eBay

teacrumpets · ‎06-12-2018

Why would I have to pay final value fees based on the BIN price and not based on the actual sale price and shipping? If I list something as auction style for a starting price of $10, and have a BIN price of $30, and it sells for $12.00, why do I have to pay $3 final value fee rather than $1.20. Another thread stated it was on the actual sale price and not BIN, but here is what eBay's help pages says:

Auction-style listing format: The total amount of the sale is the auction start price, the Buy It Now price (if applicable), the reserve price (if applicable), or the price identified between the buyer and seller, whichever is highest.

That seems unfair, especially if their is a significan't difference between the starting price and the BIN. For instance, you list a camera with a starting price of $25 to keep insertion fees lower. You have had more than the allotted free insertions for the month. The BIN price is $350. Insertion fees are much lower, however if the camera only sells for $125, then the final value fee should be $12.50, but according to the help pages statement above, the higher amount is BIN and the final value fee would be $35 as if you sold it for that price!!

Please help me to understand.

Thanks.

Anonymous · ‎06-13-2018

@teacrumpets wrote:

Why would I have to pay final value fees based on the BIN price and not based on the actual sale price and shipping? If I list something as auction style for a starting price of $10, and have a BIN price of $30, and it sells for $12.00, why do I have to pay $3 final value fee rather than $1.20. Another thread stated it was on the actual sale price and not BIN, but here is what eBay's help pages says:

Auction-style listing format: The total amount of the sale is the auction start price, the Buy It Now price (if applicable), the reserve price (if applicable), or the price identified between the buyer and seller, whichever is highest.

That seems unfair, especially if their is a significan't difference between the starting price and the BIN. For instance, you list a camera with a starting price of $25 to keep insertion fees lower. You have had more than the allotted free insertions for the month. The BIN price is $350. Insertion fees are much lower, however if the camera only sells for $125, then the final value fee should be $12.50, but according to the help pages statement above, the higher amount is BIN and the final value fee would be $35 as if you sold it for that price!!

Please help me to understand.

Thanks.

Hi @teacrumpets, happy to clear this up! It looks like the portion you are quoting is related to the fees we assess if we believe you have taken a transaction off eBay. If you look to the previous paragraph, you will find additional context:

If you offer or reference your contact information or ask a buyer for their contact information in the context of buying or selling outside of eBay, we charge you a final value fee based on the total amount of the sale even if your item doesn't sell. In this situation, the total amount of the sale is determined as follows:

Auction-style listing format: The total amount of the sale is the auction start price, the Buy It Now price (if applicable), the reserve price (if applicable), or the price identified between the buyer and seller, whichever is highest.
Fixed price listing format: The total amount of the sale is the fixed price or the price identified between the buyer and seller, whichever is higher.

Earlier in the Help Page on selling fees we state the following:

Final value fees are calculated as a percentage of the total amount the buyer pays, including shipping and handling. Sales tax isn't included.

To reiterate, I want to confirm the Final Value Fee assessed is based on the final selling price (item price + shipping) and the stipulations for charging a fee based on the highest of the auction start price, Buy It Now Price, reserve price or price identified between the buyer and seller is only for situations where there are indications that a transaction was completed off eBay and wouldn't apply to a purchase appropriately made through eBay checkout.

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dasm-2785 · ‎06-12-2018

That is badly worded.

What they meant to say was if it sells at the BIN price then you will be charged fvf for the BIN, it would sell the auction price you will be charged fvf for whatever the auction sells at

nobody*s_perfect · ‎06-12-2018

Indeed, that whole paragraph is so terrible it shoudl just be thrown out.

The final value fee is based on the actual selling price. Which is either (1) the Buy It Now price (if that option is selected by the buyer); (2) the ending auction bid price. Or (3) if the auction has the new-ish "Make offer" option, then it's the amount of the accepted offer.

The final value fee has nothing to do with the reserve price, other than that's the minimum selling price on an auction that has a reserve.

retrose1 · ‎06-12-2018

@dasm-2785 wrote:
That is badly worded.

What they meant to say was if it sells at the BIN price then you will be charged fvf for the BIN, it would sell the auction price you will be charged fvf for whatever the auction sells at

This is ebay......Are you sure?

(*Bleep*)

nobody*s_perfect · ‎06-12-2018

@teacrumpets wrote:
... For instance, you list a camera with a starting price of $25 to keep insertion fees lower. ....

Insertion fees are not related to the opening bid amount. If you don't have a Store subscription, and if you don't have a free insertion available, then the insertion fee is 35 cents regardless of the price.

Sellers should always start the bidding at a price they'd be willing to sell for (unless they decide to throw money away on a Reserve).

In the example you gave, the final value fee would be $1.20, not $3.

pargran3 · ‎06-12-2018

Does the OP know the FVF is based on ending price PLUS shipping?

Radine

pargran3 · ‎06-12-2018

It just looks like this is a what if thread. You are charged a FVF based on the final price plus shipping (not relevant with free shipping). That is it.

To be charged on the buy it now price someone would have to buy it now.

Radine

thatsallfolks · ‎06-12-2018

@teacrumpets wrote:
For instance, you list a camera with a starting price of $25 to keep insertion fees lower.

Insertion fee hasn't been based on the starting price for more than 10 years. The insertion fee is a fixed amount.

teacrumpets · ‎06-12-2018

It's not a what if thread. I am the OP, and I gave the directly quoted paragraph from eBay's final value fees help pages. The wording is confusing and that is why I asked for clarification.

teacrumpets · ‎06-12-2018

also in response to nobodys_perfect's reply.

Is there a way to confirm this directly with eBay?

Or is it confirmed by the recent experiences in the past year by everyone? (Which is possible, I haven't sold a lot in years, and only recently started selling again a few things here and there. eBay had changed a lot from the last time I was really active, as well as the fees for private sellers.)

I guess it will be confimed with the auction I'm about to list for a frivilous item of moisturizer that I will place a BIN price on. I asked this question so that I could decide if placing a BIN price would hurt my final profit.

Thanks to EVERYONE for taking the time to answer so quickly!

teacrumpets · ‎06-12-2018

Yes! I did know about the fee on the shipping amount too, but really good of you to add that to the discussion for readers who might not know that!!

dhbookds · ‎06-12-2018

@Anonymous

you might send that paragraph for revision to make it more clear............

Anonymous · ‎06-13-2018

@teacrumpets wrote:

Why would I have to pay final value fees based on the BIN price and not based on the actual sale price and shipping? If I list something as auction style for a starting price of $10, and have a BIN price of $30, and it sells for $12.00, why do I have to pay $3 final value fee rather than $1.20. Another thread stated it was on the actual sale price and not BIN, but here is what eBay's help pages says:

Auction-style listing format: The total amount of the sale is the auction start price, the Buy It Now price (if applicable), the reserve price (if applicable), or the price identified between the buyer and seller, whichever is highest.

That seems unfair, especially if their is a significan't difference between the starting price and the BIN. For instance, you list a camera with a starting price of $25 to keep insertion fees lower. You have had more than the allotted free insertions for the month. The BIN price is $350. Insertion fees are much lower, however if the camera only sells for $125, then the final value fee should be $12.50, but according to the help pages statement above, the higher amount is BIN and the final value fee would be $35 as if you sold it for that price!!

Please help me to understand.

Thanks.

Hi @teacrumpets, happy to clear this up! It looks like the portion you are quoting is related to the fees we assess if we believe you have taken a transaction off eBay. If you look to the previous paragraph, you will find additional context:

If you offer or reference your contact information or ask a buyer for their contact information in the context of buying or selling outside of eBay, we charge you a final value fee based on the total amount of the sale even if your item doesn't sell. In this situation, the total amount of the sale is determined as follows:

Auction-style listing format: The total amount of the sale is the auction start price, the Buy It Now price (if applicable), the reserve price (if applicable), or the price identified between the buyer and seller, whichever is highest.
Fixed price listing format: The total amount of the sale is the fixed price or the price identified between the buyer and seller, whichever is higher.

Earlier in the Help Page on selling fees we state the following:

Final value fees are calculated as a percentage of the total amount the buyer pays, including shipping and handling. Sales tax isn't included.

To reiterate, I want to confirm the Final Value Fee assessed is based on the final selling price (item price + shipping) and the stipulations for charging a fee based on the highest of the auction start price, Buy It Now Price, reserve price or price identified between the buyer and seller is only for situations where there are indications that a transaction was completed off eBay and wouldn't apply to a purchase appropriately made through eBay checkout.

thatsallfolks · ‎06-13-2018

@Anonymous wrote:
To reiterate, I want to confirm the Final Value Fee assessed is based on the final selling price (item price + shipping) and the stipulations for charging a fee based on the highest of the auction start price, Buy It Now Price, reserve price or price identified between the buyer and seller is only for situations where there are indications that a transaction was completed off eBay and wouldn't apply to a purchase appropriately made through eBay checkout.

Context is everything. Thank you!

teacrumpets · ‎06-13-2018

Thank you!!! My aging eyes did not see the semi-colon, so I thought the bullets were providing the clarifications for the two types of auctions on eBay, not a sale taken outside of eBay. I did see the earlier sentence, which confused me since it conflicted with the bullets.

I appreciate the time you took to look at my thread and clarifiy this for me. thanks!