50% UPS Brokerage fee????

[kazoobers]

I bought an item that was $99.95 US. The Seller charged me $16.00 for UPS standard shipping to Canada.

The package arrived and here is a Brokerage C.O.D. due to UPS for $54.17. What a rip! The seller said nothing about additional fees due IN ADDITION to the $16.00 I paid him for the shipping. By looking under Help in eBay, I see there is nothing I can do about it.

[valuestore]

Just yesterday on a $224(+80S&H) I paid $94 to UPS, included all fees and taxes from USA to BC, CAN, outrageous really.

[valuestore]

My bad, 86.60 and 243.65

*

Import Value: 243.65

Duty: 15.84

GST: 12.97

Brok Fee: 51.60

Brok GST: 6.19

Total: 86.60

According to the table Brok fee should be 45.60, pricing table out of date?

[reallynicestamps]

Stop using UPS, maybe they will get the point.  They are still charging insane brokerage fees on ground packages.

Most Canadian buyers will only be caught by this once. After that, they are smart enough to negotiate with US sellers to get USPS/Canada Post shipping.

Keep in mind that while UPS picks up parcels, US sellers must take exported parcel to the Post Office and hand them over the counter. That's an extra cost to the seller.

The other problem is that Canadian buyers either do not know about or will not pay for Express service. Although this appears more expensive, because it includes the cost of brokerage (at a lower rate than Ground shipping) it is often refused by both buyers (who get upset by the cost) and sellers (who want to charge their customers as little as possible).

So education is needed at both ends.

[pocomocomputing]

You missed the Bond Fee of 2.7%, minimum $6.00.

See Pierre post for the link.

[2011limey1]

I'm sorry, I just DON'T understand why people continue to go along with anything shipped UPS.  Part of purchasing on ebay is doing your homework.  Want it UPS? be prepared for their fees.  They are not doing anything illegal - it's their business as unfair as it might seem.

[regalbuto59]

I am enclosing a link to some of the UPS brokerage fees.  Yes, it can cost a lot, but UPS does not talk about that when they sell their services to your vendor/shipper.  The important thing I try to remember to do, after buying some item (especially an expensive one) is to make sure it is shipped via the post office.  For me, the tracked service with the post  office is not only faster and has better delivery options, but is also less expensive. I always try t oprovide my seller with the information so it benefits other individuals.  After all, UPS was designed as a business service, and businesses will have their own accounts, so don't have to pay all those fees.  It is the poor private citizen that pays the extra bills.

http://www.ups.com/content/ca/en/shipping/cost/zones/customs_clearance.html#Entry+Preparation+Charges

[regalbuto59]

I am enclosing a link to some of the UPS brokerage fees.  Yes, it can cost a lot, but UPS does not talk about that when they sell their services to your vendor/shipper.  The important thing I try to remember to do, after buying some item (especially an expensive one) is to make sure it is shipped via the post office.  For me, the tracked service with the post  office is not only faster and has better delivery options, but is also less expensive. I always try t oprovide my seller with the information so it benefits other individuals.  After all, UPS was designed as a business service, and businesses will have their own accounts, so don't have to pay all those fees.  It is the poor private citizen that pays the extra bills.

www.ups.com/content/ca/en/shipping/cost/zones/customs_clearance.html#Entry+Preparation+Charges

[2011limey1]

Never, ever, ever will I buy anything that is shipped UPS, to me it's just not worth it period.  Thank goodness I learned the lesson before I joined ebay and wasn't aware, and was dumb enough not to investigate.  Bought a framed poster from a popular site in the U.S.  Was having such a great time, trying the poster with different frames - was just thinking how great you can do this.  Then when UPS came to my door I was horrified.  A good lesson learned!

[hagbard72]

If you keep your US purchases to under $20, you won't likely get hit with brokerage or taxes.  I just don't buy anything on eBay from US sellers for more than $20 because you can never be sure they'll end up shipping by the postal service.

[lady.stark]

...you can never be sure they'll end up shipping by the postal service

It happened to me recently. The seller advertised USPS, I paid for USPS and then the buyer write me that she finally went with UPS because "the Post Office wasn't opened Saturday".

Being a newbie, she didn't know about the brokerage fees of UPS. We both had a fright, but fortunately, she was able to declare a value of $15. So hopefully, I won't have to pay brokerage fees.

However, when the package arrives, I'll ask nicely for a partical refund since UPS charged her less than what I paid for for a shipment that was supposed to go with USPS. (She shipped UPS ground)

Usually, when I see UPS in an auction, I first write the seller if he would ship USPS. If not, I just hit the back button.

[freeman11ca]

Hello, after my last brokerage fee experience, I found out the hard way that there is a perfectly legal way to avoid brokerage fees by calling the courier and ask them to send your package to the nearest Canada Border Services Agency office. Then you can go there when the package arrives and self-clear your shipment and only pay the duty and taxes that apply to this shipment, no brokerage fees will apply that can add up to 50%.

[femmefan1946]

Yes, that is legal but it is not always practical.

Ignoring your own work schedule, if you price your time at the Ontario minimum wage of 17 cents a minute , you may find it is actually cheaper to pay the brokerage fee.

If you have to take time off work and miss those wages, the cost would be substantially higher. And that's not counting transportation costs.

[aposaean]

That's why I'm really glad to live near Pearson.. I declared stuff myself a couple times without missing work and a 10 minute drive doesn't kill my day, especially if I'm saving money without losing work hours.

If you can, definately declare it yourself if it's advantageous.

[freeman11ca]

The list of CBSA offices is huge, it's not only border offices, but also includes airports and train stations and other business offices. It could potentially save thousands of dollars for some buyers to locate the nearest CBSA online, ask the courier to send it there and then go there and get their own package, rather than have it delivered to their door. My nearest office is only 2 minutes away, so for me the trip is well worth the savings.

[junglejammies]

Most sellers post that buyers are responsible for customs duties and fees but if they do not, it is the buyers responsibility to check the rules concerning cross border shipping. Isn't that what the original post is about......I suggest you read it!

The only way to avoid fees applied by UPS is to have the item shipped by WORLD EXPRESS. No brokerage fees but you may be required to pay duties/taxes. I have had many shipment from the U.S. by UPS World Express (including large items) and never had to pay any additional charges whatsoever.

Educate yourself........................

[dipmicro]

If the value was USD $99.95, the CAD vfalue would get above $100 and UPS fee would be $29:

http://www.ups.com/content/ca/en/shipping/cost/zones/customs_clearance.html

I agree, these rates are a rip. Why should broker get percentage of the value that goes through his hands, does the factory worker get the percentage of the products he makes ? I believe there should be tighter regulation of brokerage industry in Canada. When you think of it, it's 1-3min/line worth of labour and Canada Customs Agency does not charge a dime for processing your entry beside the actual taxes and duties. When I inquired about capability to declare my imports electronically directly to CBSA without the middle man (broker), I was told this would cost several thousand dollars to setup and it's nor practical for small business.

The only way to avoid fees applied by UPS is to have the item shipped by WORLD EXPRESS. No brokerage fees but you may be required to pay duties/taxes. I have had many shipment from the U.S. by UPS World Express (including large items) and never had to pay any additional charges whatsoever.

Lately UPS started charging me this so called "Bond Fee", this was removed from my imports by setting up brokerage account, signing POA and issuing void check. In order to eliminate bond fees UPS required void check (aka access to my bank account), while Fedex was happy with credit card on file.

[Anonymous]

I had an experience with UPS one time and never again.  Funny I never have been charged for brokerage fees by FedEx which I received lots of parcels through FedEx which I don't know why but I am lucky otherwise I wouldn't be willing to pay their insane fees and would refuse them.

I always ask the sellers to be sure they use USPS NOT UPS or FedEx if the itme is heavy or expensive. 

Some sellers are stupid when they said they prefer using UPS and at the same time they are losing lots of businesses that way, that is their problems.

Our Canadian governments are so stupid for allowing this taxes, they must have the purposes as they must be desperate in need of $$$ for themselves so they ding that way.

[spacearnaud]

I just received a delivery notice from UPS with an insane Brokerage fee.
If I refuse to pay, I assume they will return the item to the sender, but will they charge the sender the brokerage fee? ( and do they have the right to? )

I'm wondering whether I should fight UPS to waive the fee, or simply let them return the item, and then ask for my money back from the seller or ask for another shipment using another service..

any advice on how to proceed?

[2011limey1]

You mentioned that item was shipped by UPS.  Brokerage fee is not a rip off - that's what they charge.  Morale of the story.....NEVER have anything sent UPS unless you want it SO bad and are willing to pay.

[pjcdn2005]

I just received a delivery notice from UPS with an insane Brokerage fee.
If I refuse to pay, I assume they will return the item to the sender, but will they charge the sender the brokerage fee? ( and do they have the right to? )

I'm wondering whether I should fight UPS to waive the fee, or simply let them return the item, and then ask for my money back from the seller or ask for another shipment using another service..

any advice on how to proceed?

If you are just looking at the total owed to  UPS, that includes duty and tax, not just brokerage fees. If you refuse the parcel, UPS can charge the seller for the brokerage fees but not duty and taxes. It's possible they would charge the seller the cost of returning the package as well.

The only time that I might suggest the buyer refuse a parcel is if the listing clearly stated that the item would be shipped with the post office, not a courier. If you knew that it would be shipped by courier or if the listing didn't state the shipping method, you are the one responsible for the costs. It can be an expensive lesson but it isn't the seller's reponsibility to pay those fees.