Does $1 Equal $50 Dollars?

[pf9000]

If an auction begins with $1 and sells for $1 plus $25 shipping, and the buyer initiates a return. Does that cost the seller $50 Dollars?

[toysaver]

A seller's return shipping responsibility depends on if you offer free returns or the reason for the return.  

[nobody*s_perfect]

If the buyer files a claim for item not as described, then the seller pays for postage both ways.  If the buyer is returning the item for some other reason, then it depends on how the seller has set up their return policy.

[pf9000]

I don't think that's fair to the seller when the product matches the description and the pictures. A dishonest buyer has an avenue from which to get free merchandise merely by initiating a return, knowing full well that it is not worth it for a seller to pay $50 for an item which sold for $1 dollar.

[dgl91709]

...........i would let the buyer keep the item as the shipping fees are more than 1.00..........right

[farmalljr]

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@pf9000 wrote:

I don't think that's fair to the seller when the product matches the description and the pictures. A dishonest buyer has an avenue from which to get free merchandise merely by initiating a return, knowing full well that it is not worth it for a seller to pay $50 for an item which sold for $1 dollar.

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In an INAD case or one where the buyer gets a "free" return, do you want to lose $26 or $51? You choose. No one can force you to give the buyer a return label, but you may be forced to give a refund. 

[stainlessenginecovers]

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@pf9000 wrote:

I don't think that's fair to the seller when the product matches the description and the pictures. A dishonest buyer has an avenue from which to get free merchandise merely by initiating a return, knowing full well that it is not worth it for a seller to pay $50 for an item which sold for $1 dollar.

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1.) Fair doesn't have anything to do with business.

2.) Fees are straight forward and so are the return rules. Since you are the seller and only YOU state the item 'matched the description'; there is no proof of that so what you 'say' doesn't mean a thing. 

3.) You would have paid almost $4 in fees to eBay to sell that $1 item, so would already have been a $3 loss. Therefore, you should not sell ANYTHING for $1 regardless of shipping cost. 

In fact, anything that 'sells' for $1 will cost the seller more in fees that the sale.

[pf9000]

Should not sell ANYTHING for $1 regardless of shipping cost, however the greater the distance, and the greater the weight, and size of box, the greater the risk. The $1 starting bid is what made Ebay great. To just flat out declare that we are not going to do that anymore, takes away a certain measure of fun we used to experience from the auction.

[pf9000]

I do not want to risk $50 over a $1 dollar sale. As one of the posts mentioned, it's more than that, because there are fee's involved. I have been to a few real auctions. And in a real auction, once you win, you cannot return it. The way things are right now, the return privileges are too liberal. It opens the door to abuse from a dishonest buyer.

[nobody*s_perfect]

The post that talked about fees was pointing out that you'll lose money even if the buyer doesn't file a return.  If you refund the buyer, you will get a credit for the final value fees that you were charged when the buyer paid for the item.

If the buyer files a "not as described" claim, you would have to return the buyer's original payment of $26, plus you would have already paid for the original shipping label.   As others have said, it doesn't make sense to sell items for $1.  And it rarely makes any  sense to sell items with a value that is lower than their shipping cost.

[soh.maryl]

If you sold an item for $1 plus $25 shipping (?) the buyer would have paid you that amount plus the state sales tax, if any.

If the buyer opens an item not as described case, then you, the seller, will be required to send him a prepaid return shipping label (for $25 if that was the shipping price) and then, when you receive the item back, you will be required to refund him the total amount he paid you.

So, yes, I guess, at a stretch, the $25 shipping becomes $50plus the item price of $1 etc.

Why do you ask?  

[sextons-sweet-deals]

The O.P. has been here long enough to know better! That $1 listing fee game and $20 - $40+ in shipping is old eBay days and I thought eBay had already addressed this issue. 

If you want to sell that way, expect to be burned big time from buyers. List at a starting competitive price and actual shipping cost based on weight, dims, packing materials. 

It's almost like you're asking for fraud advise here. Not cool!

[mtgraves7984]

Does $1 Equal $50 Dollars?

@pf9000 

Not at my place.

[nobody*s_perfect]

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@soh.maryl wrote: ... If the buyer opens an item not as described case, then you, the seller, will be required to send him a prepaid return shipping label ..

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No, the seller is not required to provide a return shipping label. The seller can choose to refund without requiring a return, which is the best choice  when the item is too damaged to re-sell or when the shipping cost is greater than the item's resale value, as in this case.

[pf9000]

That's one of the issues pertaining to far away buyers. The shipping cost(s) can get higher and higher based upon distance. I would like to exclude certain types of sales based upon distance in order to reduce the risk of being cheated by a dishonest buyer, who knows it's not going to be worth it for the seller to pay return shipping.