Sorry if there are already threads discussing this, but I got notified by eBay today that they have changed the way they are handling transactions and I needed to update my information.
So…
12.35% total fees, and it is all taken out immediately when a sale happens PLUS $.30?
So, the 12.35% is a little bit better than the old system if I remember correctly… Wasn’t it 10% for eBay and 2.75% or something for PayPal? Not a big deal, but that flat additional $.30 definitely impacts selling cheap singles.
If I understand this new system correctly, a $2 card sale would look like this:
$2 sale - 12.35% cut = $1.75. minus the additional $.30 flat fee = $1.45 minus $.55 for a stamp = $.90.
So a $2 card is now netting you 90 cents before any of your costs such as penny sleeves, hard sleeves, the letter to send it in, etc.
I know, I know, selling cheap singles on eBay has always kind of sucked, but for those sellers that play the numbers game and pump out cheap singles to make an extra buck as opposed to selling them in bulk, 30 extra cents on a $2 sale is an extra 15% worth of fees BEFORE any other expenses or fees are applied. Not only that, but you don’t have those funds instantly hit your paypal account. You now have to wait a couple business days before eBay processes them and they are deposited into your account.
Am I missing something here or am I understanding this stuff correctly?
Good to know. You are correct, I had no idea paypal charged a flat $.30 before as well.
I am guessing you got notified the same as I did basically requiring you to change over to the new system?
From the info I have gathered so far, eBay is just telling sellers to change over at a random times and there isn’t really a choice in the matter.
“If you receive a notification, you will need to register by the communicated deadline. This will ensure your business does not experience any disruptions after the deadline has passed.”
Just kind of weird, but I am glad this change shouldn’t affect much (for now anyway).
The best part is you don’t get ripped off on refunds with managed payments like you did with PayPal. Managed payments doesn’t charge that 2.9 percent fee (or whatever it was) when you have to refund someone.
I like managed payments better for that reason alone.
In general, I’ve preferred the Managed Payments system. It’s nice to know that I won’t be hit with a nonrefundable 2.9% PayPal fee when a buyer cancels a purchase after paying. This only happened to me twice, but both times it was like $20-30 each, due to no fault of my own.
