this point I’m in 2 minds what to do. Either pay it, or walk away from the deal, or something else…

So over to you, what would you do and if there are fees to pay who do you think should pay them?

[Matt-EUC]

How much are the fees?


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[davepreston]

sorry mate but with me the buyer pays the fee's
because it their method of payment and im an individual not a business
if they wish they can put £££££ in my hand in cold hard with the queens head on it, but if they wish to have something its at such a price, for the item postage and fee's come after that


DP

[squirrel_hunter]

Not sure of the exact fees. Its for something just shy of £300. So the additional £10 should I think cover it.

[bobbleheadbarne]

Buyer pays if not kinda rude IMO

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[Bibio]

i usually ask for the buyer to pay the fees if it's a private sale. i have had emails from paypal giving me a nudge that there is a lot of transactions going threw as 'gifts' so i usually pay the fees but this is calculated into the price of the goods i sell.

ask the seller to send you a paypal invoice that way if things go wrong then you can take a case up with paypal which is about as much use as a chocolate fire poker.

if the seller does not want to loose out having to pay the fees then ask him to include the fees in the invoice price. there are online paypal fee calculators.

you pays your money you take your chance.

[Matt-EUC]

Just pay the fee. Not worth the hassle IMO


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[SvNewbie]

I'd tend to account for the fees in the price if I was selling something.

[davepreston]

that's the thing, its if you don't know how they'll pay you wont take it into account, on ebay yes, thru this or another forum no, you half expect them to rock up a few hrs later with a few quid in there hand and ride off with it into the sunset

[Geordie Mick]

yep, I'm with others here - I sell for £X, then that's the price I want in my hand/account. I have once agreed to go halfies by adjusting the price a bit (was a big-ish purchase), but it was too complicated - never again.

I sold one item on here and the buyer refused to pay without proof of postage first. What a carry on that was. Worked out fine, but not doing that again either!

Mick..

[andrewsmith]

Had this with a pair of knee sliders last year

That was a right laugh <<clicky>> (http://forums.sv650.org/showthread.php?t=197069)

[maviczap]

So I agreed a deal on some bike parts via another forum. Little bit of a negotiation via private message. All is good. Then the payment comes, PayPal the traditional method for online transactions. I ask for the email address and get sent it along with the request to send it as a payment between friends and family so the seller doesn’t pay the fees but the buyer (me) does.

I say that I can’t do that as its payment for an item and if anything were to go south I’d be out of pocket. The seller responds to me that if I want to have the PayPal protection then it would be an additional £10 on top of what was agreed to cover the fees.

At this point I’m in 2 minds what to do. Either pay it, or walk away from the deal, or something else…

So over to you, what would you do and if there are fees to pay who do you think should pay them?


I wouldn't be using the friends & family option to pay for something as much as that, as you don't get the same protection as a standard PP transaction.

Stump up the extra for peace of mind, should the deal go sour

[squirrel_hunter]

Interesting responses so far.

I sell for £X, then that's the price I want in my hand/account.

But isn’t the same true for the buyer?

im an individual not a business

If you are selling something even as a private individual you become a business and should abide by convention, such like describing the items correctly. And convention also dictates that the vendor covers the fees or is clear of their terms. For example every shop is charged a percentage of the transaction by the processing bank. That cost is not added onto your bill but factored in as an overhead which is why some small shops have a minimum transaction value when paying by card.

if you don't know how they'll pay you wont take it into account

I agree there. But shouldn’t that come as part of the terms of sale. For example I sell a bike on eBay or on here, I state clearly its cash on collection. But for smaller items that are postable then I wouldn’t expect that and include a cost of delivery. Particularly as it’s the beauty of the internet, things from anywhere in the world to your door. When I sell things I factor in costs such as delivery charges, PayPal fee’s, wrapping the item up that way I know what to expect.

I wouldn't be using the friends & family option to pay for something as much as that, as you don't get the same protection as a standard PP transaction.

And thats the point. I can only imagine that PayPal thought of this when setting up their service of who pays, and followed the model that has been used in banking for many years where the seller pays for the processing fee’s.

But judging by the responses so far I should be telling anyone who buys from me that they have to pay all the fees and that PayPal has got this wrong. To me this just doesn’t feel right. Maybe I worked to long in customer service.

So if PayPal has it wrong what is the safest and fairest way for both sides to pay for something remotely?

[TamSV]

I agree with you SH. If you're selling then you should set your price to include your costs. If it's something that's going to be posted then you take account of all your postage costs and you need to factor in paypal because 99% of the time that's how you'll get paid. Anything else should be stated on the For Sale thread. I would never expect a stranger to send me money as a "gift".

It's not hard. If you want a tenner for a brake lever, ask for £12.

However, if I'm the seller then I view it as "business". Some don't. Fair enough, takes all sorts. :)

The exception would be if he was advertising a price for cash on collection and you wanted paypal and post. Then you'd expect him to add a bit on for the extras.

I suppose the question is, do you still want the part and is it worth £310?

[pookie]

I use this as a fee calculator... basically 3.4% + 20p
http://www.clothnappytree.com/ppcalculator/
Sellers should say explicitly that paypal + fees or via gift. For my piece of mind I wouldnt mind paying the fee since there are many toe rags out there.

[dirtydog]

I'd be inclined to pay him the extra £10 and send it through as payment for goods otherwise you're screwed if it goes "missing" in the post etc

[maviczap]

I use this as a fee calculator... basically 3.4% + 20p
http://www.clothnappytree.com/ppcalculator/
Sellers should say explicitly that paypal + fees or via gift. For my piece of mind I wouldnt mind paying the fee since there are many toe rags out there.

I'd be inclined to pay him the extra £10 and send it through as payment for goods otherwise you're screwed if it goes "missing" in the post etc

Yep, as Pookie says too many toerags out there.

I got stung buying some 'Fakeleys' recently

[Matt-EUC]

Had this with a pair of knee sliders last year

That was a right laugh <<clicky>> (http://forums.sv650.org/showthread.php?t=197069)


Did you hear any more after that??


Sent via the medium of interpretative dance.

[andrewsmith]

Did you hear any more after that??


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Got them back!!
He lost money on them!!!

[Matt-EUC]

Haha. Nice.


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[Matt-EUC]

Can I have them? 99p + P&P?


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[andrewsmith]

Can I have them? 99p + P&P?


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Back on ebay 72 hours after I got them back

[Matt-EUC]

Sold then.


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[andrewsmith]

Sold then.


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Yep!

written with a biro

[ClunkintheUK]

I'm with Tam and SVNewbie. When selling I expect it to be paid by paypal. I'd be wary of anyone asking me to send money as a gift if I had not met them in person (and even then sometimes I'd be wary).

I would however factor that into my costs. If someone wants to turn up three hours later with the cash for including the fee added part of the price, wehey, even better and they benefit from seeing the item first. If they want to do cash on collection excludign the fees, then PM me and offer a cash on collection price.

[Jason H]

Haven't bothered reading all the rest of the responses as they appear to be saying much the same thing.

My view on this (or rather what I have always done) is act on faith for anything of small value (under about £50)and go down the gift route (didn't think there was a fee either way with that)...yes this includes buying from you rowdy lot. Once you're talking larger value items I always use the payment for goods option and have not had anyone complain (it's a rather small fee really).

J

[yorkie_chris]

I avoid paypal as much as possible if selling. Aim for cash in hand or BACS payment.

[squirrel_hunter]

Well in the end I paid the extra fee. There should be some Swedish goodness on its way to me shortly. As for who should be paying I agree with PayPal it should be the buyer. I factor this into anything I sell, its just odd to me that others don't. Obviously cash in hand is the best option but that's not always practical. As for sending bank details to someone I've never meet, I would never ever suggest anyone do that and I never would. I imagine that this scenario will come up again in the future will have to start factoring this in to any purchase I make as who knows how a seller will want to do business...