...fees on shipping charges?

[confab2]

Anyone besides me wondering why Paypal charges a seller a fee on a shipping charge? I just sold an item for $700, and a USPS-quoted shipping charge of $80 was added on. Paypal charges me a fee based on $780.  I didn't sell the item for $780..I sold it for $700. USPS makes the $80, not me. Why charge me a fee on money that isn't mine?

[deliguy770]

Charging a fee on the shipping cost is a hidden fee (which PayPal says they do not do - yeah RIGHT) as well as a rip-off.  I for one am going to start charging a "Handling Cost" in eBay to offset the shipping fee transaction fee.  Although PayPal will probably charge me a fee on that as well.

[skier]

Not defending PayPal in any way but shipping is part of the total amount.   You are using PayPal as a service to process a transaction on the total amount.  Why then would shipping be exempt? 

Yes, you can charge a handling fee but remember, that is also part of the total amount.   You won't get 100% of the handling fee but you will get most of it.

Regards,

skier

[bodyrocks]

they will and do charge.

[sandypurins]

Payment services and merchant accounts base their fee on the total sent payment amount . Is there any payment service which excludes the shipping portion from the fee calculation?

[skier]

Seems some folks just don't understand Merchant Accounts and credit card processing.  Bottom line, when someone pays with a credit card, the total amount is processed and you pay a fee on the total amount.   That's just basic business regardless if the transaction is online or in person.

Regards,

skier

[Bunny9]

Why does PayPal charge a fee on the shipping cost.  My shipping is actual.  NO handling.  Why would PAYPAL charge me a FEE on shipping.  NOT fair and should be illegal...........................................

[skier]

There is nothing illegal.  You need to understand how transaction processing works.  The fee is based on the TOATL amount, period.  This includes any sales tax and/or shipping, it's the TOTAL amount.   Think about it, when you use your credit card in a store, the merchant is charged a fee on the total amount.  Why don't you ask a shop owner who accepts credit cards.   If you're really not happy with this, find another service.  Note, you will still pay a transaction processing fee on the the total amount regardless of the service.

Regards,

skier