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Discussion Starter · #1 ·
Recently I have seen a lot of people posting classified ads here requesting that paypal be sent as a gift. There are two specific reasons why this is a bad idea.

1. When a payment is sent as a gift there is zero recourse through Paypal should there be a problem with the transaction. You cannot file a Paypal claim on a gift.

2. Paypal may lock your account and all funds associated with it if they discover you are violating their terms of service and circumventing their fees.

Paypal fees aren't that much. It's less than $5 on $100, most of us pay more than that in sales tax. From what I understand the fees are something in the ballpark of $0.35 + 3%. Personally I feel that it's a small price to pay for their Buyer Protection service. I will not close or force people to use or not use Paypal or to do so in any certain way. But I want people to be aware that there are consequences to "sending as a gift".
 

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Never knew this, thanks MD
 

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You are right on the mark Mad Dog.. I have seen on several forums lately guys getting ripped off by others who have the buyer send as gift and then the seller vanishes leaving the buyer no recourse in getting his or her $ back since they sent as a "gift".. And besides, it makes me mad when you see a part for sale, they have the asking price plus shipping, you agree to it and ask for the paypal info, then they say, "Here it is and send as gift or add fee %". I can't be the only one that pisses off, just ask a price that is "out the door" figure out the fee's before you post it and know what ever price you will agree to accept will includes those PP fee's. I understand the shipping costs vary from different places and shipping companys, and sometimes it is hard to figure until you have buyers address and the size, weight of box, but paypal fee's are not hard to figure out and NOT asking $ to be sent as a gift will save possable problems down the road....
 

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!!! the seller should take into consideration the additional fees assosiated with payment thru Paypal and include those in the price and not ask"plus Fees" which ultimately leads to problems and discourages potential buyers
 

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As a SELLER its best to get paid as "GOODS".... this will give you the recipients "CONFIRMED" address and is then protected thru sellers protection as well
 

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Discussion Starter · #6 ·
Excellent points jogaca, and I completely agree with you as well DL.
 

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Kinda reminds me of that Tesla song.... Signs.... Except replace the word signs with FEES.... :lol:

Don't be hate'n cause I'm and old dude either...
 

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It drives me crazy when everyone post a price with + paypal fees. Just like everyone else said figure out what you want before and add that in. The buyer should never have to cover the sellers cost. If you don't want to pay the small fee, ask for a money order.
 

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From The Stix 2 Da Brix
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Yeah PayPal froze my account we been beefing since November so don't take short cuts with them. Just add the 3% to your asking price. Stop being cheap if they never got the 3% they'd have to charge more or go under.
 

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I hate when people ask to send as a gift, I never ask for such. Just be lucky you get to post for free on here because ebay charges just to post, then gets a cut when sold. I would never send a gift on a large purchase, sometimes even doing it the right way doesn't protect you.
 

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Wrap the fees up in the price. But saying that, why pay the sellers fees anyway? Either way it will work out, but just be safe and protect yourself.

As an added way of protecting yourself, use a credit card through PayPal. If PayPal want to mess you around, your c/c company will get it back...
 

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El Jefe de la Hill
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I'm guilty of this and I'm paying the price.

When I started selling the jigs I asked to have the money sent as gift, I also did the same when I parted out the kfx840. Well, Paypal figured it out and I can no longer receive personal payments...I asked them for how long and they said indefinitely.
 

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Its hard to "wrap the fees into the price" because 95% of the time you are going to get lowballed on the forums no matter how low your price is. Everyone thinks that buying a used part is now an episode of pawn stars and they have zero consideration for paypal fees and the currently insane shipping costs.

I agree its good to have protection through paypal but the seller shouldn't be eating all the fees.
 

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Discussion Starter · #19 ·
Its hard to "wrap the fees into the price" because 95% of the time you are going to get lowballed on the forums no matter how low your price is. Everyone thinks that buying a used part is now an episode of pawn stars and they have zero consideration for paypal fees and the currently insane shipping costs.

I agree its good to have protection through paypal but the seller shouldn't be eating all the fees.
And if you care to declare the fees will be added to the price up front that is your choice to do so. I believe some of the animosity towards the fees as demonstrated in this thread are the sellers who spring the additional fees on the buyer part way through the process. Good communication is key regardless of how you market your items.

The primary point of this thread as outlined in my first post is that the additional fees should be accepted as a cost of the convenience and protection of the Paypal service instead of attempting to work the system and pay as a gift. Gift payments result in blocked Paypal accounts from violating their terms of service and buyers who have no recourse when they don't receive what they were expecting, or indeed receive anything at all. Who should pay for this service is, of course, up to you to decide but as it stands Paypal charges the receiver not the sender so it's up to the seller to make any other arrangements they want to before the money is sent.
 
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