Everyone charging paypal fees

[BallsDeepPythons]

This might not be the right place to post this, but I have not been on here much lately. Been too busy with breeding, moving and keeping up with rats to stay right up on BP prices all day. But I have several hatchlings I will be selling over the next few weeks so I have spent the last few days looking at prices. It seems like over half the ads that I see has the seller asking for the 3% paypal fee to cover their cost! That is illegal right? I dont remember hardly ever seeing that and now it is on most ads. When you decide to use paypal that should just be part of your cost of doing business right? Like shipping, you add the cost of supplies and the cost of shipping together and say shipping for you snake will be $75. Just add 3% to the cost of your snake, post the ad with the price and be done with it. Sorry to rant, just wanted to see if I was the only one who thinks this way.

 

[Pocopythons]

I totally agree with you. A buddy of mine bought a snake at a reptile show not to long ago and after they agreed on a price they actually charged him sales tax on the animal. I've never heard of that either but who knows.

 

[hhmoore]

No, you aren't the only one that thinks that way....and, No, it isn't "illegal".
It is, however, a violation of their PayPal user agreement to charge a fee - or a higher price - for PayPal sales.

Another popular method of beating the 2.99% fee is to request that the money be sent as a personal payment (gift). Don't do it - it voids any protection you might have, as you are not buying a product. If they don't ship, or you get something other than what you paid for, you have no real recourse. (I have heard reports of being charged the cash advance rates on credit cards for doing that, as well, since it isn't a purchase - something to keep in mind).

PayPal offers a service to sellers, for which they charge a small fee - it amounts to all of $30 on a $1000 sale. It provides a means of instant payment, and the all important option of accepting credit cards (which, until fairly recently, was cost prohibitive for most hobbyists through the other available means).
I've noticed the recent swell in ads "requiring" the fee to be added....and just view them as more people I won't purchase from.

There are a number of threads on this topic in this forum (I moved your thread to General Business, btw).

 

[hhmoore]

I totally agree with you. A buddy of mine bought a snake at a reptile show not to long ago and after they agreed on a price they actually charged him sales tax on the animal. I've never heard of that either but who knows.

Anybody that is doing more than calling themselves a business knows about sales tax (in most states). More and more states are catching up to shows, and requiring vendors to have a sales tax certificate (even if it is just for the the event/show.
Personally, I post "tax included" prices at shows...but haggling doesn't necessarily equate to tax free. I incorporate it into my bottom line; and have no problem telling a customer why I am unwilling to go below that price.

 

[BallsDeepPythons]

Yeah, I didnt mean illegal, meant against paypal policy . And like I was saying, 6 months ago I only remember seeing a few ads with that in it and now it seems like more have that included in them than not! I know when I post any for sale I will not inlcude it, I will have a bottom dollar and if no one will pay that then I will just have more holbacks I guess

 

[hhmoore]

if no one will pay that then I will just have more holbacks I guess

Please don't fall into that group either....
Not being able to sell something for the price you want doesn't make it a holdback. I understand that it sounds better than "leftover", but still.

 

[AbsoluteApril]

I've noticed the recent swell in ads "requiring" the fee to be added....and just view them as more people I won't purchase from.

I have noticed it a lot more over the last 6 or so months as well.

I also agree a 'leftover' is not a 'holdback' but rather a hopeful 'future sale'


(i'm so agreeable today)

 

[Ed Clark]

It seems like over half the ads that I see has the seller asking for the 3% paypal fee to cover their cost! That is illegal right? I dont remember hardly ever seeing that and now it is on most ads. When you decide to use paypal that should just be part of your cost of doing business right? Like shipping, you add the cost of supplies and the cost of shipping together and say shipping for you snake will be $75. Just add 3% to the cost of your snake

The paypal fee is part of the cost of receiving an instant payment for your animal, people tend to shy away from someone trying to add an extra 3% to an already high priced animal.

No you just don't add an extra 3%.

 

[Metachrosis]

IMO,one should have all inclusive pricing on their critters
Everything factored in as close as possible before ever posting a Sale Ad.
Market Price is not the total worth,"worth" is determined buy the customer.
When I see ads with extra's "added" I move on,sellers that are that determined to be publicly greedy need to keep feeding.

 

[Clay Davenport]

I think sellers who do this are not realizing they are shooting themselves in the foot with a certain percentage of prospective buyers.

Myself I don't want to do a bunch of math to determine what I'm paying for an animal and I doubt anyone buying from me does either. I care about the bottom line, what's it going to cost to get the animal in my hands.

I've seen ads like this
$100 for the animal
+ $50 shipping
+$10 box charge
+$2 for heat pack
+3% if using paypal

When I see this I just move on without another thought, whereas if they'd advertised the animal for $165 shipped I would have given it more consideration.
In the end all anyone cares about is what it will remove from their bank account to get the animal. Personally I think, using the above example that you would get more interest saying the snake was $165 and shipping was free. To each his own though.

As for the paypal fees being added on, that just irritates me and I generally ignore such ads on principle.

 

[Gloryhound]

I think sellers who do this are not realizing they are shooting themselves in the foot with a certain percentage of prospective buyers.

Myself I don't want to do a bunch of math to determine what I'm paying for an animal and I doubt anyone buying from me does either. I care about the bottom line, what's it going to cost to get the animal in my hands.

I've seen ads like this
$100 for the animal
+ $50 shipping
+$10 box charge
+$2 for heat pack
+3% if using paypal

When I see this I just move on without another thought, whereas if they'd advertised the animal for $165 shipped I would have given it more consideration.
In the end all anyone cares about is what it will remove from their bank account to get the animal. Personally I think, using the above example that you would get more interest saying the snake was $165 and shipping was free. To each his own though.

As for the paypal fees being added on, that just irritates me and I generally ignore such ads on principle.

I fully agree with most of that, but I keep the actual charge of shipping seperate because shipping to Ohio is a heck of a lot cheaper than shipping to California for me. Also the actual cost of shipping is a legitimate business expense when I itemize. Boxes and heat packs are bought in bulk and itemized. Paypal fees and credit card fees also are legitimate business expenses.

In the end though everything except the actual shipping cost should be factored in. I would hate to loose a local sale cause my base price is as high as someone else off the internet with shipping.

 

[Clay Davenport]

I fully agree with most of that, but I keep the actual charge of shipping seperate because shipping to Ohio is a heck of a lot cheaper than shipping to California for me. Also the actual cost of shipping is a legitimate business expense when I itemize. Boxes and heat packs are bought in bulk and itemized. Paypal fees and credit card fees also are legitimate business expenses.

In the end though everything except the actual shipping cost should be factored in. I would hate to loose a local sale cause my base price is as high as someone else off the internet with shipping.

I have no problem listing shipping costs as a separate charge. I advertise both ways, sometimes with a price shipped and sometimes with a price plus a certain amount for shipping. I have no real reason why I choose one over the other when composing an ad.
I have on a number of occasions had someone semi local reply to an ad with a price that included shipping and asked what would be the cost if they met me locally, so I don't think advertising them that way has cost me sales.
I just don't like a laundry list of menial charges to have to try to add up to see what I'm going to have to pay for an animal. If you list a flat rate for shipping, then calculate in the cost of materials etc. If you want the 3% for paypal then add a few dollars to the price of the animal.

I suppose with me when it comes to the paypal fees I don't mind paying the extra to cover the fees, if it's part of the asking price, it's just when I see the "plus 3% for paypal" in an ad it just bugs me to the point I will keep looking. It just comes across as petty.
Just a pet peeve I guess.

 

[Focal]

I made a mistake and gave in not too long ago. I payed the fee after agreeing on paying the full, four digit price and received a snake that was a little under advertised weight, light scrapes down the back and a raw nose. Luckily, I knew all this would shed out and it did, but the lesson learned is, if there is a red flag, act on it appropriately. I will never give into that beast again.

 

[BallsDeepPythons]

I agree with pretty much everything. When I open an ad for a snake that I am interested in, I want to see a price and either a flat shipping cost or a message that says email me for shipping cost. I have an idea, and can add $50-$65 in shipping, but if a snake is listed at $795 + $75 shipping, + 3% paypal fee I dont look any further. They should list it for sale for $890 shipped, or $825 plus shipping. It does make the seller seem greedy and un professional. Or maybethey are just way ahead of the curve, maybe Wal-Mart will start charging their 3% per card swipe fee they pay to the banks to the customer. Maybe I should be quite before someone at Wal-mart sees this and thinks it is a great idea

 

[Clay Davenport]

Or maybethey are just way ahead of the curve, maybe Wal-Mart will start charging their 3% per card swipe fee they pay to the banks to the customer. Maybe I should be quite before someone at Wal-mart sees this and thinks it is a great idea

You don't have to worry about that happening. It's against the rules the charge card companies hold the merchants to, to charge a specific fee for using a credit card would risk their losing their merchant account.
Ten states actually prohibit those charges by law, your state of Oklahoma is one of them.

That being said, you can be sure you are paying the fees anyway as it is factored into the price of the item. It's just that everyone pays it, including those who pay in cash so it isn't a violation of the rules of the account.

Paypal also has the same policy and has the option of terminating a sellers account if they so choose after being notified of them adding that fee.
I think the main reason so many people charge the fee is paypal just doesn't know they're doing it.