Paypal fee

[DeanB]

Ive noticed a few people adding a 5 percent pp fee when buyer uses goods and services, as far as I know the fee is still 3.5 percent or less unless Ive missed a increase.. Ive ignored several possible purchases on classifieds for this reason. If your going to make money make it on your item not over charging for a fee that already has a set price.

 

[SilentSquirrel]

When I buy from a seller asking for a percentage increase for PayPal Goods & Services, I offer to pay the actual fees myself .
Every seller has said OK
I ask this also of sellers wanting Friends & Family payment.
They generally agree also.

IMO
For the most part sellers asking for a higher percentage than the actual fees are not necessarily dishonest
Just arithmetic challenged

Edward

 

[dat13]

I've seen that too, and it really bothers me. As far as I'm aware, the PayPal fee is still around 3.5%, so charging 5% seems unreasonable. It's frustrating when sellers try to make extra profit by overcharging on fees. I agree, if you're going to make money, it should be on the item itself, not by inflating the fees....

 

[uladz]

Actually, PayPal goods and service payment fee is 2.99% to be precise. To add the correct amount to cover fees do (payment / 0.97). But most people do (payment + payment * 0.03), which will not cover fees. People ask to add 3.5% because if you just add 3% to the payment amount it will come out as a lesser amount at the end for the seller since 3% is taken from the total amount of (payment + 3%). Example:

100 / 0.97 = $103.093	$103.093 - 3% = $100
100 + 100 * 0.03 = $103.00	$100.00 - 3% = $99.91

Bottom line, asking 3.5% is okay as it "fixes" incorrect math used by most buyers, and it is simpler than explaining how to correctly cover the fees. Asking for 5% is unreasonable and sounds like "hidden fee" to me. Okay, end of the math class for today .

 

[rc4fun]

So why would anyone dealing with airguns have anything to do with PP? They offer no protection for a private seller.

 

[ctshooter]

So why would anyone dealing with airguns have anything to do with PP? They offer no protection for a private seller.

Point I’ve tried to make several times. If you’d be willing to send a USPS Money Order why not use PayPal F&F.

Also - consider if the Us gov ever does implement the $600 limit you’ll be getting a 1099 from PayPal at the end of the year and have to pay taxes on it. Say bye bye to 25% of your sale price to the feds - on a used item - which is being sold tag sale style.

Want me to ever accept PayPal purchase option - add 25% to the cost to cover the taxes I’m going to pay. Ain’t never gonna happen. And imagine that, I’ve got hundreds of happy buyers.

 

[uladz]

Never got 1099 for over $600 H&M’s payments and f&f is not included in taxed income . But I hear you. The main selling point of PP is quick exchange of funds, not waiting a week for MO payment to be delivered and cashed. In theory it suppose to provide both sides protection. But this was discussed many times already on AGN - to PP or to do not PP. For the seller the best is PP F&F, for the buyer the best is PP G&S (bust cover fees, see above). I’m personally totally ok with MO is buying from a trusted member of this forum, never in a hurry . With new members with 0 feedback - only PP G&S.

 

[rc4fun]

You want fast and no questions? Then Zelle or $Cash App. A Debit card and you can sign up in 2 minutes. No buyer protection, but neither does PP, YEP even G&S you can loose when buying or selling anything 'gun' related.

 

[rc4fun]

Some states already have the 600 limit on PP...

 

[Chief Ten-Beers]

Somehow giving out My Debit Card would not be something that I would want to do? I keep a Small limit Credit card just in case it gets an unauthorised use,

 

[CR9Life]

PP has never followed been great in my experience when purchasing goods directly. Never used F&F but may as well, just gonna do my best to verify seller

 

[SilentSquirrel]

Some states already have the 600 limit on PP...

PayPal ( and all other payment services) are required by law to issue a 1099 form to anyone who has more than $600 in sales.
This is a federal law and has to do with the tax code that are lovely representatives devised
That said, however, the ruling that one must pay tax on there. Sales has yet to be enforced.

 

[Firewalker]

I have a business account and cannot accept F&F payments. The 3.5 fee is as near to the actual fee once PayPal is done with all its math on a purchase.