Paypal Takes Cut From Shipping Fees!

I would like to know why Paypal (AKA Ebay) includes the shipping charges when they take their percentage. This is totally unfair, especially for Canadians. We pay through the nose for Canada Post already and Paypal fills their coffers from shipping charges. Is there anyone out there who can answer this? Better yet, is there anyone out there who can change this policy?
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Paypal Takes Cut From Shipping Fees!

sunrunnerultra
Community Member
Works the same as visa or mastercard fees, you are paying for the service on dollar amount processed, doesn't matter what the dollars are for. If you charge tax, you pay paypal fees on the tax as well, the same as when you use your credit card at a brick and mortar store, they pay merchant fees on the total purchase, including tax.

Mark
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Paypal Takes Cut From Shipping Fees!

tea_past_times
Community Member
Just hide Ebay's and Paypal's fees to your shipping quotes. Send your customer an invoice for the item + actual shipping + 15%.

For example for me:

$20.00 item + 8.55 (actual shipping) + all fees $4.28

Total bill to customer is $32.83

Problem solved.
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Paypal Takes Cut From Shipping Fees!

tea_past_times
Community Member
I don't pay Paypal and Ebay anything, my customers do. Why shouldn't they. They are the shoppers.

Believe me, when go to an auto mechanic, you are paying for every little thing they do - bigtime. Nothing wrong with covering legitimate costs associated with doing business.

Put a note in the parcel when you ship, that contains a printed off screen shot of Ebay and Paypal charging you for the transaction. That only takes 2 minutes and costs pennies, and everyone understands what they paid for.
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Paypal Takes Cut From Shipping Fees!

momoftwingles2
Community Member
Tea,

Probably not a wise idea to put a note in your package showing that you are passing on the charges for eBay fees and paypal fees as it is a violation of eBay policy.

However, if you state that it is a handling fee...no problem.

Here's the info that I found for clarification:

Sellers may not charge eBay buyers an additional fee for their use of ordinary forms of payment, including acceptance of cheques, money orders, electronic transfers or credit cards. Such costs should be built into the price of the item.

Violations of this policy may result in a range of actions by eBay, including:

Listing cancellation

Limits on account privileges

Account suspension

Forfeit of eBay fees on cancelled listings

Loss of PowerSeller status


Some Examples

Not permitted:

Charging an extra fee to use a credit card instead of a cheque.

Charging an extra fee to use PayPal.

Hope this info proves useful.
Susan
momoftwingles2
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Paypal Takes Cut From Shipping Fees!

momoftwingles2
Community Member
Reasonable handling fees are permitted of course! But, I buyer could take you to task if you outright say that you are passing those charges on to them.

Susan
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Paypal Takes Cut From Shipping Fees!

jakeeangel
Community Member
PayPal takes a percentage of the full amount you've been paid. That includes the item, shipping and taxes. How is it that you've just noticed this after almost 7000 transactions and 8 years on eBay?



Come See What Else We've Got Up For Auction!

When you find doing what's right hard to do - you've got a problem.
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Paypal Takes Cut From Shipping Fees!

lina-mallows
Community Member
momoftwingles2- "Probably not a wise idea to put a note in your package showing that you are passing on the charges for eBay fees and paypal fees as it is a violation of eBay policy."

I do not agree with statement. Where is this a violation of any existing eBay Policy?

eBay's policy states "Sellers may not charge eBay buyers an additional fee for their use of ordinary forms of payment, including acceptance of checks, money orders, electronic transfers or credit cards. Such costs should be built into the price of the item."

The seller here saying that the fees are part of the SHIPPING/HANDLING is not charging an extra fee- just their S/H fee stated.
Would their S/H be less if the person sent a MONEY ORDER?
Then there might be a problem- but eBay does permit discounting S/H- so who knows?


The problem I do have with eBay policy, as written:
"Sellers may not charge eBay buyers an additional fee for their use of ordinary forms of payment, including acceptance of checks, money orders, electronic transfers or credit cards. Such costs should be built into the price of the item."
IS- how can you build these costs into an item that is an AUCTION?
Where the price of the item is NOT KNOW until closing- the amount paid, even though a percentage, is certainly not something you "BUILD IN".
Message 8 of 9
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Paypal Takes Cut From Shipping Fees!

Hi Jakeangel I have known this for a very long time but just recently decided to vent (like everyone else)! I'm not comfortable with charging a handling fee. Mondo thanks for all the responses, I appreciate it! 🙂
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