I am bothered when people ask me to pay via Paypal Gift

GoldenEyeNumismatics · February 21, 2011 8:22AM

There have been several instances where, when completing a transaction online, people have asked me to pay via Paypal Gift instead of normal paypal.

This bothers me. First, it puts me in potential hot water with Paypal. How many four figure "gifts" can a person give out, especially in non-round numbers (ex. $1675)? Secondly, you're using their service. Maybe you don't like their rates, but you're still using their service. If you're going to use Paypal, you ought to pay them the fee they request. Otherwise just send a check. Thirdly, it is my understanding that sending payment via "Gift" inhibits any recourse you may have if the transaction goes awry. Even when doing business with people I trust, I don't like that.

clackamas · February 21, 2011 8:23AM

I have never had that, and personally would not mind, I do like it when people pay via Echeck. It really can make a difference.

JCMhouston · February 21, 2011 8:28AM

Agreed, and with the gift option you have no protection at all.

MisterBungle · February 21, 2011 8:28AM

I won't pay via PayPal "Gift".

Simple as that.

~

19Lyds · February 21, 2011 8:30AM

The one time I used "Paypal Gift", paypal required "me" to pay the fee's.

vann · February 21, 2011 8:30AM

<< There have been several instances where, when completing a transaction online, people have asked me to pay via Paypal Gift instead of normal paypal.

This bothers me. First, it puts me in potential hot water with Paypal. How many four figure "gifts" can a person give out, especially in non-round numbers (ex. $1675)? Secondly, you're using their service. Maybe you don't like their rates, but you're still using their service. If you're going to use Paypal, you ought to pay them the fee they request. Otherwise just send a check. Thirdly, it is my understanding that sending payment via "Gift" inhibits any recourse you may have if the transaction goes awry. Even when doing business with people I trust, I don't like that. >>

Unless you know the person you are dealing with, you are putting yourself at great risk by sending a PayPal gift payment. What will you do if you never receive the item or it's not as described? You would basically be at the mercy of the person you sent the money to make it right.

SoCalBigMark · February 21, 2011 8:31AM

I think your talking about the one with the newb on the BST, run, forest, run!

keets · February 21, 2011 8:32AM

i used to take the "moral high ground" until i got screwed enough times by other eBay members WHERE I WAS 100% IN THE RIGHT AND EBAY DID NOTHING except protect their bottom line by not penalizing a good income source seller. now, whatever serves me best is what i do and if that means that PayPal loses money because i GIFT, then PayPal loses money.

there is an old saying that comes to mind-----Fool me once, shame on you. Fool me twice, shame on me.

PayPal sucks canal water...........................and i feel better now!!

CaptHenway · February 21, 2011 8:33AM

I am relatively new to using Paypal. How do the "gift cards" work?
TD

Broadstruck · February 21, 2011 8:33AM

<< I think your talking about the one with the newb on the BST, run, forest, run! >>

Yeah I

SM1 for locking that one up as the sellers ONLY payment option was via gift!

BAJJERFAN · February 21, 2011 8:37AM

<< I have never had that, and personally would not mind, I do like it when people pay via Echeck. It really can make a difference. >>

Is echeck still an option when paying for something on eBay?

edgar · February 21, 2011 8:38AM

I am no fan of paypal, but use it when required. Recently, i unitentionally used paypal Echeck, the sellers didn't seem to mind. what exactly is the difference/ benefit/ cost between regular paypal, echeck, or paypal gift

thanks

19Lyds · February 21, 2011 8:41AM

<< I am no fan of paypal, but use it when required. Recently, i unitentionally used paypal Echeck, the sellers didn't seem to mind. what exactly is the difference/ benefit/ cost between regular paypal, echeck, or paypal gift

thanks >>

I believe that eCheck has a $5.00 cap on fee's but can take 3 to 4 business days to clear.

On payments over a couple of hundred bucks, echeck is the way to receive payments. (I think)

TennesseeDave · February 21, 2011 8:41AM

I agree that it is a dangerous way to pay if you do not know the person very well. I have used the gift option both ways,but agree that it is cheating of sorts.

vann · February 21, 2011 8:45AM

<< I am no fan of paypal, but use it when required. Recently, i unitentionally used paypal Echeck, the sellers didn't seem to mind. what exactly is the difference/ benefit/ cost between regular paypal, echeck, or paypal gift

thanks >>

- Credit/Debit/Instant/Balance Transfer for payment of goods - Around 3% of the amount sent
- E-check - Maximum $5 fee (takes up to 5 days for payment to clear and seller to receive)
- Gift payment - No fees for seller (or buyer if using a bank account instant transfer or PayPal balance for funds) - only allowed for personal payments (not in payment of goods or services)

BAJJERFAN · February 21, 2011 8:46AM

<< I am no fan of paypal, but use it when required. Recently, i unitentionally used paypal Echeck, the sellers didn't seem to mind. what exactly is the difference/ benefit/ cost between regular paypal, echeck, or paypal gift

thanks >>

If I bought something from you on eBay for $1000 and paid by echeck you would get $995, but you might have to wait 3 or 4 days to get it. If I paid any other way, you would get $970 or so.

stman · February 21, 2011 8:50AM

Yeah, I see all the time folks wanting Paypal "Gift." I figure it must be a typo, as I just can't believe all the honest fine members of the board are trying to snake Paypal.

ebaybuyer · February 21, 2011 8:51AM

if you feel that gifting money is cheating paypal, ask the seller to allow you to cover thier 3 or 4% fee. the seller should not always be expected to shoulder the fees, i have to believe paypal makes a little interest on paypal balances, although i believe they offer thier service for "free" to those that only withdraw a set dollar amount every month. which to me looks like a double dip if you pay the fees and do not collect interest on your balance.

Lakesammman · February 21, 2011 8:53AM

I plead the 5th.

BlindedByEgo · February 21, 2011 9:23AM

I recently sold something to another "known" forum member, and suggested he just send me a check-if he really wanted to use pay pal, to add 3%. he sent me a pay pal "gift".

I guess he must trust me-I never solicited the gift option, though.

But I did send the item, anyway

Bochiman · February 21, 2011 9:38AM

I have been the buyer when some have wanted paypal gift. I prefer the protection of the credit card, and paypal. So, understanding that they don't want the fee, and that if I am fine with the price, I have paid by CC and paid the fee myself (if you want to use gift, it must come from your banking account and not a credit card...unless the fees get deducted at one end or the other).

Seeing as how the fees were paid (and, yes, it added to my cost but that was my choice), I felt I got the protection and I stayed on the moral high ground

BAJJERFAN · February 21, 2011 9:45AM

<< if you feel that gifting money is cheating paypal, ask the seller to allow you to cover thier 3 or 4% fee. the seller should not always be expected to shoulder the fees, i have to believe paypal makes a little interest on paypal balances, although i believe they offer thier service for "free" to those that only withdraw a set dollar amount every month. which to me looks like a double dip if you pay the fees and do not collect interest on your balance. >>

It seems to me that if both parties benefit from the convenience of using PP, then both parties should each pay half of the fee.

LindeDad · February 21, 2011 9:57AM

You will only get gift from me after we have had several no problem deals under our belts.
Sellers wanting gift payment have been deal breakers already.
No morality problems in my mind fees were paid getting the money into PayPal on my part.

Studio60 · February 21, 2011 10:23AM

Allowing others* poor behavior to then modify and dictate your own is a sad way of getting through life.
Determine what your values are and then never waiver, regardless of what others may do or not do.

*Including businesses such as Paypal.

Quarternut · February 21, 2011 10:25AM

Secondly, you're using their service. Maybe you don't like their rates, but you're still using their service. If you're going to use Paypal, you ought to pay them the fee they request.

Yes, but you are being held hostage by E-bay, as they always want you to use Paypal and will even cancel your auction if you state that you will take a personal check or Money order. They should give you a discount on the final value fee if you use paypal or provide another venue of payment, otherwise they have a monopoly on the payment side.

When I am being held up...I choose to cut my losses any way I can.

QN

shorecoll · February 21, 2011 10:31AM

If enough people misuse the service, Paypal will get rid of it, but people either don't get that or don't care.

I use Paypal but am not a fan. E-check on the scale Paypal uses it should cost them a half-cent per transaction (and you though half-cents no longer had value!), no wonder they cap the fee at $5.

Credit card transactions cost them somewhere around 1.4-1.5% so they only double that.

You wonder why they default to e-check?

I do wish they were more reasonable but it is their toybox.

vann · February 21, 2011 10:42AM

<< If enough people misuse the service, Paypal will get rid of it, but people either don't get that or don't care.

I use Paypal but am not a fan. E-check on the scale Paypal uses it should cost them a half-cent per transaction (and you though half-cents no longer had value!), no wonder they cap the fee at $5.

Credit card transactions cost them somewhere around 1.4-1.5% so they only double that.

You wonder why they default to e-check?

I do wish they were more reasonable but it is their toybox. >>

Don't forget PayPal charges sellers the same rate to process a PayPal balance payment as credit card payment. Yet the cost to PayPal for them to electronically debit a buyers PayPal balance and add it to the sellers is probably close to zero.

DNADave · February 21, 2011 10:43AM

I specifically ask for regular paypal in my BST threads...surprisingly, I often get paid as a gift.

I don't say anything about it when that happens, but I have my reservations.

savoyspecial · February 21, 2011 10:49AM

i pay by PP gift and then at the end of the year i claim all my generous 'charitable donations' .......i have become quite the philanthropist

(i'm kidding about that last part --- i do use the 'gift' option, perhaps too much)

GrumpyEd · February 21, 2011 10:50AM

<< Thirdly, it is my understanding that sending payment via "Gift" inhibits any recourse you may have if the transaction goes awry. >>

That's the part that makes me not like it.
Unless you trust the seller or it's "a gift" I won't use it.

If a seller wants to offer that if you use the gift option they'll discount that's ok because you can decide if you want protection or a discount.

One issue is how they word it. Do they say they'll charge 3% more if you don't use gift or 3% less if you do. In the end it's the same thing.

notwilight · February 21, 2011 10:55AM

I tell people I don't send paypal gifts. I believe it is a violation of their terms of service and I do too much business with them to chance upsetting them. they covered a 10k chargeback for me and I am grateful for that.

I tell people I'd be glad to send a check. I've had at least one BST board seller say they were in too big a hurry for that.

Oh well. I'll stick to my guns. Now if people want to use the gift function to send funds to me, I don't make a stink about it. That is their decision. I try to keep my own actions on the straight and narrow but don't want to sit at the corner reporting every rolling stop I see.

--Jerry

stealer · February 21, 2011 10:58AM

<< The one time I used "Paypal Gift", paypal required "me" to pay the fee's. >>

To send a PayPal gift without fees on either side, the sender must have at least that amount currently in their PayPal account.

elmeister · February 21, 2011 10:59AM

for some reason I thought PayPal got rod of this feature a few months back? guess it's still around...

i use it for deals between "friends" (or as close as friends can be between computer screens)...

if they're adamant about not getting hit w/ fees, i usually pony up the extra couple bucks (within reason) to cover the fee if they're going to throw away a deal over it...

i no longer use USPS money orders after having one mailed for a purchase and the item never arriving... PO said i was basically SOL...

checks are always OK too... in the age of instant gratification, little lessons of patience are good for the soul.

-matt

Ahrensdad · February 21, 2011 11:20AM

Anyone have thoughts about "payment owed"? Is it better to use this option than gift?

vann · February 21, 2011 11:26AM

<< Anyone have thoughts about "payment owed"? Is it better to use this option than gift? >>

Using the gift payment option for anything other than sending a personal non goods or services payment is in violation of PayPal's terms of service so in the event of a dispute, you are basically on your own.

Walkerguy21D · February 21, 2011 11:31AM

Never had any qualms about requesting or accepting PPal gift, if the buyer insists on using Paypal instead of sending a check or MO, which I prefer. What I do have a problem with is a buyer working me down to just about breakeven, then wanting to use Paypal and having me foot the fees - that's a good signal that it's time to part ways.

llafoe · February 21, 2011 11:38AM

When I was younger, things bothered me all the time. As I've grown older, I better understand human nature (and have become less judgmental) and things tend not to bother me too much.

I use PayPal often (as a buyer), but I prefer not (never) to receive PayPal (as a seller). I prefer a check over PayPal 100% of the time!

coindeuce · February 21, 2011 11:39AM

<< 

<< I have never had that, and personally would not mind, I do like it when people pay via Echeck. It really can make a difference. >>

Is echeck still an option when paying for something on eBay? >>

echeck payment method is only available to account holders that do not have a credit card registered to the account.

vann · February 21, 2011 11:43AM

By using a check or money order you may have some recourse through your bank or the postal inspectors in the event of non-receipt. Using the gift payment option in order to defraud PayPal of their service fees would probably invalidate any claim you have.

coindeuce · February 21, 2011 11:46AM

<< 

<< The one time I used "Paypal Gift", paypal required "me" to pay the fee's. >>

To send a PayPal gift without fees on either side, the sender must have at least that amount currently in their PayPal account. >>

Or an adequate balance in a bank account that is linked to the PP account.

RYK · February 21, 2011 11:54AM

I agree with the OP. PayPal provides an excellent, high quality product and deserves compensation for its use.

I recently purchased a coin from a BSTseller that requested PayPal (nos). Though we never did business before, he seemed like a good chap, and I thought I should send him PayPal Gift. I thought about it a little further and instead added a few bucks and paid him via regular PayPal.

MMR · February 21, 2011 12:11PM

I look at it this way: eBay and PayPal have already fleeced me for a fortune over the years. If I set my payment terms as PayPal gift in my offering, and you don't agree to those terms, then I would expect you to pass up that deal and go on to the next.

As a previous poster stated, if you want to buy at wholesale, then you will need to trust the seller. If you feel you can't trust the seller (myself included), then you should pass that deal up and go on to the next.

From a sellers perspective there are risks too. Checks bounce sometimes, and there have been known to be fake postal money orders. In addition, in the fast paced precious metals arena speed counts because the ability to turn over cash flow is an important factor in not getting set up on the wrong side of the market.

JMHO,

MMR

GoldenEyeNumismatics · February 21, 2011 12:19PM

<< Secondly, you're using their service. Maybe you don't like their rates, but you're still using their service. If you're going to use Paypal, you ought to pay them the fee they request.

Yes, but you are being held hostage by E-bay, as they always want you to use Paypal and will even cancel your auction if you state that you will take a personal check or Money order. They should give you a discount on the final value fee if you use paypal or provide another venue of payment, otherwise they have a monopoly on the payment side.

When I am being held up...I choose to cut my losses any way I can.

QN >>

You're not being held up. You clearly are aware that you'll need to use Paypal if you sell on eBay, yet you sell anyway. You're consciously making the decision... not being robbed.

Bochiman · February 21, 2011 12:26PM

Ebay owns Paypal, sure, but the thread wasn't anything about Ebay.
So the folks that are complaining about Ebay (and their fees) as being the reason they use PPGift are just stretching things.

Keep the argument to just Paypal and your argument may hold water.....whine about Ebay at the same time and it is easier to ignore.

GoldenEyeNumismatics · February 21, 2011 12:28PM

<< I look at it this way: eBay and PayPal have already fleeced me for a fortune over the years. If I set my payment terms as PayPal gift in my offering, and you don't agree to those terms, then I would expect you to pass up that deal and go on to the next.

As a previous poster stated, if you want to buy at wholesale, then you will need to trust the seller. If you feel you can't trust the seller (myself included), then you should pass that deal up and go on to the next.

From a sellers perspective there are risks too. Checks bounce sometimes, and there have been known to be fake postal money orders. In addition, in the fast paced precious metals arena speed counts because the ability to turn over cash flow is an important factor in not getting set up on the wrong side of the market.

JMHO,

MMR >>

If you set your terms as Paypal gift in your offering, you're in violation of Paypal's policies. Of course that doesn't mean much to most people, but could lead to potential issues if you made a vengeful person angry.

"From a sellers perspective there are risks too. Checks bounce sometimes, and there have been known to be fake postal money orders. In addition, in the fast paced precious metals arena speed counts because the ability to turn over cash flow is an important factor in not getting set up on the wrong side of the market."

So the solution is to rip Paypal off? You could just pay the normal way, and work around the 2.2-2.9%. And if you're running a PM business using paypal gift, you're going to get caught very quickly.

yellowkid · February 21, 2011 12:35PM

<< I agree with the OP. PayPal provides an excellent, high quality product and deserves compensation for its use.

I recently purchased a coin from a BSTseller that requested PayPal (nos). Though we never did business before, he seemed like a good chap, and I thought I should send him PayPal Gift. I thought about it a little further and instead added a few bucks and paid him via regular PayPal. >>

When last I checked, PP was charging almost 27% APR on unpaid balances for ebay purchases, I think that is "compensation" enough. They are corporate bloodsuckers and if someone can save themselves a few bucks dealing with the bast----- then more power to them.

stman · February 21, 2011 12:42PM

Years ago when I was in construction we seen the superintendent of our company stealing materials. We asked him why he was stealing from the boss, and he was 2nd in line for boss. His answer was it's not stealing if you benefit by it. He said since he was going to benefit it's all good. Perhaps he was onto something, with some of the replies I see here.

MMR · February 21, 2011 12:53PM

<< 

<< I look at it this way: eBay and PayPal have already fleeced me for a fortune over the years. If I set my payment terms as PayPal gift in my offering, and you don't agree to those terms, then I would expect you to pass up that deal and go on to the next.

As a previous poster stated, if you want to buy at wholesale, then you will need to trust the seller. If you feel you can't trust the seller (myself included), then you should pass that deal up and go on to the next.

From a sellers perspective there are risks too. Checks bounce sometimes, and there have been known to be fake postal money orders. In addition, in the fast paced precious metals arena speed counts because the ability to turn over cash flow is an important factor in not getting set up on the wrong side of the market.

JMHO,

MMR >>

If you set your terms as Paypal gift in your offering, you're in violation of Paypal's policies. Of course that doesn't mean much to most people, but could lead to potential issues if you made a vengeful person angry.

"From a sellers perspective there are risks too. Checks bounce sometimes, and there have been known to be fake postal money orders. In addition, in the fast paced precious metals arena speed counts because the ability to turn over cash flow is an important factor in not getting set up on the wrong side of the market."

So the solution is to rip Paypal off? You could just pay the normal way, and work around the 2.2-2.9%. And if you're running a PM business using paypal gift, you're going to get caught very quickly. >>

Who is running a business? Not me, some people just trade in or out and adjust their holdings. In any case, the buyer can always assume the 3% fee if he so chooses. It really is a matter of choice for the buyer; either accept the terms and enjoy the discount or choose another deal. Why do you have a problem with it if it is stated up front?

BAJJERFAN · February 21, 2011 2:21PM

<< By using a check or money order you may have some recourse through your bank or the postal inspectors in the event of non-receipt. Using the gift payment option in order to defraud PayPal of their service fees would probably invalidate any claim you have. >>

I think with the USPS you'd have to pursue the mail fraud angle. I think they charge $5 and expect you to wait 30 days while they track to see if a MO has cleared.

vann · February 21, 2011 2:55PM

<< 

<< By using a check or money order you may have some recourse through your bank or the postal inspectors in the event of non-receipt. Using the gift payment option in order to defraud PayPal of their service fees would probably invalidate any claim you have. >>

I think with the USPS you'd have to pursue the mail fraud angle. I think they charge $5 and expect you to wait 30 days while they track to see if a MO has cleared. >>

Yes, you can also try to stop payment if you pay by check. At least you have a record of the payment and may have recourse if the seller just takes the money without sending anything. A not as decribed situation would be more complicated.

TwoSides2aCoin · February 21, 2011 3:35PM

It's not bothersome to me. I simply pay for the goods and add the 3%. It is more expense, but it is also a part of the cost of doing business. That's as simple as it gets. Usually, the seller will take this under advisement in the early stages of our negotiations and we will come to a satisfactory compromise. But, it's a common request people make, and I do not fault them for it.

I am bothered when people ask me to pay via Paypal Gift

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