Payment method for very expensive items that are not real estate, cars, etc

[mariazuz]

Hi,

I know there have been very expensive items sold on eBay that do not fall in the categories where you can receive a bank to bank transfer.  How did they receive payment?  Paypal just told me if anyone wants to buy my item for 880,000 usd they need to make several transactions. Needless to say this is not an option.

How can I receive payment for very expensive item under the category of collectibles?

Thanks in advance for any tip you can provide.

[cumos55]

How payment is arranged would most likely depend on what is put up for sale.

If it is a large piece of machinery,  then shipping can be arranged.... and paid by the buyer... with the buyer or his agent paying in person....

Or a "Local Pickup'' can be arranged....  with payment due with a local pick up.

If the item for sale is unique,  and of such great value... then a potential buyer might want to see it in person... and if that person is interested..... payment can be made in person as a local pickup.

I have seen large pieces of machinery, whether industrial or farm, sell at auction... with potential buyers flying in just to take part in an auction....   and many times they do not win the auction

It is uniqueness and value  that makes this something a person may want to see in person.

If a person makes a visit and buys... then you might offer to cover the cost of the trip... but only if they buy and pay in person.....

and above all... do describe the item to its absolute...Lots of photos... super extensive description..... and if it is mobile  include a video in the listing of the item "in action" ... if that is possible....

the more the better.

What is for sale?

Can you provide a photo?

[cumos55]

A collectible  worth that much...  This has to be seen....

But do be careful of eBay listed of items that cannot be sold on eBay.... restricted items....

The size of the collectable...  and any other factors such as cross border transfer,   can change everything.

Definitely a photo would help....

A local pickup would definitely work... with your paying for the buyer's trip... once  the buyer has paid in full.....This I have already indicated.....in my last reply.

[melissasminis]

The only way I could see transferring a large sum of money is through the bank, bank wiring/transfer.

[anguscoinshop]

Do prominently place in your description for the winning buyer to wait for your revised invoice, you will be supplied with the email address of the buyer, you can take it from there.

pp is far to dangerous, there are numerous cases filled against them with the Canadian Anti Fraud Centre

[femmefan1946]

The maximum Paypal will allow in a transaction is $5,000. USD, I believe.

And for any shipment over $250 USD including shipping cost, PP demands a Signature Confirmation of delivery.

If your item will sell for over 3/4 of a million dollars, I suspect you would be better off with a catalogue auction house. There are several international houses with offices in Toronto.

[ypdc_dennis]

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@angus_coin_shop wrote:

pp is far to dangerous, there are numerous cases filled against them with the Canadian Anti Fraud Centre

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The Canadian Anti Fraud Centre (www.antifraudcentre-centreantifraude.ca) does not publish cases filed. So that statement is a guess.

Some of the things that CAFC site does say:

Consumers need to be vigilant when buying and selling online. The internet has made buying, selling and renting convenient for consumers and the scammers.

There are many ways to send money, but not all of them offer fraud protection. Verify the fraud coverage with the payment method that you choose to use.

Consumers selling goods online should be suspicious of any payment that is more than the agreed selling price. Whether it is a cheque (cashier or corporate cheque) or money received through online payment provider like Paypal or email money transfer, if the amount is more than the agreed selling price and the buyer requests the excess funds to be returned, it is a scam.

I wouldn't recommend paypal for payments over $1000, over that I'd want a more secure and direct method to transfer funds.

[rose-dee]

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@femmefan1946 wrote:

If your item will sell for over 3/4 of a million dollars, I suspect you would be better off with a catalogue auction house. There are several international houses with offices in Toronto.

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This was exactly my thought too.  Attempting to sell a fabulously expensive item online is risky no matter what form of payment you choose.  The OP might even want to consider some form of escrow as well.

I wonder exactly what it is we're talking about?  Would the OP please come back and at least give a general description of this rare item?

[cumos55 · Accepted solution]

If I was considering buying something as valuable as this one I would want to see it, touch it... effectively view it in person.

A trip costing  close to  $1000 would be a minor consideration.... Remember I am going to buy something valued at over $750,000.

Paying with a personal view... and local pickup  would make payment very easy....

Millionaires do not spend money on a whim.....

[mr.elmwood]

An auction house? Really? A place that will charge the seller a selling %? Charge the buyer a buyers premium? You folks think the seller should take $100,000 less and the buyer should pay $100,000 more.

How long have you folks been in business?

[anguscoinshop]

I would prefer to deal with a reputable auction house were i know i would be paid after the sale than deal with the inherent dangers of this site for large ticket items.

[pjcdn2005]

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@mr.elmwood wrote:

An auction house? Really? A place that will charge the seller a selling %? Charge the buyer a buyers premium? You folks think the seller should take $100,000 less and the buyer should pay $100,000 more.

How long have you folks been in business?

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I think that it is better to sell the item to a legitimate buyer at an auction house then to not sell it all on ebay. I think that it is unlikely that a legitimate buyer would spend close to a million dollars for an item on an online site from an anonymous seller.

I've had my own business for about 25 years.

[reallynicestamps]

Since 1978 as part owner of a stamp dealership. DH is the top dog. I am just a minion.

Started our first auction house in 1980.

And yes the seller will pay about 20% to the house usually with a minimum (to discourage have hundreds of $10 lots) and the buyer between 5% and 25% depending on the house.

But the house does all the advertising, has a vetted customer list, collects payment, arranges expertisation, prints and distributes a catalogue as well as posting the catalogue online, and handles secure shipment.

So if you see a hammer price of $1000,  the seller will get around $800 and the buyer will pay between $1050 and $1250. (ignoring sales tax)

On very high priced or in demand material, fees can be negotiated.

[cumos55]

Many high end auction houses  have reduced the percentage commission paid by a consignor to a minimum

 and put a buyer's premium as very high....

Many collectors were choosing not to put items into an auction with a very high commission.  

A low level commission brings the consignor to the auction house....

Buyer pays seller's commission!

[cumos55]

The buyer's premium might be 5%,  and capped at $250 or $500  depending on what is being sold.

Buyer does not pay above the capped value....

[mariazuz]

To all, here is the item I'm selling. It is valuable only to his disciples http://www.ebay.ca/itm/Master-Thakar-Singh-Jis-Sweater-/231177146294.

Thank you all for your suggestions. In the end I opted for the option of payment upon pickup.

I agree that who ever is willing to pay that price will want to see it and won't mind making a trip to see it, pay for it and pick it up. Once there is a buyer I will come up with the meeting place, etc, with the help of a lawyer, of course.

Once again, thanks all, your comments were very useful to me.