FedEx & eBay Double Charging Sellers After Delivery? Scam or System Failure?

[atlasdigitalvault]

I need to raise awareness about a potentially widespread billing issue that feels like a coordinated bait-and-switch between eBay and FedEx.

On April 29, I purchased a FedEx International Economy label through eBay Canada. The quoted cost was C$48.75. I accepted, paid, shipped the item (a lightweight 1 lb GBA game set), and it was delivered with no issues.

A week later, eBay deducted C$123.25 from my seller balance, claiming FedEx adjusted the charge after delivery due to dimensional weight.

Here’s what I found:

• I declared 400g

• FedEx scanned it at 0.45 kg (1 lb), confirmed by phone

• Dimensions were slightly smaller than what I entered

• I recreated the label at 4.5 kg with bigger dimensions, still under C$95

• No new charge was shown. No consent. No invoice. No documentation

When I asked for a FedEx invoice, eBay refused
When I asked for escalation, I was told I had reached the Leadership Team
They said the charge was final and by design

So how many sellers are being overcharged after the shipment, with no proof, no appeal, and no warning?

If FedEx can send mystery adjustments and eBay just deducts the amount, that is either a billing problem or a broken system. Either way, sellers are paying for it

I've filed a BBB complaint and will post this publicly. This is a warning:
Do not use FedEx through eBay. You may be charged more after delivery and never even know

[femmefan1946]

Do not use FedEx through eBay.

Fixed that for you.

[lotzofuniquegoodies]

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@femmefan1946 wrote:

Do not use FedEx through eBay.

Fixed that for you.

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Sadly IF a strike happens with CP eBay's suggestion is as follows.

• Offer alternative shipping options. Whenever possible, offer alternatives to Canada Post on your listing. eBay sellers receive eBay-negotiated discounts on UPS and FedEx services through eBay Labels as well, so consider familiarizing yourself with these services.  

With Fedex risk substantial after the fact revised invoices at a loss. If you don't have an account with Fedex you will be paying crazy high rates. UPS risk 100.00 surcharge to buyer for customs processing and potential for refused goods being returned. For majority of Canadian eBay sellers there are limited other options. Chit Chats etc are just not everywhere. And as we were told when those services were offered to Canadian sellers it was due to the discounts. 

Would be almost interesting or very scary to find out the number of sellers that had no choice but to shut down during the last strike. I had that those same limited options. Even more impossible situation for anyone who concentrates on low priced letter type items.

[femmefan1946]

I closed my "about to close " and "newly listed/relisting" as they came along, and had no problems.

Also basically no sales.

But I accept that I am in a category with a lot of slowmoving items. It's not unusual for me to sell something that has been on the shelf for four or five years.

[chicweb]

A lot of sellers, lately, comes here about this specific problem.

It seem there's a big problem with ebay API or fedEx's. Miscalculations?

Could it be about some misunderstanding between eBay and FedEx about their deal? Could it be a technical glitch in the API communicating with Fedex's API ? Who knows... But eBay should definitely look into it.

Seems to be going on for some time. Enough to hurt fedEx reputation hardly.

[brettjet38]

You use FedEx and UPS to the US at your own risk of an overcharge, have been saying this for years.

Not new, Not a surprise, and no it will not change.

Thats is why I NEVER use UPS nor FedEx, problem solved!

[chicweb]

The problem isn't solved because it persists. Simply avoiding using these methods to avoid encountering it is not a real solution. 😉

I think eBay needs to start by acknowledging these problems and finding solutions.

Either they should talk to FedEx to understand why these overcharges are occurring. If the problem is directly caused by FedEx (sending the wrong price via their API), fedEx should fix it.

Otherwise, eBay should stop offering FedEx as a calculated shipping method, as it's completely unusable from a business perspective.

It's a big deal for a company to allow this situation to happen. It's a major problem that needs to be addressed.

Is the problem from the seller entering wrong measurements? Then, maybe some adjustment to identify those cases should be implemented. Doesn't seem to be the case in the current situation.

Is the problem with a transition between measurement? Then fix it.

Is the problem with fedEx API not calculating correctly? Then fix it.

Is the problem from eBay when they send info to the API or when they receive it? Then fix it.

Is it fedEx only applying overcharges randomly when they feel like it? Then eBay should stop offering their services completely. Not reliable.

[flipistics]

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@chicweb wrote:

Is it fedEx only applying overcharges randomly when they feel like it? Then eBay should stop offering their services completely. Not reliable.

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The problem seems to be FedEx. I suspect that when they recalculate, they recalculate the charge based on retail rates and not the negotiated rates. I don't know that for sure though.

I haven't sent anything to the States via UPS since the tariffs started, but I've never had an issue in the past.  I (think) all but their cheapest service offer free customs clearance, but I'm not positive. That obviously wouldn't include any taxes or tariffs, and they DO specifically mention that if the customer doesn't pay them, the shipper does.

[chicweb]

I think it might also have something to do with their negotiated rate.

I don't know their internal logistics. It could be that some employees aren't doing their jobs properly. If so, what would the procedure be?

Calling FedEx wouldn't work for us. I'm pretty sure we use eBay's own account at FedEx to take advantage of these discounted rates.

[lotzofuniquegoodies]

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@flipistics wrote:

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@chicweb wrote:

Is it fedEx only applying overcharges randomly when they feel like it? Then eBay should stop offering their services completely. Not reliable.

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The problem seems to be FedEx. I suspect that when they recalculate, they recalculate the charge based on retail rates and not the negotiated rates. I don't know that for sure though.

I haven't sent anything to the States via UPS since the tariffs started, but I've never had an issue in the past.  I (think) all but their cheapest service offer free customs clearance, but I'm not positive. That obviously wouldn't include any taxes or tariffs, and they DO specifically mention that if the customer doesn't pay them, the shipper does.

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@flipistics 

The applicable rate should always be based on the account number included on the label. Similar to a CP label purchased with eBay Labels they all have the associated account number. If there is no account number then it is either the counter rate or a spot quote which would also be on the bill. 

Second part of this mess is the parties involved being unable to provide a detailed explanation of how that rate was calculated. That is how it has always worked in real world freight rate billing and how it needs to work here.

Lastly there needs to be a way to appeal. There seems to be no official process within ebay to do so. No guarantees you will win but a process still needs to be in place.

As for customs being included that "was" standard with Fedex on premium services like air.

Fedex

Yes, for FedEx Express international shipments, customs processing is generally included. However, FedEx also offers the option to use your own customs broker for select services, known as FedEx International Broker Select. 

Yes, customs clearance is included with FedEx Ground shipping from Canada to the US, but it depends on the chosen service option. If you select FedEx International Ground with the brokerage-inclusive service, FedEx Trade Networks will handle the customs brokerage. You can also opt to use your own broker with FedEx International Broker Select. 

• Brokerage-Inclusive Service:

  FedEx International Ground offers a brokerage-inclusive service where FedEx Logistics handles the customs clearance for you. 
• Default Option:

  When using FedEx International Ground, the brokerage-inclusive service is typically selected as the default option. 
• Clearance Entry Fee:

  This service includes a Clearance Entry Fee, which covers the calculation of applicable duties and taxes for each type of commodity in the shipment. 

UPS

Yes, customs processing is typically included when using UPS for international air freight shipments. While UPS may charge a brokerage fee for this service, it's often included in the overall shipping cost or as a separate fee. This service handles the necessary documentation, inspections, and clearance with customs authorities. 

No, customs processing is not typically included with UPS Ground shipping for international shipments. UPS states that you will likely be responsible for paying duties, taxes, and brokerage fees. While UPS offers brokerage services, they are separate charges and not included in the basic Ground shipping price. 

This may have all got turned upside down recently with whatever the current status of deminimus and informal vs formal entries.

The 2 results above were found with a search today. Current may be now irrelevant with the hourly changes and businesses rethinking how they do things and how they recoop new costs. 

Please note: Fees and options will be different USA to Canada.

[lotzofuniquegoodies]

@chicweb 

@atlasdigitalvault 

Fedex/UPS for eBay labels rolled out mid 2023. The original disclaimers included things like no surcharges for residential pick ups and deliveries. That info is no longer found. The announcement as it shows now attached. The rates were supposed to be attached to the then version of the eBay Calculator tool (since revised). That version let you compare counter to discounted rates. The assortment of options we could see have varied from day 1. Services would show with the calculator and be MIA when you went to create a label or vice versa.  The new tool ONLY includes discounted rates. You could also add in your handling fee if you wanted. I can't recall if there were options for insurance or not. Majorly testing my memory here.

There have been reported issues with these crazy amended bills arriving with an assortment of stories as to if sellers could get an explanation/corrected since day 1. There's never been anything official  from eBay as to a fix other than "Use something else". That really isn't what the eBay announcement implies and suggests when those add on services arrived. We should have been able to expect correct billing within a few days of the shipment being processed vs being billed on items delivery.

https://www.ebay.ca/sellercentre/shipping/ebay-shipping-partners

These fedex disclaimers do show up prior to completing shipment. Note: The disclaimers vary between carriers. 

a)The shipping services are filtered in base of the size and weight of your item. To see different shipping services, change the size and weight.

b)Consequences For Exceeding Size and Weight Limits

Make sure you do not exceed the weight and size restrictions. If the package exceeds these weight and size restrictions, the carrier may still accept your parcel, but you will be billed for additional charges that can be very high.Learn more about other charges that can affect your FedEx Shipping rate.

c)You are responsible for checking that your item can be sent within Canada. Please check the latest information and restrictions for Canada Post, UPS or FedEx and contact the carrier directly if you have any questions.

d)Payment by seller account

Once the shipping label has been used, the amount due will be ???automatically??? deducted from your funds or charged to your on-file payment method in a few days.

[john_koenig99]

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@brettjet38 wrote:

Thats is why I NEVER use UPS nor FedEx, problem solved!

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Amen! As a seller, I do that.

As I buyer, I try to avoid sellers who use them. For some sellers in certain countries, they're unavoidable. 

[muchbeat]

FedEx scanned it at 0.45 kg---I recreated the label at 4.5kg---450gr versus 4500gr that might be your problem.    Cheers

[lotzofuniquegoodies]

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@muchbeat wrote:

FedEx scanned it at 0.45 kg---I recreated the label at 4.5kg---450gr versus 4500gr that might be your problem.    Cheers

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@muchbeat 

@atlasdigitalvault 

devon@ebay 

 The original item was .400 grams bumped up to .450. The rate the seller saw would have been based on the original measurements which then automatically does the math. When a courier audits a shipment it is based on the physical goods. Shipment to bill. Confirmed or wrong.  The only way it "could" have got increased so high would have been if the measurements were way off. In this situation it doesn't appear to be what happened. The only way it could have got bumped up to 4.5 kg is if the weight inputted was totally inaccurate. This rebilling appears to be entirely computer error vs a shippers mistake. 

The label was created using ebay labels so it was not a manually generated shipment. Not sure that is even a thing any longer. 

[flipistics]

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@muchbeat wrote:

FedEx scanned it at 0.45 kg---I recreated the label at 4.5kg---450gr versus 4500gr that might be your problem.    Cheers

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I think he said his original label was declared at 0.4 kg and FedEx claimed 0.45 kg. He then made a new label to test the prices at 4.5 kg and it was still less than what FedEx charged him.

[lotzofuniquegoodies]

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@lotzofuniquegoodies wrote:

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@muchbeat wrote:

FedEx scanned it at 0.45 kg---I recreated the label at 4.5kg---450gr versus 4500gr that might be your problem.    Cheers

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@muchbeat 

@atlasdigitalvault 

devon@ebay 

 The original item was .400 grams bumped up to .450. The rate the seller saw would have been based on the original measurements which then automatically does the math. When a courier audits a shipment it is based on the physical goods. Shipment to bill. Confirmed or wrong.  The only way it "could" have got increased so high would have been if the measurements were way off. In this situation it doesn't appear to be what happened. The only way it could have got bumped up to 4.5 kg is if the weight inputted was totally inaccurate. This rebilling appears to be entirely computer error vs a shippers mistake. 

The label was created using ebay labels so it was not a manually generated shipment. Not sure that is even a thing any longer. 

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devon@ebay 

Re: The ongoing revised shipping charge magical mystery tour.

Sent out a parcel expedited lite to Vancouver May 8. Delivered May 12th.

Original charge: 7.04. Billed May 14th 5.63. Difference - 1.41 

Sent out a parcel expedited to Dallas May 7th. Delivered May 15th

Original charge 28.32. Billed May 12th 28.32. Difference 0.00

Revised unexplained bill arrived 0.91. New Difference +0.91

Revised invoices (charges) - Not detailed.

In these examples it's not about the amounts.

Unsure why eBay refuses to show their math for transparency??  Doing so is a

STANDARD legal business practice.

@flipistics 

I was using Shippo for a little over 3 years. Over that time I received revised bills from them--- that included explanations maybe 2 or 3 times based on 100(s) of labels created. With eBay Labels you have to be constantly monitoring for discrepancies. 

[brettjet38]

I have used Canada Post for over 20 years - 2 decades selling here, when they go on strike, I take a holiday and update my listings, life continues.

Over 19K items sold, since 2001, all shipped via Canada Post except 1, I will stick with the original. 

When I see people going "off the rails" over something that is never going to get fixed, because of how FedEx and UPS operate, I say to myself, did they read the DISCLAIMERS ?

if you get overcharged, read the fine print, because it clearly says you will be charged, and when you purchase the Shipping Label, you accept the fact that it may be more than you expected

And they have been doing this for years, even 10 years ago, and you can find the old threads on here, take a look at the posters moaning, on and on, many still are, some have passed into the pearly gates, others just came for a rant and never came back, me I probably was saying the same thing as I am today...

At my age, I have much better things to do than rant about overpriced, useless shipping services, they are not going to change, folks.

eBay will not take responsibility. eBay Canada is just a storefront for Tax reasons, as requested by the CRA, so they can get their taxes and slice of the crumble pie.