PayPal sent as gift

larry732 said:

Almost every thread reads PayPal fees paid by buyer or send as gift. The buyer has no protection paying as gift and an open target for scammers. In the past the seller would include the the fees in his price, also the cost of shipping and there were no problems period.

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Everything is selling for so little now that people are hurting over $3 fees out of $100.

I usually factor it into the price

Just include the fees in your sale...shipping too. To do otherwise is nitty.

larry732 said:

Almost every thread reads PayPal fees paid by buyer or send as gift. The buyer has no protection paying as gift and an open target for scammers. In the past the seller would include the the fees in his price, also the cost of shipping and there were no problems period.

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I would never do it as a gift as you have absolutely no protection.

They are doing one of 2 things....

1.) Being shady and just trying to get another 4% or so out of you.
2.) Low balling the price so they can then implement #1.

If you are selling something, then put ALL the cost into your price and stop with the below the line BS fees.

I never send as gift.
Just add the a little more than actual Paypal fees and go.

Best to include fees in the price. It is the simple cost of doing business. When you go to McDonald's and order a big mac everything is included. You don't order then pay extra for the cost of heating the grill.


I won't do gift for a purchase because I have a business with a substantial Paypal revenue stream. I have a separate Paypal for personal use but both are associated with my name and identifying information.

If I did use the gift option for a purchase and it were ever questioned I would be biting the hand that feeds me. Paypal could easily shut me off for fraud. Why would I risk shutting down my relationship with my business partner?


For me it has little to do with whether or not I trust the seller.

Paypal helped me build my business. There is an old saying: "You don't sh*t where you eat."


Talking about cue prices and the market hurting, regarding Paypal fees there is another old saying that might apply: "Stepping over dollars to pick up dimes."

Think about it.






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Never do paypal as a gift with a stranger... especially one in the pool world...

SLIM said:

Whatever fees & shipping is extra.
What, if any, other entity adds all of that up & calls it there selling price?


Slim

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Shipping varies typically because the shipping costs themselves vary according to where the buyer lives. Buy from a catalog and they will then calculate the shipping according to your address. Pay with a credit card and they have to pays fees. Do they add those fees to your price? Nope.

It has been this way for numerous decades.

Think Sears catalog. Then later think of numerous online stores. Do they pay fees when you use a credit card or Paypal? Yup. Do they add that to the price after the sale? Nope. It's in the cost of the item or service.

Most of the revenue for my business comes through Paypal. My clients usually use a credit card or debit card, not a Paypal account. Do I charge my clients extra because I pay fees for the transactions? That would be ridiculous.


Out of site, out of mind. That's why you aren't realizing it. Do you pay extra for your light bill? Water bill? Car payment? Mortgage? Pizza delivery? Etc when you use a card or Paypal? Those entities are paying fees on your payment.


Common business practice is for the seller or service provider to pay those fees, not the other way around. Therefore it is included in the price the vast majority of the time. Those fees are part of the cost of doing business and should be in your book keeping and tax returns. Ooops....I just hit on it didn't I? LOL!


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Over the last couple of years, there have been a couple of threads involving a sale gone bad where Paypal as a gift was used / requested to be used by the seller. None of these turned out well. As mentioned earlier in this thread - don't risk using this method.

Do they add those fees to your price? Nope.

One Major Pool Retailer DOES charge you fee's for using Paypal, they don't upcharge for a Credit Card sale though. Brian.

SLIM said:

What, if any, other entity adds all of that up & calls it there selling price?
None that i can think of.


Slim

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um...eBay?

On ebay you pay ebay fees, paypal fees if the buyer paid through ebay and if you offer free shipping you cover that cost as well.

If an auction ends on ebay, you can't tell the buyer, now you must pay the final value fee and paypal fee if that is your source of payment, on top of the cost

All of the fees need to be figured into the final price. The only exemption i can see is the shipping cost. Their can be quite a substantial difference between sending an item in state, or east coast to west coast.

I have purchased two cues using paypal. The first one the seller wanted to be paid as a gift and I stated I was uncomfortable without buyer protection and it was worked out. The second I purchased this morning actually from ideologist. He had everything factored into the price and I appreciated it. Simple transaction.

a1712 said:

Do they add those fees to your price? Nope.

One Major Pool Retailer DOES charge you fee's for using Paypal, they don't upcharge for a Credit Card sale though. Brian.

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OK. One example. What retailer is that? Just curious.

Interesting that they don't add the credit card fees, because they obviously pay them.

The more Paypal transactions you do the lower your fees by the way. In my business my fees are very low. In fact, lower than any credit card service provider will offer!

Even when I started my commercial account with Paypal the fees were lower than with any credit card service provider...from day one.

I also get a very high level of excellent service from Paypal. As I said, they helped me build a successful business.

But I do have a significant revenue stream and a commercial account. Obviously selling or buying a thing or two here or there is different. The fees are higher. But they aren't actually very much. That's why I quoted the old saying "Stepping over dollars to pick up dimes."

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Chopdoc said:

Shipping varies typically because the shipping costs themselves vary according to where the buyer lives. Buy from a catalog and they will then calculate the shipping according to your address. Pay with a credit card and they have to pays fees. Do they add those fees to your price? Nope.

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Of course they do. They add them to everybody's price. Companies that do all their business via the 'net etc. just include that cost in all their prices. You don't think it comes out of PROFIT do you?

Most of the revenue for my business comes through Paypal. My clients usually use a credit card or debit card, not a Paypal account. Do I charge my clients extra because I pay fees for the transactions? That would be ridiculous.

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Right, what happens when only 10% of your business is credit card? If you don't charge more to those customers, you lose your cash customers because your prices are 3% higher than the guy who only takes cash. This is why gas stations often have a cash price.

Thank you kindly.

Corwyn_8 said:

Of course they do. They add them to everybody's price. Companies that do all their business via the 'net etc. just include that cost in all their prices. You don't think it comes out of PROFIT do you?

Right, what happens when only 10% of your business is credit card? If you don't charge more to those customers, you lose your cash customers because your prices are 3% higher than the guy who only takes cash. This is why gas stations often have a cash price.

Thank you kindly.

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Not sure what you are getting at actually.

I do mean to say it is in the price. I didn't mean to imply otherwise. You could see it as taking away from the profit margin. It is part of the cost of the product.

I charge an hourly rate for services. That hourly rate is the same regardless of how people pay.

Most pay through Paypal. They may use Paypal or any debit or credit card. A few pay by cash or check.

In any case, my rates are the same.

Not all gas stations charge more for certain payment methods. In fact, many don't do that.

I don't lose customers based on payment methods. I actually provide a high level of service with the greatest flexibility in payment methods possible.

Pay me how you like. My price is my price.

But with me, they can't just go down the street to a competitor and get what I sell either. LOL! There are no more than five people in the world who do what I do at the level that I do it, I can name them. There are numerous "bottom feeders" in my field, but I don't worry about them.

As for cues, I don't pay by the gift option and I don't ask for it.

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I recently sold a cue in a FB group and gave the buyer the option to add 4% to cover PayPal fees if they wanted Buyer Protection, or they could pay as friend/family/gift with the understanding that they have no Buyer Protection and that I didn't recommend it. They chose to save the 4% anyway. Fortunately for them I'm an honest seller and the transaction went well, but they didn't know that up front. Some people will rather take the chance than spend an extra $16 (in this case).

Veteran68 said:

I recently sold a cue in a FB group and gave the buyer the option to add 4% to cover PayPal fees if they wanted Buyer Protection, or they could pay as friend/family/gift with the understanding that they have no Buyer Protection and that I didn't recommend it. They chose to save the 4% anyway. Fortunately for them I'm an honest seller and the transaction went well, but they didn't know that up front. Some people will rather take the chance than spend an extra $16 (in this case).

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I guess you can consider it, in part, an insurance fee. And that insurance in fact helps protect both parties, not just the buyer.


Would you ship a cue uninsured? (Rhetorical)


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I generally will add a little extra to a Pay Pal Payment to cover the % that the Seller is on the hook for, and another $5 or so to cover a gallon of gas to take it to the Post Office.

If $15 is going to break a person either way, then maybe shouldn't be buying things at that point.

That way, everyone is happy, and I'm covered.

I agree with the poster from above; you are not buying a new car nor real estate so I think worrying about a 3%-4% surcharge is in fact VERY NITTY.

Chop Doc - not trying to get in your business but am curious just for myself, so you are saying you have been able to get sub 1.5% with Pay Pal?

Also it's been a few years since I had " a machine " but it used to be illegal to charge more for CC transactions , the way around that of course was a discount was offered for " cash " transactions. Is this still the case now a days ?