I've read everything I can find about the distinction between goods/services and friends/family but can't find the information I'm looking for. In the process of setting up an online facebook auction for a not for profit. People donate items to sell on the page. Payments for the item go to an auction paypal account, as goods and services, since they are sales. It's a private auction, not open to the public, membership is vetted - everyone in it know each other to varying degrees. The donator of each item then has to post this donated item to the buyer... and so the buyer needs to reimburse them these costs incurred on their behalf to do so. Since the item donator is not selling a good themselves (the people running the group are selling it, processing payment and paying fees on the sale price for the item)... Nor are they providing a mailing service (the only connected service is that by royal mail, whose service is being paid for in person from the post office) ... so these transactions are merely one member reimbursing another member for what they've spent on their behalf... Are we correct in believing these postage reimbursals can/should be as 'friends & family', so they should not be incurring fees on what is a private reimbursement of money owed between people? And if this is not the case, what is the distinction if any, between a friend paying me back for money they owe me (for me paying for their lunch, for example) and the situation described? All I can find is info about ebay, but nothing about private transactions between people who know each other, and we want to make sure we've understood paypal terms correctly.
