eBay

richard1rst · ‎01-07-2020

I had about 1500 sales his past year that were under $10.00 which I understand is the range for micro payments. I did a search on Paypal and it directed me to the Fee page but there was nothing there.

The problem with a $10.00 sale is that you are actually paying 5.9% in fees (ouch) based on 2.9% plus a flat 30 cents. Looking to reduce that if I can.

Any info out there?

"Laissez-faire capitalism (AKA The Great Material Continuum) is the only social system based on the recognition of individual rights and, therefore, the only system that bans force from social relationships." ~ Ayn Rand

southern*sweet*tea · ‎01-07-2020

@parrotbayfan wrote:
PP micro payments is (I think) 5% + .05 transaction fee and the break even point is around $12 item cost. But you have to call them to set it up.

^^THIS^^

You do save money on sales under $12, which is the break even. Back when I got mine I didn't have to call, but it's been many, many years and I don't see a way now to actually sign up online.

https://www.paypal.com/webapps/mpp/ua/useragreement-full?locale.x=en_US#micropayments-fees

"Micropayments fees

You may qualify to receive micropayments pricing for the sale of goods and services through your PayPal account, if your transactions typically average less than $10. In order to qualify, you must have a PayPal account that is in good standing (for example, no limitations or negative balance), you may not be processing payments using PayPal Payments Pro and you must submit an application and have it approved by us.

If your PayPal account is approved to accept micropayments, then the fees found on the Micropayment Fees table will apply to all transactions for the sale of goods or services processed through your PayPal account, instead of Standard Transaction Fees. If you have multiple PayPal accounts, you must route your micropayments transactions through the appropriate account. Once a transaction is processed, PayPal will not re-route the transaction through a different account."

The easier you are to offend the easier you are to control.

We seem to be getting closer and closer to a situation where nobody is responsible for what they did but we are all responsible for what somebody else did. - Thomas Sowell

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parrotbayfan · ‎01-07-2020

PP micro payments is (I think) 5% + .05 transaction fee and the break even point is around $12 item cost. But you have to call them to set it up.

eleanor*rigby · ‎01-07-2020

This would be a great question to post on PayPal's discussion forum also. Users over there may be able to help, too!

https://www.paypal-community.com/t5/PayPal-Community/ct-p/en

southern*sweet*tea · ‎01-07-2020

@parrotbayfan wrote:
PP micro payments is (I think) 5% + .05 transaction fee and the break even point is around $12 item cost. But you have to call them to set it up.

^^THIS^^

You do save money on sales under $12, which is the break even. Back when I got mine I didn't have to call, but it's been many, many years and I don't see a way now to actually sign up online.

https://www.paypal.com/webapps/mpp/ua/useragreement-full?locale.x=en_US#micropayments-fees

"Micropayments fees

You may qualify to receive micropayments pricing for the sale of goods and services through your PayPal account, if your transactions typically average less than $10. In order to qualify, you must have a PayPal account that is in good standing (for example, no limitations or negative balance), you may not be processing payments using PayPal Payments Pro and you must submit an application and have it approved by us.

If your PayPal account is approved to accept micropayments, then the fees found on the Micropayment Fees table will apply to all transactions for the sale of goods or services processed through your PayPal account, instead of Standard Transaction Fees. If you have multiple PayPal accounts, you must route your micropayments transactions through the appropriate account. Once a transaction is processed, PayPal will not re-route the transaction through a different account."

The easier you are to offend the easier you are to control.

We seem to be getting closer and closer to a situation where nobody is responsible for what they did but we are all responsible for what somebody else did. - Thomas Sowell

wastingtime101 · ‎01-07-2020

Make sure it's worth the savings for the effort involved to set it up and change your listings. The managed payments team sent an e-mail to us with some changes to the program and in that message they said most sellers will be enrolled in managed payments this year. It may still be worth a micro payments account as there's no way to know when you'll be enrolled in managed payments - next month or October - who knows? But it's still a separate account that requires more accounting work for your business management and taxes. The time involved may or may not be worth the short-term savings.

GLORIOUS!

richard1rst · ‎01-07-2020

This would be a great question to post on PayPal's discussion forum also. Users over there may be able to help, too!

Funny, for all the times I have been on my Paypal account page I never saw a reference to a community board. Thanks.

"Laissez-faire capitalism (AKA The Great Material Continuum) is the only social system based on the recognition of individual rights and, therefore, the only system that bans force from social relationships." ~ Ayn Rand

richard1rst · ‎01-07-2020

If your PayPal account is approved to accept micropayments, then the fees found on the Micropayment Fees table will apply to all transactions for the sale of goods or services processed through your PayPal account, instead of Standard Transaction Fees

Well, that pretty much kills it right there. If I have to pay the micro fee on ALL transactions then I will wind up paying more. I was obviously hoping it could be a separate level. Oh well thanks to all who posted.

"Laissez-faire capitalism (AKA The Great Material Continuum) is the only social system based on the recognition of individual rights and, therefore, the only system that bans force from social relationships." ~ Ayn Rand

wastingtime101 · ‎01-07-2020

You can make it work but you would need to create a second PayPal account just for micro payments. Then you use that second e-mail address only on your listings for lower cost items.

The catch is when buyers purchase multiples and it ends up costing more in payment fees for the transaction.

Like I said above though - it's more work and time to manage the accounting, and since everybody will be using managed payments soon enough it may not be worth the short term savings.

GLORIOUS!

parrotbayfan · ‎01-07-2020

@richard1rst wrote:
If your PayPal account is approved to accept micropayments, then the fees found on the Micropayment Fees table will apply to all transactions for the sale of goods or services processed through your PayPal account, instead of Standard Transaction Fees

Well, that pretty much kills it right there. If I have to pay the micro fee on ALL transactions then I will wind up paying more. I was obviously hoping it could be a separate level. Oh well thanks to all who posted.

No. The micro account is a separate PP account and that's the account you use as the 'payment address' on any listing for under $12. Anything higher you would still use your 'normal' PP account email.

But as someone else said, you can find yourself paying a higher fee than usual if a buyer buys multiples on listings you have set up for the micro payments account.