PayPal Auctions FuturePlan

[V117collector]

I’m sure there’s a variety of ways to pay for Auction house winnings, but personally I’d prefer using PayPal for payment for all the obvious reasons, convenience.

As a Canadian collector using PayPal would be my first instinct instead of going to the bank asking for a U.S. money order plus exchange. The whole process could take up to 2 hours which could be avoided by a simple PayPal transfer.

Are the any Auction houses out there that accept PayPal for payment, if not why not?
Basically if I want the card I’ll buy the card regardless how inconvenient. I know I’d win more items in Auction houses if PayPal was promoted (impulse buying).

[D. Bergin]

Same reason most auction houses don't accept credit cards. They work on increasingly competitive consignment rates and buyers premiums. If an auction house is making 15% on an item and they accept Paypal they are immediately giving away about 20% of their cut, more if they are accepting an International transaction. They can cut that down with bulk transactions but they are still giving money away they think they don't have to.

They are also burdening themselves with more risk accepting credit cards. They can make 15% on an item but lose 100% of the cost of an item 2 months down the line if somebody decides to do a chargeback. If anything we've learned from years of experience on Ebay is that Paypal never fights chargebacks no matter what the reason............especially from the dreaded "item not as described".

It's not a coincidence Heritage has one of the highest buyers premiums in the business and also accept credit cards.

[V117collector]

Originally Posted by D. Bergin

Same reason most auction houses don't accept credit cards. They work on increasingly competitive consignment rates and buyers premiums. If an auction house is making 15% on an item and they accept Paypal they are immediately giving away about 20% of their cut, more if they are accepting an International transaction. They can cut that down with bulk transactions but they are still giving money away they think they don't have to.

They are also burdening themselves with more risk accepting credit cards. They can make 15% on an item but lose 100% of the cost of an item 2 months down the line if somebody decides to do a chargeback. If anything we've learned from years of experience on Ebay is that Paypal never fights chargebacks no matter what the reason............especially from the dreaded "item not as described".

It's not a coincidence Heritage has one of the highest buyers premiums in the business and also accept credit cards.

Thanks for your reply! I love to learn how things work.. Yes, it makes sense!