Will sellers continue to sell on Ebay under the new EBAY MANAGED PAYMENTS??

[D. Bergin]

Originally Posted by AddieJoss

It’s less in fees for all sellers. There is no scenario where the fees will go up unless you have a special deal with PayPal. And buyers have more options to buy.
Currently PayPal charges fees on sales tax too.
This is not a bad change. The fees aren’t higher. Besides it’s different/new I can’t see the downside.
Cory Weiser

Paypal took 2.9% of the Sales Tax collected. Ebay will now be taking 11.5% of the Sales Tax collected if you have a store.

12.35% if you don't have a store.

[hcv123]

Originally Posted by D. Bergin

Paypal took 2.9% of the Sales Tax collected. Ebay will now be taking 11.5% of the Sales Tax collected if you have a store.

12.35% if you don't have a store.

Sales tax is "collected" for the benefit of the taxing authority, not "charged" like a fee. Where did you see that they were going to do this?

[D. Bergin]

Originally Posted by hcv123

Sales tax is "collected" for the benefit of the taxing authority, not "charged" like a fee. Where did you see that they were going to do this?

Ebay will be "collecting" the sales tax for you, and then charging an 11.5% vig for the privilege of doing that for you.

Paypal charges 2.9% for the processing fee of collecting the Sales Tax right now.

Ebay has figured out a way to wrap the sales tax into the "Total Sale" (Price of item, Price of shipping, Price of Sales Tax), called it "simplifying the process", and charging a flat fee for everything, all inclusive.

It was bad enough when Ebay started charging us a final value fee on the shipping, when Paypal was the one doing the actual payment processing.

This is just an insult, and I doubt there's any other E-Commerce platform that figured out how to make such a windfall on Sales Tax, since the Supreme Court ruled on expanding on-line Sales Tax collection.

[D. Bergin]

Anybody in managed payments know what Ebay's transactional fee is for receiving International Payments. I know Paypal's is 4.4%.

Ebay seems to not want to tell you, until you are actually in the program, so I can't find anything online.

I have quite a few overseas customers, even with the Postal Rates skyrocketing the last few years.

[thecatspajamas]

Originally Posted by D. Bergin

Anybody in managed payments know what Ebay's transactional fee is for receiving International Payments. I know Paypal's is 4.4%.

Ebay seems to not want to tell you, until you are actually in the program, so I can't find anything online.

I have quite a few overseas customers, even with the Postal Rates skyrocketing the last few years.

Dave, the links I posted above with the fee structures taking effect in July indicate there is an international fee of 1.65% assessed (on top of the 11.5% or 12.35% fee) if the buyer's registered address is outside of the U.S. It does not appear to matter if the delivery address is domestic (i.e. if they are using a re-shipper or having delivered to a friend), as it is based on their registered address, not the delivery address. That would make this portion of the fee slightly higher than Paypal's 1.5% international fee tacked onto the base rate, though if you're seeing a slight benefit under Managed Payments otherwise, the slight 0.15% increase may be offset.

Related to this, there is a "currency conversion charge" which, upon re-reading that portion, would appear to apply only "when you list on an eBay site with a listing currency different to your payout currency." I had previously thought this applied when the buyer funded their purchase with a different currency than you used, but in re-reading it, this would appear to only apply where, for instance, me being based in the United States, if I were to list on the eBay UK site and make a sale, eBay Managed Payments would charge me a fee to convert those British Pounds to U.S. Dollars for my payout. The currency conversion charge would not appear to apply if a buyer in the UK logged onto the U.S. eBay.com site and made a purchase. I would keep an eye on this once the new fees go into effect though, as it would not surprise me if eBay showed U.S. sellers' listings to users logged into international eBay sites (without them actively seeking to list on those sites), and wound up charging the currency conversion percentage to the U.S. seller on the back-end. If they do charge it, the "currency conversion charge" is stated as being "3% applied on a base exchange rate. The base exchange rate is based on rates within the wholesale currency markets on the conversion day or the prior business day."

[D. Bergin]

Originally Posted by thecatspajamas

Dave, the links I posted above with the fee structures taking effect in July indicate there is an international fee of 1.65% assessed (on top of the 11.5% or 12.35% fee) if the buyer's registered address is outside of the U.S. It does not appear to matter if the delivery address is domestic (i.e. if they are using a re-shipper or having delivered to a friend), as it is based on their registered address, not the delivery address. That would make this portion of the fee slightly higher than Paypal's 1.5% international fee tacked onto the base rate, though if you're seeing a slight benefit under Managed Payments otherwise, the slight 0.15% increase may be offset.

Related to this, there is a "currency conversion charge" which, upon re-reading that portion, would appear to apply only "when you list on an eBay site with a listing currency different to your payout currency." I had previously thought this applied when the buyer funded their purchase with a different currency than you used, but in re-reading it, this would appear to only apply where, for instance, me being based in the United States, if I were to list on the eBay UK site and make a sale, eBay Managed Payments would charge me a fee to convert those British Pounds to U.S. Dollars for my payout. The currency conversion charge would not appear to apply if a buyer in the UK logged onto the U.S. eBay.com site and made a purchase. I would keep an eye on this once the new fees go into effect though, as it would not surprise me if eBay showed U.S. sellers' listings to users logged into international eBay sites (without them actively seeking to list on those sites), and wound up charging the currency conversion percentage to the U.S. seller on the back-end. If they do charge it, the "currency conversion charge" is stated as being "3% applied on a base exchange rate. The base exchange rate is based on rates within the wholesale currency markets on the conversion day or the prior business day."

Thanks Lance.

[AddieJoss]

Originally Posted by D. Bergin

Yup, it's a slight uptick.

Same with basic store owners. Right now I'm paying a 9.15% in final value fees (not 10%). Running those same numbers this transaction will cost me a little bit more then it used to.

Ebay has run their numbers. It's like a casino. In the end, it's always in their favor. Except Ebay doesn't stay settled on the same percentage skim, and then just work to increase their volume.

The percentages are always going up, from year to year to year, in some way shape or form.

That's not inflation.....that's just taking a bigger piece of the pie.

Can you post how a current store pays more in the new system? I’ve looked at this many ways to determine and it looks like a lower cost at every level.

[Exhibitman]

Shit, you're right, guys. The extra 0.85% adds $2.81 to a $330 sale. eBay's great magnificence ends up costing me more than current costs.

Fuckin' eBay...they have us over a barrel and they know it.