jzinckgra

My Feedback: (11)

I am not sure if I am right or wrong here, but I have seen quite a few ads in the RCU marketplace lately whereby the seller wll accept paypal, but the buyer has to cover the 3% paypal fees. Seems to me that part of the cost of doing business as a seller is to cover those fees yourself-not pass them on to the buyer. If the seller doesn't want to cover the cost of paypals fees, then they should not offer paypal as an accepted form of payment. Maybe not the best anology, but restaurants pay a % fee to the CC companies everytime you use your CC. They don't tack it onto the meal bill.
What's the deal with this? I've sold things on RCU and don't charge people the 3%.

Charlie P.

Wanna bet? You just don't see it itemized. Just as companies don't charge you extra to pay on account even though 2% may default into bad debt. It's all worked into the prices.

If someone wants to tack on the 3% I have no bitterness, as long as they're decent enough to tell me up front.

And then I'll deduct 39¢ for the stamp when paying by check.

piper_chuck

My Feedback: (12)

If you don't sell much, get a personal account with Paypal. They don't charge any fees for receiving money. The only limitation is you can't receive more than $500 per month and you can't accept credit or debit card transactions.

As far as tacking on the 3%, I can see both sides of the issue. Paypal's fees are out of line, so I can see how some people want to avoid paying them. However, I much prefer the security of a credit card funded paypal transaction. I've negotiated with sellers asking for the 3% and brought it down to a more reasonable level.

BarracudaHockey

My Feedback: (11)

I usually offer to split the fees or just add it into my asking price. Its the price they pay for the convenience of not having to drive to the post office and get a money order.

Tired Old Man

My Feedback: (1)

Many may not be aware of it, but thre is a 2 to 5% add on hidden in the purchase price of just about everything we purchase due to charges made by credit card companies. Those that pay by cash or check are also paying those hidden fees.

DavidAgar

My Feedback: (108)

I will let someone pay with Pay Pal if they add the 3 per cent to the price. I will also give them the option of paying the agreed upon price by using a money order. Thats the way I look at it, Good Luck, Dave

Hossfly

As Silversurfer so stated, everything one purchases for cash/cash equivalent is priced to include credit card (CC) fees. Even back in the '70s when I owned a retail business, the bankers lobbied for a Federal Law to prohibit adding charges to CC buyers (not so many back then) to cover the expenses, 4-6% depending on amounts sold. That made the cash buyer have to shoulder the financial load which should have been the CC buyer's responsibility.
Of course there was no law against giving a "preferred customer" a courtesy discount. Know whut ah mean? !!

Again Big Money maneuvered (as usual) the law to make everyone responsible for the CC buyer. Now the only way to get even is to buy everything on CC, pay the bill in total each month, enjoy all the perks of Chase, 'er, 'uh, the CC providers, and get something in return. [8D] Discover's 5% cash back on $1200 gas per year ($60) cash back or one free tank full, airline miles, hotel rooms, free on-line time, lots of goodies that all retailers are paying for, especially those paying those 18% interest rates. YUCK! [:-]

While selling on eBay, I had a pay-pal account which generated great amounts of spam-fraud email, so I canceled it out. Certainly CC purchases do motivate the buyers to bid higher, however I rather work with those that have the money. I'll stick to doing things the old fashioned way even at the slight cost. I won't bid on anything I can't pay for at the time. Just my way and everyone else is certainly entitled to theirs.

On these private selling items, I have no clue as to how the law applies there.

jzinckgra

My Feedback: (11)

Interesting. Never knew that. thanks.

KW_Counter

What Paypal is doing is charging you for the service to cover their out of pocket costs. They are paying the CC companies a percentage of the transaction just like the guy at the hobby/grocery store does.
It is against the law to add a fee for using a credit card. I've seen it done though.
I don't know if it is against the law to tack on PayPal fees.

I look at each Ebay vendors fees before I bid.
If he is charging me $30 to ship something that should cost $10 I probably won't bid.
If he is charging to use PayPal I usually won't bid.
In fact, there has to be considerable savings before I buy on Ebay versus going to a regular business.
Why take the risk of saving $10 buying from Ebay vs. buying from Tower?

KW_Counter

TLH101

My Feedback: (90)

For what it may be worth, when you sign-up with PayPal, you agree to NOT charge additional fees for to buyer for using PayPal. Just like a merchant cannot add to price of an item for using a CC.
BTW, I don't charge any extra, and wont purchase from anyone who does.

Geistware

My Feedback: (16)

I have lost deals because I refuse to pay the pay paypal fees.
I don't pay for the postage stamp or the money order fee, so why should I pay for pay pal.

One thing that I hate now is pay pal is now processing the money transfer and tell you about the charge AFTER the process has happened. This is what took place on my last sale. Then when I asked the buyer to pay the charges, he agreed but then pay pal would not accept the second transfer unless I upgraded my account. This is what I expected in the first place.
I am now waiting on a check or I will be transferring the initial transfer back to the buyer.

ChickenStick Rick

My Feedback: (674)

Well, here is my two cents. I buy and sell alot in RCU. I offer paypal as a payment option as a convenience option. I also accept money orders and cashiers checks. I do ask for the 3% fee to cover the costs. I do this because as I stated I offer paypal as an option for buyers who do not have ready cash. Hence the credit part. So I look at it as a fee for the ease and convenience to the buyer.
I have also been know to knock down the fee or drop it altogether. I guess it depends on the offer price. I'm done.

Rcpilot

My Feedback: (78)

I ask the buyer to cover the fees that paypal charges. If he doesn't want to cover the paypal fees--I'm perfectly willing to accept a money order from the US Post office. Not your bank or the 7-11 on the corner. A US Postal money order--thats the only other form of payment I'll accept.

Why? Because I got hosed one time by some guy with a fancy color laserjet printer. He sent me a fake money order. I made the mistake of shipping the item on the day I got his "money order" and when I took it to my bank to deposit it--the gal at the bank told me it was fake. DOH!! Dirty rotten %^*$%@((&$^Y@(&%$@# [:@] Sonuva @&^%*%$^* [:@]

US Post office money orders are cheap. You have to go to the Post office to mail the thing ANYWAY, so go inside and get the money order.

Then, when I ship your item, I take that money order inside and slap the box on the scale. When they give me the total for shipping, I sign the money order and ask for the change. Basically, take the shipping charges out of the money order and give me the cash.

Thats safe for both of us. If I rip you off--thats mail fraud. Thats a felony.

If you send me a fraudulant money order from the US Post office, thats a felony.

Safe for both of us.

It's the only type of money order I will accept from a buyer and can't understand why so many guys raise such a fit over going to the Post office and getting it. Your going to the post office ANYWAY. Regardless, you STILL have to go SOMEWHERE and get a money order. Right? Why not just do it all in one stop? Or would you rather go to the grocery store AND the post office instead? Or would you rather go to your bank AND the Post office instead?

I got issues. Can ya tell? [sm=lol.gif]

LSF2298

My Feedback: (4)

I'm new to the world of buying online. What happens if you cash the money order I sent you but don't send me the merchandise? Am I just out the $$?

aimmaintenance

Evidently PROFIT is a dirty word. Who's whinin here? The guy losin 3 bucks or the guy payin 3 bucks.
Ya buy a $100 used radio and the seller asks for $3 bucks more. "Big Deal" Pay the 3 and move on..
You sell a $100 used radio and it costs you $3 "Big Deal" Lose the 3 and move on..
Oh and don't tell me about how hard you worked for that $3 bucks.
We all waste way more than that every day!

Rcpilot

My Feedback: (78)

Yes

Your out the money, but you should contact the police and have that person charged with internet fraud and mail fraud. Both are federal crimes.

But, if you pursue it and have the person prosecuted, you should be able to get a court of law to require the thief repay your money.

Jim Thomerson

I get involved in a certain amount of buying and selling on that auction site. We prefer PayPal and absorb the fee as we are supposed to. It is worth it to us for the convenience of getting the transaction over with. We don't turn down checks or money orders, but do let large ones clear before we ship. I ordinarly do not buy from someone who does not take PayPal, or who has excessive shipping charge. Recently broke that rule and got a good engine really cheap.. I don't plan to buy from anyone who adds a PayPal charge.

My wife is a licensed dealer so we charge sales tax on Texas sales. We make several times as many sales international as we do to folks in Texas. I blame the sales tax. We find that our PayPal + ebaY costs run 11 to 13% of gross. Much better than an antique mall where half the time you don't make table. Wife got stiffed for $15 right after 9/11, other than that no problems so far.

SteveW

My Feedback: (36)

Or...

It's the price the seller pays for the convenience of receiving their money right now.

ChickenStick Rick

My Feedback: (674)

I don't have a problem waiting on a money order.

I view it as the price the buyer pays for the convenience of being able to use a credit card to buy item from any old joe.

depfife

My Feedback: (14)

http://www.rcuniverse.com/forum/m_32...tm.htm#3225462

Steve Collins

My Feedback: (8)

OK! Here is why I HATE GETTING A MONEY ORDER AT THE POST OFFICE! Walk into the post office, take a number. I get number 84. They are currently waiting on number 42. Can anyone else relate to that?

Jim Thomerson

As story with no names to protect the guilty. Used to be the large local post office was almost impossible. 30 or 40 people in line. Started going to a smaller post office with maybe two people in line. Suddenly large post office is almost vacant and there are lines of maybe 15 people at the little post office. Found out that the postmaster of the big post office was transferred to the little one. Hooray for 24/7 mailing machines (which have lines this time of year).

KW_Counter

Because my bank doesn't charge me for money orders!!!
You are the exact type of seller I don't want to deal with - and don't.
You will never know how much money you loose because of your narrow minded approach to business.
Good Luck Anyway,
KW_Counter

FLYBOY

My Feedback: (11)

I have done over 1000 online purchases and sales over the years. I have sold 2 estates and I always use paypal as an option. I eat the fee. It is part of doing business, just like in our full scale ventures. We eat a ton of cost in the process of using credit cards there, but it is a cost of doing business. We couldn't bid the jobs there if we didn't take credit cards.

I have dealt with people who pass the cost along, and don't like it. I almost won't buy from someone who won't take paypal anymore. It is just so much easier to deal with than going and getting a money order. Even if they do charge me, its worth the few bucks not to have to stand in line for a money order.

There are very few who pass the charge on, and those are usually the ones who sell very little online, have no feedback, and probably shouldn't be dealt with anyway. A reputable seller uses it and sells more and at better prices because of it.

I know I won't bid as high or usually at all if paypal is not accepted.

Rcpilot

My Feedback: (78)

Thats okay. It's not a business for me anyway. I just sell stuff that I don't want or don't like how it works or something like that. It's just a hobby and I don't make any money on stuff I sell. I lose money on 100% of the stuff I sell. I'll go buy a new product and try it out. If I don't like it, I sell it for pennies on the dollar. It's just a hobby.

I don't know where you guys live, but I haven't experienced a long line at the post office in many years. Guess I'm lucky. I do try and avoid the post office in the evening or on the lunch hour though.

I'm the type of guy that if it's only $10 or $25 I'll just take it out to the field and give it to someone who wants it. I ain't gonna use it anyway. Might as well give it to a newbie at the field or maybe one of the other guys has tried that product and he happens to like it--I got no problem just handing it to him with a smile.

The problem with paypal is this:
If you just keep a personal account--then you can't accept credit cards and you have a max of $500 per month that you can withdraw from it. Thats not a big deal unless you sell 10 servos and a gas engine for $750. Then your stuck waiting untill the next month to withdraw the other $250. There are no fees though. It's just direct transfers.

But, first time someone slips you a credit card payment--you can't accept the payment because you only have a personal account. So, then you get into that whole thing with the buyer where he insists you take his credit card for payment. He knows that his credit card will protect him if you rip him off and don't ever send the goods. Can't blame him.

So, you have to UPGRADE your account from a personal account to a business account to accept the credit card payment. Thats where they get ya. Once you upgrade the account to a business account--paypal takes 3% from EVERY transaction from that point untill eternity. Doesn't matter if it's a direct transfer or an E-check or a credit card. Paypal takes 3% of every transaction because you have a business account.

I didn't know thats how it worked untill AFTER I gave them my credit card # and upgraded to a business account. Paypal is not the most user friendly site to navigate and read all the fine print. Wonder why?

I upgraded my account to be able to accept a guys $300 credit card payment for an engine and then I have been getting hammered with the 3% fee every since. On ALL transactions.

I personally hate paypal, but you can't hardly sell anything on the internet without it. Guys are scared to send a money order out of fear another modeler will rip them off. It happens and that fear is justified. Paypal seams a necessary evil if you want to do any trading on the internet.

Maybe I'll quit asking for the 3% transaction fee, but I am still going to insist that if you send me a money order--it be from the US Post office. I just think it's much safer for both of us. Not to mention the fact that it's convenient as all get out for me when it comes time to ship. Just slap the box on the counter and hand them the money order. They take the box and hand me the change.

I have been snoockered with a fraudulent money order once. Thats why I'm so adement about not accepeting bank or 7-11 money orders. I've never heard of the 1st Bank & Peoples Trust of Pookadoo, Iowa -- so how on earth would I know what their money orders look like? How do I know it's not fake? What if I get a fake money order from the 1st National Credit Union of Swizelfart, New Jersey? Or the Slick Willy Bank of Snickerburp, Kansas? I have not a clue what their money orders look like--for all I know it could be orange with blue lettering and watermarks. But, the one I got in the mail is actually yellow with purple watermarks. How on earth would I know it's a legitimate money order?