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Final Value Fee

Hi, I'm relatively new here. I am trying to understand the final value fee I was charged under collectibles. I was charged a variable percentage based on the item - which I understand. What I don't understand is how eBay can shipping and tax in the fee.

 

Additionally, even though I will get my payout, they often charge me for shipping after they deposit my payout. I feel as if I lose control in understand what they are doing here.

 

Here is a breakdown of a recent transaction that sold for $130:

 

Transaction summary
Amount
$186.93
Fees
-$25.83
Net proceeds
$161.10
 Fees based on
$197.90
  • Total fees for item
    • Final Value Fee
      -$25.53
      Variable percentage  Collectibles category
       
      Rate for $0.00 - $7,500.00
      $197.90 × 12.9% =-$25.53
 
Final Value Fee
-$0.30
Per order fixed amount
Total fees
-$25.83
 
I find this incredibly hard to understand but the issue remains that they take value based on shipping and tax, which does not seem right. What am I missing here?
Message 1 of 17
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16 REPLIES 16

Final Value Fee

@beautiful_unique_stuff 

 

Here is some reasoning on the fee charged on shipping.  Posted many times, but as a 2017 model, you may not have read this.

 

Back in the day tricky sellers would sell a $100 item for $1, with $99 shipping. eBay would earn pennies in fees from such sellers on that $1 , with no FVF on the shipping.

 

Easiest way for eBay to combat that practice was to switch to fees on the buyer "total payment" to get deserved fees.

 

The total buyer payment also leveled the playing field for sellers that offered free shipping (shipping included)

 

Now $1 item $99 ship

          $90 item $10 ship

         $100 item free ship

all pay the same FVF

Message 16 of 17
latest reply

Final Value Fee

You actually paid MORE using your merchant account then on Ebay.

 

Item sold $100.00 = ebay fees $12.50

Ship/tax $15.00 = MP fees $1.80

 

Your merchant account $115.00 x 2.9% = MA fees $3.33

Message 17 of 17
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