Re: ...fees on shipping charges?

ARC
New Community Member

I agree and think it's a rip off to charge a paypal fee on shipping charges that the seller isn't paying for.  So if I sell an item on ebay for .99 cents and the actual shipping charges is $10, I have to give Paypal .59 cents or (59%) of my payment.  Does this make any sense??  Why would anyone want to sell items on EBAY for under a $1 unless they can ship it cheaply. 

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6 REPLIES 6

stan331
Member
Member

I completely agree on the fees on shipping. We should get fees on what is sold only not with the shipping added. I'm kind of new to selling and that was confusing me. Then I refunded $5.00 to a buyers account because she purchased 3 items and the shipping was cheaper. She only ended up getting $4.85. I think the .15 was returned to me for a fee refund, I wanted her to get the full $5.00 though.:)

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profdata
Frequent Contributor
Frequent Contributor

You both need to get a clue.

 

Merchant account fees are on the total payment amount. 

 

If you buy a $10.00 item with $5.00 shipping from sears, and pay using you cc.  Sears will the charges a fee on the total amount of $15.00.

 

using you logic a business could sell their items for a penny and charge $100.00 for shipping and only have to pay their merchant a penny in fees. 

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momgotchat
Contributor
Contributor

Paypal does not charge you fees according to what you sell or amount paid on shipping.  They charge you fees for the service they are providing you to hold onto your total money's in the account. Selling has nothing to do with it. 

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liuchess
Contributor
Contributor

That is correct. It's unfortunate, but no way around it.

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PayPal_Adrian
PayPal Employee
PayPal Employee

Stan331,

 

It sounds like the refund was sent to the buyer via the Send Money tab?  That would explain the fee.

 

In the future, I would recommend using the "Issue Refund" link located in the transaction details.  Not only will your buyer not pay a fee (making them happier), but PayPal will pro-rate your fee as well - potentially putting more money back into your pocket.  Smiley Happy

 

Hope this helps!

 

Adrian

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thumper300zx
New Community Member

I have the solution -- stop selling things for .99 and high shipping. Most sellers doing that on eBAY ARE MAKING MOST THEIR MONEY ON THE SHIPPING, so there's no reason for them to complain about getting charged a merchant fee.

 

In fact, when they file for a business license, it should have to be under dual purpose -- a) goods b) shipping company, cause that's where they make money. Then, your stuck with crappy stuff because to return, they don't refund the shipping. BRILLIANT BUSINESS MODEL!

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