02-01-2024 10:10 AM
EVERYONE HAS IT WRONG. EBAY IS CHARGING SELLERS FEES ON TOP OF WHAT THE PRODUCT SELLS FOR. EX, YOU SELL AN ITEM FOR $100.00.. IF TAX TO THAT STATE IS 10% EBAY ADDS THAT COST INTO THE TOTAL VALUE. NOW YOUR ITEM IN THEORY SOLD FOR $110.00. THEN IF YOU ITEM COST FOR SHIPPING IS $10.00, EBAY ADDS THAT INTO THE TOTAL SALE. THUS YOU ARE NOW AT $120.00
SO EBAY IS ARTIFICIALLY INFLATING YOUR SALE PRICE. WHY ARE WE PAYING FEES ON $120.00? WHEN OUR ITEM SOLD FOR $100.00? BECAUSE ITS EBAYS PLATFORM AND UNTIL THERE IS BETTER COMPETITION WE WILL SUFFER.
ON TOP OF THAT, EBAY NOW CHARGES U A PROMOTIONAL FEE RATE. THAT RATE CAN BE ANYWHERE FROM 2-20% ON TOP OF THE FEES EBAY ALREADY CHARGES.
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02-01-2024 10:16 AM - edited 02-01-2024 10:18 AM
This information is not new or part of any conspiracy.
The fees schedule and how they are calculated are available to read and learn.
All payment processors charge fees on the TOTAL sale.
Promotional fees are optional. You chose the rate and you do not have to participate.
02-01-2024 10:16 AM - edited 02-01-2024 10:18 AM
This information is not new or part of any conspiracy.
The fees schedule and how they are calculated are available to read and learn.
All payment processors charge fees on the TOTAL sale.
Promotional fees are optional. You chose the rate and you do not have to participate.
02-01-2024 10:18 AM
@tons_of_sheet wrote:SO EBAY IS ARTIFICIALLY INFLATING YOUR SALE PRICE. WHY ARE WE PAYING FEES ON $120.00? WHEN OUR ITEM SOLD FOR $100.00? BECAUSE ITS EBAYS PLATFORM AND UNTIL THERE IS BETTER COMPETITION WE WILL SUFFER.
The fee is based on a percentage of the total payment from the buyer.
@tons_of_sheet wrote:ON TOP OF THAT, EBAY NOW CHARGES U A PROMOTIONAL FEE RATE. THAT RATE CAN BE ANYWHERE FROM 2-20% ON TOP OF THE FEES EBAY ALREADY CHARGES.
You are not required to pay for promotional listings. If you do the fee is explained when you make that choice and before you upload your listing.
02-01-2024 10:18 AM
eBay has been charging a final value fee as a percentage of the buyer's total payment, including shipping, since 2011.
The two main reasons for charging FVF on shipping are (1) to avoid discouraging sellers from offering free shipping; and (2) to prevent fee avoidance due to sellers charging artificially low selling prices and inflated shipping.
02-01-2024 10:20 AM
"...EVERYONE HAS IT WRONG. EBAY IS CHARGING SELLERS FEES ON TOP OF WHAT THE PRODUCT SELLS FOR..."
So, if a buyer pays $120.00 that's not what they paid to acquire the item?
oh, your caps lock is stuck
02-01-2024 10:22 AM
You can't get around the FVFs, but you can select to not promote. Good luck with future listings.
02-01-2024 10:23 AM
No, not everyone has it wrong, just the ones that don't keep up with changes.
Just like every other payment processor, their fee's are based on the total amount the buyer pays.
02-01-2024 10:27 AM
Not everyone the fees are being applied exactly as eBay states in their policy. In your example not sure if the $10 for the shipping was included in the item price, i.e. free shipping, or if the $10 was part of what the buyer paid you.
For the sales tax you are correct but with a FVF of 13.25% the fees on that $10 of sales tax amounts to $1.32 if you are concerned over the $1.32 factor it into your price before you list it. The same goes for the fees on the shipping if you are using free shipping. If you are using calculated shipping the buyer generally pays you full retail on the shipping but if you are buying your labels off eBay or some other discounted service like Pirate Ship the difference between what the buyer pad you for shipping and what you actually paid for the label generally covers the FVF's along with packing materials.
02-01-2024 10:29 AM - edited 02-01-2024 10:32 AM
First and foremost, stop yelling !! It is difficult to read all-caps and has long been considered the equivalent of shouting in real life.
Next: What does "everyone has it wrong" mean?
"eBay is charging sellers fees on top of what the product sells for." OK. Yes, that is true. It even says so in eBay's User Agreement. This quote here, in green with some bolding for emphasis, is directly from eBay's User Agreement:
"Final value fees
We charge one final value fee when your item sells, and you don't have to worry about third-party payment processing fees. This fee is calculated as a percentage of the total amount of the sale, plus $0.30 per order.
The total amount of the sale includes the item price, any handling charges, any shipping costs collected from the buyer (some exceptions apply), sales tax, and any other applicable fees.
An order is defined as any number of items purchased by the same buyer at checkout with the same shipping method."
All those words are simple words in the English language. You just have to take the time and read them carefully and understand them. And when you do read and understand them, you will see that your statement -- "eBay is artificially inflating your sale price" -- is just plain false and wrong. eBay's Final Value Fee percentage is charged on the total amount paid by your buyer. Your U.S. buyer will pay the item price plus probably some sales tax plus the postage/shipping cost (unless you list the item with "free" shipping).
About that Promotional Fee Rate: you, as the seller, get to choose whether to pay eBay a promotional fee rate. eBay doesn't just charge it on a random basis, or only on sellers from Illinois, or only on sellers to sell certain types of items, or only on listings placed on Tuesdays. eBay sellers are completely in control of the percentages they decide to pay eBay (voluntarily) for promoting their listings.
What's that saying about the loudest sounds coming from empty vessels?
02-01-2024 10:35 AM
@tons_of_sheet wrote:EVERYONE HAS IT WRONG.
Who is this "everyone" you are referring to?
02-01-2024 10:36 AM
The two main reasons for charging FVF on shipping are (1) to avoid discouraging sellers from offering free shipping;
And for the hard of thinking; Free Shipping means that the cost of shipping is included in the asking price of the item.
Which is cheaper? A $100 item with $10 shipping or a $110 item with Free Shipping?
02-01-2024 10:38 AM
@fern*wood wrote:
@tons_of_sheet wrote:EVERYONE HAS IT WRONG.
Who is this "everyone" you are referring to?
@fern*wood
I was about to ask the same question.
02-01-2024 10:41 AM
I’m glad you realize that eBay has been charging fees on the total amount of buyer’s payment … just as it says it does in the seller’s agreement.
That is customary with ALL credit card companies and almost all selling venues.
Promotional fees are completely OPTIONAL.
02-01-2024 10:50 AM
eBay charges fees on the selling price, plus any shipping price you add to that, plus the sales tax.
Considering eBay fees vs brick and mortar store? OR even just keeping up with your sales records on your own...It's a STEAL!
About the fee on sales tax also?
You try collecting and submitting sales tax for two months. That fee is a steal also.
02-01-2024 10:58 AM
@reallynicestamps wrote: ... Which is cheaper? A $100 item with $10 shipping or a $110 item with Free Shipping?
Well, the $100 with $10 shipping will be a teeeny bit cheaper for buyers who live in states that charge sales tax but not on shipping.