Opt out of managed payments, go back to only accepting PayPal

[ai85]

I hate managed payments and I want to go back to getting money for my sales via PayPal.

I am not a professional seller. I only need eBay to sell things I no longer need. Now, I have to enter my Social Security Number to verify my bank, which is absolutely ridiculous. Why would I give my SSN to a ecommerce website? To make matters worse the fees have actually gone UP! I just sold a pair of headphones for $65 and the fee collected was $8.33 or 12.8%, more expensive than it used to be. Why change something when there was nothing wrong in the first place? 

Is there a way to opt out of managed payments and only accept PayPal? 

[north40sales]

Interesting.....you keep railing on about how eBay does not handle the money at all.....and then viola, you now are saying that eBay handles the money.  

I wonder what eBay does with this money that they are in custody of until they pay the sales taxing entities what they are due.   States have various payment schedules and rates that range from Monthly, Quarterly, or Annual payments on the state, city, and county sales taxes.  

I would assume that they hold it in an escrow account until they have to disburse it....but if you were a business with millions of dollars held in escrow, you would find a way to invest without risking the principle to increase revenue.  Capitalism works that way.  

Again, I don't care either way...but you are free to keep on saying whatever you like on the subject. 

[eleanor*rigby]

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@north40sales wrote:

I have zero interest in reviewing the business filings of eBay...however I seriously doubt that they would be listed under a separate line item titled "interest from undistributed seller payouts"....I would think that revenue earned at that level would be lumped into one line "interest income" or "investment income"...but I am not a tax attorney.

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You've made accusations you not only cannot prove, but also refuse to prove or "have zero interest" in proving. That speaks volumes. Anyone can throw out just about any statements, whether true or false, and try to imply that they're true. Again, a lot of "I seriously doubt" and "I would think," but you provide absolutely no sources that would confirm your doubts or thoughts. IMO, that's irresponsible at best and intentionally misleading at worst.

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@north40sales wrote:

As I mentioned in a prior comment, I really don't care one way or the other.....I've just commented with my opinion on other's posts on the subject. 

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When claiming, quite adamantly, that eBay earns interest on undistributed seller payouts, opinions are inappropriate. You have to be able to prove it or there's no point in posting it. Your opinions about eBay's revenue stream are, frankly, not worth much. 

I do care about whether eBay earns interest on undistributed seller payouts. Interestingly enough, for someone who claims to not "care one way or the other," you seem to insist they do pretty vociferously, albeit uninterested or unwilling or unable to support it.

[mam98031]

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@north40sales wrote:

Interesting.....you keep railing on about how eBay does not handle the money at all.....and then viola, you now are saying that eBay handles the money.  

I wonder what eBay does with this money that they are in custody of until they pay the sales taxing entities what they are due.   States have various payment schedules and rates that range from Monthly, Quarterly, or Annual payments on the state, city, and county sales taxes.  

I would assume that they hold it in an escrow account until they have to disburse it....but if you were a business with millions of dollars held in escrow, you would find a way to invest without risking the principle to increase revenue.  Capitalism works that way.  

Again, I don't care either way...but you are free to keep on saying whatever you like on the subject. 

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Then you simply misunderstood my post or you are trying to twist what I said about sales tax to be more in line with what you have been saying.  Either way, I didn't say that Ebay handles the entire transaction payment anywhere in any post of mine.  But Ebay sure does handle the sales tax portion of a buyer's payment.

If Ebay earns money on money they are holding to remit to the various states, good for them.  I would hope they do.  Managing this program because most states have passed MFLs, cost Ebay real money to do.  So they should be compensated for that by the states and being able to earn interest on the money.  Ebay is providing a service to the states and therefore should be paid for that service.  Likely that Ebay pays monthly to states but it may be different, I don't know for sure.  It is usually smaller companies that do Quarterly and Annual.  For example because I'm a small fish, I report annually to my state.

IDK if it is an "escrow" account or not.  Nor do I care.

[north40sales]

well,  if you DO care...why not send eBay a letter inquiring and ask for a written response to alleviate your concerns? 

[north40sales]

You certainly have gone full circle on the issue in a fairly short timespan.  

Congratulations and have a great afternoon. 

[mam98031]

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@north40sales wrote:

well,  if you DO care...why not send eBay a letter inquiring and ask for a written response to alleviate your concerns? 

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I don't think that was the point.  They stated that they did some research and found nothing to support what you have been stating and invited you to do the same.  You declined.

[mam98031]

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@north40sales wrote:

You certainly have gone full circle on the issue in a fairly short timespan.  

Congratulations and have a great afternoon. 

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Nope.  

[north40sales]

They stated that they had closely gone over eBay's business filings and saw nothing labeled "interest earned from undistributed funds"...but declined to mention if they had seen anything there labeled "bank Interest" or Interest income"...   So if they want to elaborate on what they saw on the filing with any additional details, they are more than welcome.

Think for a moment though.   eBay's Managed Payments program was designed to replace PayPal.  eBay owned Paypal for 14 years, so they more than likely pulled a lot of the PayPal business model into Managed Payments because it clearly worked well.  

Part of PayPal's business model was how they earned interest on funds during the float.  According to PayPal,  funds that have not been disbursed are kept in commercial interest-bearing checking accounts.  It would be an easy assumption that eBay would follow this and other well established and successful practices that PayPal utilized. 

Yes,  this is all assumption on my part as its pretty standard Business 101 stuff.   And yes, I have zero interest in needing to know the ins and outs of how eBay handles the buyer's funds received from Adyen.  It works for eBay.  It works for buyers.  It works for sellers. 

[mam98031]

@north40sales 

Yet you still declined to do your own research to prove your point.  Ebay is a publicly held corporation, so their financials are public information.  Ebay has lots of accounting rules they are required to adhere to per the SEC and GAAP.

"Think for a moment though.   eBay's Managed Payments program was designed to replace PayPal.  eBay owned Paypal for 14 years, so they more than likely pulled a lot of the PayPal business model into Managed Payments because it clearly worked well."  Think for a moment, Yet MP doesn't function like PP which is where the majority of the complaints come from.  So your point is what?

"Part of PayPal's business model was how they earned interest on funds during the float.  According to PayPal,  funds that have not been disbursed are kept in commercial interest-bearing checking accounts.  It would be an easy assumption that eBay would follow this and other well established and successful practices that PayPal utilized. "  You are are a bit behind the times.  I think it was 2012, could be wrong on the year, PP was sued for earning interest on held funds.  I've stated this before to you.  PP LOST that lawsuit and are not prohibited from this practice or risk another lawsuit.  They also had to payout a good chunk of change for this practice, I don't remember how much, I'd have to do some research on that.  But this happened during the time in which Ebay owned PP, so I think it is a very good bet to say that Ebay is not eager to repeat this lawsuit and financial loss.

[north40sales]

PayPal lost a suit brought against them regarding frozen and closed accounts.....but I see nothing specifically about being sued for earning interest on holding funds pending disbursement in commercial interest bearing accounts.   All the other litigation brought seems associated with frozen accounts and inappropriate reserves on balances.  

https://www.painlessprocessing.com/a-history-of-paypal-lawsuit-settlements/

If you would like to provide additional details on the lawsuit where you are saying PayPal was sued for earning interest on funds, that would be great.   Maybe a link to the case summary on that lawsuit? 

[eleanor*rigby]

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@north40sales wrote:

well,  if you DO care...why not send eBay a letter inquiring and ask for a written response to alleviate your concerns? 

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Good grief. I've read eBay's statements, posted on their website, and the posts from eBay staff concerning whether the company earns interest on undistributed sellers payouts.  I've also, unlike you, been willing to review their 10-K filings. That's enough proof for me.

Why would you continue to do business with a company you think lies about this issue? If you think they're lying, you should sent them a letter. 

[north40sales]

As I've said NUMEROUS times already.....I DON'T CARE either way whether eBay earns interest on undistributed payouts to sellers.   

However, you certainly take a different approach than mam98031 in that you are saying eBay disburses funds to the seller while mam98031 says that Adyen handles that and eBay has no contact with the actual buyer's funds.

I have not read any of eBay's statements on the subject.....because it is of no interest to me. 

I have no need to review their tax and income statements like you did...because it is really not that interesting to me.   (Did you ever find a line showing interest income or investment income?)

I do business with eBay because the venue is still viable.   Yes, I've shifted a lot of items elsewhere for various reasons, but I'll continue to do business with eBay until it becomes unprofitable to do so.  

I've never said eBay was lying about anything and I have no need to send them a letter. 

[eleanor*rigby]

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@north40sales wrote:

They stated that they had closely gone over eBay's business filings and saw nothing labeled "interest earned from undistributed funds"...but declined to mention if they had seen anything there labeled "bank Interest" or Interest income"...   So if they want to elaborate on what they saw on the filing with any additional details, they are more than welcome.

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That is NOT what I said. Don't misquote me to other posters.

Here's what I said:

"I scoured them pretty thoroughly and didn't see any mention of that revenue or any figures that would imply they were earning interest on undistributed seller payouts."

And you replied:

"I seriously doubt that they would be listed under a separate line item titled "interest from undistributed seller payouts"....I would think that revenue earned at that level would be lumped into one line "interest income" or "investment income"...but I am not a tax attorney."

Now, you've gone on to post more unproven, unsubstantiated, rumor-like assumptions:

"It would be an easy assumption that eBay would follow this and other well established and successful practices that PayPal utilized. 

"Yes,  this is all assumption on my part as its pretty standard Business 101 stuff."

For a person who has "zero interest in needing to know the ins and outs of how eBay handles the buyer's [sic] funds, you seem to have no reservation in posting your unproven assumptions.

[north40sales]

Same way you elected to post a carefully worded post and reply about your "scoured them pretty thoroughly" review of ebay's eBay business filings and yet found nothing about interest or investment income....

If you want to shill for eBay...that's cool. 

Have a nice day.   

[mam98031]

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@north40sales wrote:

Same way you elected to post a carefully worded post and reply about your "scoured them pretty thoroughly" review of ebay's eBay business filings and yet found nothing about interest or investment income....

If you want to shill for eBay...that's cool. 

Have a nice day.   

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LOL, so if someone disagrees with your self declared "assumptions", they are a "shill"!