Selling/Shipping Expensive Item From Canada to US Customers?

[argosy33]

Hello all,

I do hope that I'll find some competence in here.

Over multiple calls, over a few weeks, I've now spent hours with Ebay CSRs on the phone.
And nobody there has been able to give me any clear answers at all.
Two hours this morning alone.

I live in Canada.
On Ebay, I want to sell an expensive item ($1200 to $2000) to a US customer.


http://pages.ebay.com/help/sell/shipping-globally.html

Note: the Global Shipping Program does not apply, because "The item must be physically located in the US."

Contrary to what I was told by an Ebay CSR.



Naturally, I expect there will be duties and other fees.
I'd like to list them in the ad, so they don't get any surprises when it arrives.


What are all the US import/customs fees that my US customers should expect?


Fedex and UPS also charge brokerage and other fees across the border.
What should I expect in this regard?


Ideally, I'm hoping to hear from US customers who have imported an expensive item from Canada, and speak from experience.


Thanks a lot!

[pierrelebel]

"I want to sell an expensive item ($1200 to $2000) to a US customer."

The first thing you need to do is show "shipping to Canada and USA" in your listing.  Your current listing shows shipping to Canada only.  As such buyers located in the USA will not see it when they search eBay.com for GB4000:

http://www.ebay.com/sch/i.html?_from=R40&_trksid=p5508.m570.l1313.TR6.TRC2.A0.H0.Xgb4000&_nkw=gb4000...

You also need to show a shipping method (Canada Post Expedited for example) and a shipping cost ($50.00 for example)

It will only take you a few minutes to pack the item (without sealing the box), get measurements and shipping weight (in metric) then go to the Canada Post website and get a shipping quote to the USA using FL and CA (for example).  Since you ship from Winnipeg, those two States should give you a fair idea of the maximum shipping charge.  The current $100 shipping charge to Canada is way out of line.  $20 to $30 is more like it.  Once again, get the facts at Canada Post.  Considering the high value of the item, you should be able to absorb some of the shipping cost in your price to make it easier for buyers.

The USA does not have GST or HST as we have.  So there is no consumption tax payable by the buyer.

Please invest a few minutes of your time learning: http://pages.ebay.ca/help/pay/ship-internationally.html

Avoid using UPS or Fed-Ex.  Use Canada Post.

Now, to be very candid, I am not sure using eBay is your best choice for such expensive item if you expect to ship outside Canada.

[gifts_of_elegance]

I have shipped a lot of expensive items to USA from Canada over the last 10 years and none of my customers were ever charged duty or taxes.  As Pierre has advised you, I too use Canada Post.  UPS & FedEx charge more for shipping plus they add brokerage fees.

Some of my items are very fragile and I never had problems with breakage.

Usually when I sell something expensive, I check out my buyer.  Name, address, telephone number, feedback left for others, etc.

I also check their buying by looking up their feedback and checking what the sellers they buy from usually sell.  If they buy from sellers with low cost items, my flag goes up.  Sometimes I telephone the purchaser to verify the purchase.  Use a cell phone so you have a record of the call. Doesn't hurt to email either.

Do not forget to take into consideration PayPal's new policy giving purchasers 180 days to file a claim for non-receipt or item not as described.  You have no choice in opting out of this, so think it through very carefully.

Good Luck!

[pocomocomputing]

To qualify for PayPal Seller Protection and eBay Seller Protection (on eBay.com), an item over $750 US (eBay.com) or $850 Cdn (eBay.ca) needs to have signature confirmation.

Within Canada, Canada Post Expedited Parcel has an option for signature confirmation at a low cost. Cost is $20-$30 with signature confirmation.

To the USA, Expedited Parcel USA does not have signature confirmation option, only delivery confirmation. Xpresspost USA has signature confirmation as part of it price. Cost is $40+.

If you ship without Signature confirmation, the buyer can make a claim of Item Not Received because there is no signature. Even if you have a shipping option with delivery confirmation and it shows delivered, the buyer can still claim not received because of the missing signature. Canada Post will not pay out insurance claims because the item shows delivered.

Since a $1200-$200 item is so far out of your normal price range, you might want to consider insurance for loss or damage. Canada Post sells insurance at $2.05 per $100 value. I would consider insuring to full value. Make sure the item qualifies for Insurance and is not an excluded item. Expedited Parcel within Canada covers up to $5,00 in value. Insurance to the USA is limited to $1,000. 3rd party insurance providers (insurepost/shipsurance, U-Pic) might cover over the $1,000 Canada Post limit.

Make sure you pack well and double box the item if there is any chance of shipping damage. This is to make sure the item arrives intact and for insurance claims if it is damaged.

Signature and insurance would be my choices to get the maximum seller protection.

So the $100 you are charging is reasonable to me but a bit high. Within Canada the shipping cost with insurance would be in the $40-$50 range. To the USA, in the $70 range. But for such a high value item, I would charge less for shipping or offer for free shipping and add $100 to the item price.

I would also consider selling locally if it is possible.

[dutchman48]

3rd party insurance from Canada to the USA is also limited to $1000. You may be able to insure up to 1000 through CP and get the additional from a 3rd party. You would have to phone them in the US to see if they will do that. Also check their exclusion lists very carefully. They are also much cheaper than CP as their rate is $1.50 /$100.

OP: Good luck with your sale

[argosy33]

Hello all,

Thanks for responding.


I visited Canada Post today.
They confirmed that insurance is limited to $1000 for shipments to the USA.
So, I'll have to use Fedex, or UPS for this item.


I had already been to their depots to get quotes with insurance on this
large double boxed package. Incredibly, not even UPS or Fedex employees
know what the charges will be at the US side!


Getting back to the original intent and question.
I'd like to give US customers a realistic expectation about any other charges
they might have to pay up front.

So, what charges can US customers expect when I ship an expensive item with Fedex or UPS?

Brokerage fees?
Import duties?
Anything else?

Does anyone have an idea how much these might be?

Thanks a lot!

[pierrelebel]

"Does anyone have an idea how much these might be?"

If you really insist in using Fed-Ex or UPS instead of Canada Post, I suggest you call them and ask them what their Customs clearance (and other) fees will be for the American buyer (importer).

There is no tax as previously stated and no duty since the item is made in the USA (according to your listing).

[gifts_of_elegance]

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@argosy33 wrote:

Hello all,

Thanks for responding.


I visited Canada Post today.
They confirmed that insurance is limited to $1000 for shipments to the USA.
So, I'll have to use Fedex, or UPS for this item.


I had already been to their depots to get quotes with insurance on this
large double boxed package. Incredibly, not even UPS or Fedex employees
know what the charges will be at the US side!
Incredibly, not even UPS or Fedex employees
know what the charges will be at the US side!

Getting back to the original intent and question.
I'd like to give US customers a realistic expectation about any other charges
they might have to pay up front.

So, what charges can US customers expect when I ship an expensive item with Fedex or UPS?

Brokerage fees?
Import duties?
Anything else?

Does anyone have an idea how much these might be?

Thanks a lot!

---

If even their employees don't know and won't bother to find out for you, how do you expect anyone here to know?  I have considered using their services in the past but vague answers never impressed me.  I  like to base my decision on facts (and sometimes my gut feeling, but only mine).

[femmefan1946]

So, I'll have to use Fedex, or UPS for this item.

Your buyer will have to pay duty (if any) and brokerage fees on the item on his doorstep and the courier will not release the parcel until he does. This does not lead to a happy buyer.

I understand that there are express services offered by couriers where the duty and brokerage fees are included in the shipping fee. Makes for a high shipping fee, but if the buyer is willing to pay it, that is all he would have to pay.

If you think buyers don't mind import fees if they know they are going to be charged, put on your asbestos Stanfields and visit the pinned threads about the Global Shipping Program.

Perhaps someone with more knowledge than me could give some advice on third party insurance, like shipinsurance?

[pjcdn2005]

I understand that there are express services offered by couriers where the duty and brokerage fees are included in the shipping fee.

The express services usually do not charge brokerage fee at the door. Duty is still charged if applicable.

[pjcdn2005]

OP, As mentioned earlier, there shouldn't be any duty due if the item was manufactured in the U.S.  Therefore, there should be no brokerage fees.

Personally, I don't think that it is a good idea to suggest to a potential buyer that duty will be $xx as they may blame you if that number was wrong. They really should find out that information on their own.

I notice that your listing still does not have shipping to the U.S.

[gifts_of_elegance]

Brokerage fees have nothing to do with duty or taxes payable.  Brokerage fees are for services rendered in clearing the item through Customs.  

[pjcdn2005]

Yes, I know what brokerage fees are. I've always been under the impression that if there was no duty or tax due then a courier would not charge a brokerage fee. Is that incorrect?

[recped]

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@pjcdn2005 wrote:

Yes, I know what brokerage fees are. I've always been under the impression that if there was no duty or tax due then a courier would not charge a brokerage fee. Is that incorrect?

---

If you ship via FedEx or UPS Ground and the value exceeds US$200 an informal LVS (low value shipment) customs entry is required and the carrier will charge for it (can be billed to the shipper if desired). The item could be subject to duty or not, it makes no difference.

If the value is over US$2500 (or maybe it's $2000?) a formal entry is required and again it doesn't matter if duty is applicable or not.

If you ship using UPS/FedEx Express service the custom brokerage is "free" (just like free shipping on eBay is "free").

This is the primary reason a service such at ChitChat won't take goods that exceed the minimum, they don't want to have to deal with any type of customs entry.