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Is PayPal now too expensive for sellers?

  LastChip 22:02 14 Mar 2018

I've been notified today that buyers will pay the Personal Transaction fee which amounts to £1.99 and as I read it, plus 3.4% of the total price.

That's very expensive for low value items don't you think? Actually, 3.4% is a pretty high charge whatever the value.

Keeping in mind, these are fully automated systems, personnel costs would be minimal.

  LastChip 09:19 16 Mar 2018

OK, to clarify - the charge is solely for the seller. The point I was making, is if you are selling "cheap" items, the £1.99 charge + the commission, makes it an expensive transaction. And as rickf said, you then have to factor in ebays commission.

However, as Simsy says, I think I have misinterpreted the changes and the £1.99 does indeed apply to out of country sales.

You can find the new terms here. It's about half way down the page.

Please may I apologise for misinformation.

  Forum Editor 09:33 16 Mar 2018

Thanks for the clarification. Confusion is understandable.

  BT 17:56 16 Mar 2018

I've never had a need to use PayPal. I've used GooglePay a couple of times but normally find that I can use a Credit Card for anything I buy.

I get the occasional dodgy email saying that my PayPal account has been suspended due to 'Unusual Activity'. Hardly likely as I don't have one.

  bumpkin 22:20 16 Mar 2018

I had an Amex (American Express) card many years back but as they kept increasing their charges to the seller, fewer and fewer outlets would accept it so I stopped using it. Surely they realise that there is strong competition for this kind of service.

  Quickbeam 06:42 17 Mar 2018

I use PayPal to collect my mountain bike club's annual subs.

The pay me page is set up as a friends and family payment which incurs no fee except for a few that have a credit card listed as their source of funds. We just absorb those few as running costs to the club rather that request a greater subscription.

  LastChip 12:46 30 Mar 2018

I thought members may like a practical example of the present costs involved for low cost items.

I sold an item recently for £2.99 + £4.00 postage - total £6.99.

The commission charge from ebay was 70p + another 44p from PayPal. It appears ebay charge you commission on postage as well as the item.

Given the actual postage cost was £3.95 + a bit of packing + going to the post office to send it to the buyer, my actual return was (at best, not factoring time and travel) £1.85p.

In other words, the direct transaction costs were 38.127%.

I won't bother again! I'd rather give it to a charity shop.

This thread is now locked and can not be replied to.

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