Using PayPal or other payment methods for sales?

[fox_napier]

Hi all,

I am wondering what forum members' experiences are with PayPal or other methods for sales? I have noticed that PayPal has a limit of how much they will write a check for in a given month to only $500. I have also read horror stories of non-payment of check etc. What payment method do you recommend?

[tfflivemb2]

You can become a Premier Member and not have that limitation. You can also get the PayPal Debit card, and have INSTANT access to your funds, PLUS you can get 1% cash back on purchases with that card...when used as a credit card...

[ajkula66]

Stateswide or abroad?

Personally, I prefer money order or check, but accept PayPal if the buyer insists.

I have a so-called "premier" account so I get charged fees every time someone pays me, but have no limits in using it.

On eBay, I only accept PayPal, and with confirmed address (USA/Canada only).

On this forum I accept anything the buyer and myself can agree upon.

PayPal sucks for many reasons, but it is convenient. Pick your poison.

Hope this helps.

[ccotenj]

i've used paypal for years, and never once had a problem (knock on wood)... and i've made and taken some pretty large payments...

as noted, you can become a premier member and get your money right away, if you want to... or transfer it to your checking account... or put it in a paypal money market account and use it as a slush fund for stuff you want...

i will very rarely take money orders or checks... it's not worth the effort... paypal or cash for me...

<edit> as noted above, you get charged fees on a premier account whether you get paid by checking account or credit card... i look at that as a cost of doing business...

[rkawakami]

Since it doesn't cost anything to open a PayPal account, I have two. One a personal account, which has the $500 monthly receive limit and that can now accept a limited number of credit card transactions in a year and a "premier" account which has no receive limits and a lower transaction fee for credit card payments. The only thing to be careful about is that for credit card transactions, the buyer has the independent opportunity to contest the charge. That's good for the buyer as it offers some protection, but bad for the seller since it can be abused.

I have gone through the process of reversing a PayPal credit card payment for a seller who never shipped my item. I'm still out $25 for that transaction over 2 years ago but I got most of my money back. I'm currently waiting on the latest eBay seller that has given me some grief. As I paid again with a credit card (normally I use checking account transfers, but above a certain level or if I don't feel comfortable, I'll use CC), I'm not too worried that he won't deliver.

I have taken a personal check before (but for a forum member, not eBay) and if everything goes right, cash for a current sale (~$15).

[fox_napier]

The Premier Membership means PayPal takes a share of your received funds. Like ccotenj posted in this thread stated, perhaps that is the cost of doing business. I do not need another credit card.

You can become a Premier Member and not have that limitation. You can also get the PayPal Debit card, and have INSTANT access to your funds, PLUS you can get 1% cash back on purchases with that card...when used as a credit card...

[tfflivemb2]

I do not need another credit card.

It isn't a regular credit card, it is like a check card. You can only use it for the balance left in your PayPal account. For example, when I was selling a lot, I would accept payment through PayPal, then turn around and use my PayPal card to pay for the shipping via USPS, and get the 1.5% (at the time) back on paying for the shipping....

Yes, PayPal does take the extra money out, but when I use PayPal, I keep that in the back of my mind when I sell, to figure out what I need to bring in to make it worthwhile...

[ccotenj]

yea, it's just a debit card... you can use it as a credit card, but you don't have a credit line, you only have access to funds that you have in your account...

and yea, it's a cost of doing business... no one ever said doing business was supposed to be free...

taking checks/money orders costs money too... you gotta drive to the bank and spend the time to do it... you don't see it come out of your sales as a direct expense, but it's there...

the whole "add 3% for paypal" (or whatever) irritates me... if you want to sell stuff, accept the fact that there's an expense along with it and (as pointed out) price your product appropriately...

[tfflivemb2]

the whole "add 3% for paypal" (or whatever) irritates me... if you want to sell stuff, accept the fact that there's an expense along with it and (as pointed out) price your product appropriately...

I agree wholeheartedly...infact, it is against your TOS with Paypal to add the fee...

[ccotenj]

yea, it is against the TOS, but that's a virtually unenforceable regulation, unfortunately...

[ajkula66]

I'd beg to differ. If it were not for buyers being spoiled by eBay, I would never accept PayPal. Period.

Apart from the fees that are ridiculous (over $10 for a $250 sale), PayPal's policies and their refusal to protect the seller the way they should be protected has cost me well over $1,000 in the last three years-none of which I would have encountered if I didn't have to deal with them...and if my buyers had to pay by check or money order...

PayPal is just way too easy to abuse if you are a buyer. Period. And that's one of the reason that I've reduced my presence on eBay to next to none.

You want first-hand PayPal horror stories?PM me for the daily selection.

All the best.

[scosgt1]

I had to make two PayPal disputes in the last month, one for non-shipment (won) and one for defective unit on receipt (the seller settled after I elevated to a claim and tied up his account). I have not yet been on the other end, but then I only ship to the confirmed account with Signature Confirmation, insure everything, and give honest descriptions. AND, I would rather make the customer happy than engage in disputes, so I don't plan to allow it to happen.

The benefits of PayPal are:
1. People can spend money they don't have since they can use a credit card. Just like the Mortgage Companys, on a smaller scale.
2. No getting stiffed with promises. Either they pay right away, or you sell elsewhere.

And of course for a buyer it is the best. No fees, you can use a credit card to spend money you don't have, and you have TWO dispute processes of someone screws you.

Great idea, PayPal. Wish I had thought of it.

[Robbyrobot]

Great idea, PayPal.

Would be even better if it were run by a bank and not Ebay. No conflict of interest and presumably much better customer service. Banks don't tend to hide behind email addresses without a telephone number or postal address.

At least in Germany, PayPal has a bad reputation for locking accounts, unjustified payment reversals and playing dead when anyone tries to contact the organization. Buyers are also affected.

I have no PayPal account and no desire to open one, which luckily is no disadvantage in the EU, since fast, reliable, low-cost direct account transfers are the rule here.

[scosgt1]

Oh yeah, just try to get your local bank on the phone!

You live in a different world.

[Robbyrobot]

Oh yeah, just try to get your local bank on the phone!

I don't even have any problems getting my American bank on the phone from Germany, much less my local one. But if you were offended by my criticism of PayPal, please don't be... personal preferences are personal preferences and everyone has his own.

[ajkula66]

May I suggest some reading material?

http://www.paypalwarning.com/paypal_wall_of_shame

And, once again, whoever thinks such tales are nothing but BS is more than welcome to contact me for first-hand horror stories...

All the best.

[Bg357]

Would be even better if it were run by a bank and not Ebay. Banks don't tend to hide behind email addresses without a telephone number or postal address.

PayPal's telephone number is (888) 221-1161

They also keep much better than "banker's hours"!
4:00 AM PST to 10:00 PM PST Monday - Friday
6:00 AM PST to 08:00 PM PST Saturday & Sunday

If a postal address blows your skirt up, here you go...

PayPal
P.O. Box 45950
Omaha, NE 68145

I've only had reason to call them once and while there was a wait time on hold, they were very friendly when I talked to them.


I realize that none of this will make any difference to "PayPal Haters " but it does tend to shine a little truth on their dogma.

[ajkula66]

I guess one doesn't believe that the village is on fire until his house gets burned to the ground...

[Bg357]

I guess one doesn't believe that the village is on fire until his house gets burned to the ground...

Houses get burned to the ground all the time, for various reasons but it doesn't necessarily mean that the village is on fire...

[rkawakami]

Okay people, let's tone it down some (and the animated .GIFs)...

I realize the OP mentioned horror stories but let's not get too carried away, shall we?

[melmo]

Oh yeah, just try to get your local bank on the phone!

You live in a different world.

Not a different world, just a different country. I've noticed that banks in other parts of the world (and I guess in Germany) still actually believe that they are in the service industry, not the "nickel and dime you death" industry, like it is in North America.

[Bg357]

Before this thread gets locked down for bad behavior (simply good-natured jousting IMO), let me say that I've not had a bad experience with PayPal and therefore look mostly at the positives of a very useful service.
I'm sure that I will have a bad experience at some point, which may change my perspective a bit, BUT I won't throw the proverbial baby out with the bath water and join something like "paypal=hell.com".
Every convenience can be taken advantage of by shysters from time to time but it doesn't mean the convenience is to blame.

Those who have nothing but horror stories to tell should take a serious look at their own business practices, 'cause it ain't PayPal's fault.

[ajkula66]

I guess it comes down to whether one sells more, or buys more...using PayPal.

If you're a buyer, and especially when you're using a credit card, PayPal is a dream machine. That, for quite a few people brings that lovely sense of entitlement...what do you mean that 5-year old T23 has scratches on the lid!The item is not as described!Let's file a claim!!!!Meanwhile, the listing stated "expect normal wear and tear for a machine of this generation"...and if you're unlucky enough to have an *%^&#$ buyer, you may get your machine back destroyed, and PayPal offers you absolutely no protection in case of such an event. Meanwhile, it's the sellers who are keeping it alive by having to pay 3% of their sales...

I'd be very careful when questioning business practices of other people, especially when some of them have excellent feedback ratings both here (meaningful) and on eBay (meaningless, or next to it)...

All the best.