Does Paypal fees just pay for the insurance used when doing a transaction or does it pay for the transaction service too? If it just pays the insurance and you use the gift service voiding any insurance protection I don't see why it's dishonest. If Paypal wants to be paid for it's service and your advoiding fees then i would say it's dishonest.
I have used paypal gift before and have stoped offering to do buisness this way when i realized it was a problem, but i still see a few guys doing it.
I think i heard a while back on the Forum Paypal cracking down on a few people for taking advantage of using Papal Gift when selling a product like coins. For this reason as well as it possibly being dishonest i can see why the OP is bothered.
Winner of the "You Suck!" award March 17, 2010 by LanLord, doh, 123cents and Bear.
While more money in my pocket is nice I don't mind paypal fees. I do all my shipping via paypal and if someone gifts me that means I have to go to the post office and wait on those crazy lines. Now ebay fees I think are a bit crazy. The final value fees can add up mighty quickly when you sell alot of stuff .
Let me repeat my question.....how does this Paypal Gift system work? TD
Numismatist. 50 year member ANA. Winner of four ANA Heath Literary Awards; three Wayte and Olga Raymond Literary Awards; Numismatist of the Year Award 2009, and Lifetime Achievement Award 2020. Winner numerous NLG Literary Awards.
<< <i>Let me repeat my question.....how does this Paypal Gift system work? TD >>
When one completes the checkout and taken to the paypal page to confirm payment down on the left hand corner there is an option box and tickable boxes.You can choose services or ebay payment or gift.I'm sure other options are there but thats how you can change options.
On the OP's comment , i agree completely.Ive not bought anything from anyone asking for payment to be gifted.I think we are all aware of what can happen because we have seen it here on more than just a few occasions. People saying ebay and paypal have fleeced them long enough as justification for cheating the system should probably ask themselves why they use ebay and paypal. Seems like a few people expect a free lunch.
<< <i>Let me repeat my question.....how does this Paypal Gift system work? TD >>
Well, you know you can send money through PayPal, right? For one of two reasons: a "purchase" of goods or services, or for a "personal" reason like a "gift" or "money owed" and so on. You choose from tabs and radio buttons.
Gifts send recipients the full amount. If made from a PayPal balance or bank funds it is free. If made from a credit card there are merchant fees involved, usually are 2-3%. Someone has to pay it. The gifter can choose to pay it himself or pass it on to the giftee, in which case only 97% or so is sent as a gift. Lance.
I would think they would set it up so that the gift thing is not an option for eBay purchases. Also they should consider adding a service level where you can forgo any transaction protection in exchange for a smaller fee.
<< <i>I would think they would set it up so that the gift thing is not an option for eBay purchases. Also they should consider adding a service level where you can forgo any transaction protection in exchange for a smaller fee. >>
If using ebay and ebays checkout procedure it is set up so gifting is not an option.
Thanks for the explanations. I had just never encountered it before. TD
Numismatist. 50 year member ANA. Winner of four ANA Heath Literary Awards; three Wayte and Olga Raymond Literary Awards; Numismatist of the Year Award 2009, and Lifetime Achievement Award 2020. Winner numerous NLG Literary Awards.
<< <i>Also they should consider adding a service level where you can forgo any transaction protection in exchange for a smaller fee. >>
Since the overall number of transactions that result in a protection claim is very small (less than 1% overall) that would compete with their own business model which is based on charging fees. I don't think it's feasible for another company to offer a service similar to PayPal at a lower cost (without protection) since it's the seller that absorbs the cost (or passes it on to the buyer by charging more) and the biggest barrier to online shopping is people don't feel secure sending someone they don't know money over the internet. Checks and money orders are already an option for reducing transaction costs at the expense of giving up some transaction protection.
<< <i>I exchange gifts of new money for gifts of old money. Nothing more, nothing less. >>
Why is e-check not an option? It limits the fees to $5 and once the e-check clears you have the money in your account without violating PayPal's terms of service.
<< <i>I would think they would set it up so that the gift thing is not an option for eBay purchases. Also they should consider adding a service level where you can forgo any transaction protection in exchange for a smaller fee. >>
If using ebay and ebays checkout procedure it is set up so gifting is not an option. >>
I didn't think it was either since I have never seen it during eBay checkout, however your previous post implies that it is an option.
<< <i>Also they should consider adding a service level where you can forgo any transaction protection in exchange for a smaller fee. >>
Since the overall number of transactions that result in a protection claim is very small (less than 1% overall) that would compete with their own business model which is based on charging fees. I don't think it's feasible for another company to offer a service similar to PayPal at a lower cost (without protection) since it's the seller that absorbs the cost (or passes it on to the buyer by charging more) and the biggest barrier to online shopping is people don't feel secure sending someone they don't know money over the internet. Checks and money orders are already an option for reducing transaction costs at the expense of giving up some transaction protection. >>
I said that PayPal and not another company should consider a reduced service fee. IMO it is not worth $30 to me to accept $1,000 from you just to save a couple days. If they would offer it for $10 it might be acceptable.
I will take Paypal gift if you want immediate delivery. If not I'll take a check. I've used paypal gift when I want immediate delivery. Paypal makes it an option that I can use so why not. If you want to pay me regular paypal then add 3%, you pay paypal not me. Plus gift has to be directly withdrawn from your bank account no Credit cards The way I look at it Life is a chance
<< <i>I would think they would set it up so that the gift thing is not an option for eBay purchases. Also they should consider adding a service level where you can forgo any transaction protection in exchange for a smaller fee. >>
If using ebay and ebays checkout procedure it is set up so gifting is not an option. >>
I didn't think it was either since I have never seen it during eBay checkout, however your previous post implies that it is an option. >>
You are correct , i worded that post badly and should have checked paypal prior.The option is only there if one signs directly into paypal circumventing ebays checkout.
<< <i>I said that PayPal and not another company should consider a reduced service fee. IMO it is not worth $30 to me to accept $1,000 from you just to save a couple days. If they would offer it for $10 it might be acceptable. >>
That's what I was saying as well. I don't see why PayPal would want to create a service that competes with the fees they receive from their standard payment service given the low incidence of buyer protection claims. Advertising a protection-less service would encourage people looking to defraud others to use the service. The personal payment option is a service to their users and allows for a fee free transaction as long as the person sending the payment uses a bank account or balance transfer as the payment source. Personal payments made using a credit card as the payment source are charged PayPal's standard fees which the sender has the option of paying himself or having the fees deducted from the recipient's amount received. Although the personal payment option allows for a way to circumvent the PayPal fees for payment of goods and services, doing so violates PayPal's terms of service and exposes those involved to having their accounts closed or restricted. Just like you can choose what payments you accept so can' PayPal so don't complain about it if it happens
<< <i>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. >>
You feel that way because you are good person who has integrity.
It ought to be up to the buyer...but using paypal gift usually results in getting the item for a lower price as the seller is not charged the fee and realizes a higher price as a result.
Paypal is an evil entity, has screwed over many honest sellers over the years, and deserves zero consideration, IMO..
Collecting 1970s Topps baseball wax, rack and cello packs, as well as PCGS graded Half Cents, Large Cents, Two Cent pieces and Three Cent Silver pieces.
I see a lot of people talking the talk in this thread but believe you me....they are not so forthright and honest in all of their business dealing...the only thing that comes to mind reading this thread is glass houses folks
I sell more than most on here via Ebay....they get my money via fees and paypal gets my money via fees.....no problem, accepted costs for doing business but if Jo smith wants to sell me a $100 dollar coin for my collection and he asks me to send the funds via paypal gift...I have no issue with doing that.
<< <i>I am relatively new to using Paypal. How do the "gift cards" work? TD >>
Please tell me they are not selling these at the Supermarket now. I would think they just add to a paypal balance and then charge fees to the seller if you use it.
Wives in my town have been buying gift cards at Publix (Supermarket) and using them at Bloomingdales. Adds $$$$ to the food bill and buying clothes they don't want husbands to see them buy. One guy saw his food cost go up $800 a month until he figured it out.
I seldom check PM's but do check emails often jason@seated.org
Buying top quality Seated Dimes in Gem BU and Proof.
< 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. >>
Huh?
I had more than the total amount sent in my PayPal Account. I had plenty of money on the linked checking account.
I also HAD to pay the Gift fees.
Did you elect to use a CC to fund the purchase? That is the only time you would be charged a fee to send a gift payment. If the funds are in your paypal account or debited directly from a linked checking/bank account, there is no fee to send a gift payment and the recipient will receive the full amount of the payment.
Collecting 1970s Topps baseball wax, rack and cello packs, as well as PCGS graded Half Cents, Large Cents, Two Cent pieces and Three Cent Silver pieces.
<< <i>< 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. >>
Huh?
I had more than the total amount sent in my PayPal Account. I had plenty of money on the linked checking account.
I also HAD to pay the Gift fees.
Did you elect to use a CC to fund the purchase? That is the only time you would be charged a fee to send a gift payment. If the funds are in your paypal account or debited directly from a linked checking/bank account, there is no fee to send a gift payment and the recipient will receive the full amount of the payment. >>
I've used it many times; IF there's a balance in my PayPal account already, there's no fee. If it's coming from my checking account, one of us is charged a fee; I've gotten the message to choose who will pay the fee.
Have bought and sold on BST, many references available when asked.
I know I've mentioned this on the forums sometime in the past, but for what it's worth, I'll say it again:
Legally, you cannot tax someone an extra amount of $ based on his or her preferred method of payment. Financial processing fees are a part of the cost of doing business, and are supposed to be absorbed by the seller (or already factored into the price of the product/service). The only exception I can think of, oddly enough, is my local government which charges a "convenience fee" for taxes paid online. But if any retail establishment tried to pull that nonsense, I guarantee they'd eventually get in trouble for it.
The only acceptable way around that rule is to offer a cash/check discount price. For example, if the minimum amount you'll accept for a coin is $1,000.00, then you have to factor in your anticipated financial processing fees into your base price: $1000.00 + 2.9% = $1,029.00. So in that case, you would offer the coin at the regular price of $1,029.00, and then only offer a $29.00 discount if paid by cash/check/M.O. Therefore, technically you are rewarding the buyer for using a more favorable method of payment, as opposed to penalizing the buyer for using an unfavorable one.
<< <i>I know I've mentioned this on the forums sometime in the past, but for what it's worth, I'll say it again:
Legally, you cannot tax someone an extra amount of $ based on his or her preferred method of payment. Financial processing fees are a part of the cost of doing business, and are supposed to be absorbed by the seller (or already factored into the price of the product/service). The only exception I can think of, oddly enough, is my local government which charges a "convenience fee" for taxes paid online. But if any retail establishment tried to pull that nonsense, I guarantee they'd eventually get in trouble for it.
The only acceptable way around that rule is to offer a cash/check discount price. For example, if the minimum amount you'll accept for a coin is $1,000.00, then you have to factor in your anticipated financial processing fees into your base price: $1000.00 + 2.9% = $1,029.00. So in that case, you would offer the coin at the regular price of $1,029.00, and then only offer a $29.00 discount if paid by cash/check/M.O. Therefore, technically you are rewarding the buyer for using a more favorable method of payment, as opposed to penalizing the buyer for using an unfavorable one. >>
<< <i>I know I've mentioned this on the forums sometime in the past, but for what it's worth, I'll say it again:
Legally, you cannot tax someone an extra amount of $ based on his or her preferred method of payment. Financial processing fees are a part of the cost of doing business, and are supposed to be absorbed by the seller (or already factored into the price of the product/service). The only exception I can think of, oddly enough, is my local government which charges a "convenience fee" for taxes paid online. But if any retail establishment tried to pull that nonsense, I guarantee they'd eventually get in trouble for it.
The only acceptable way around that rule is to offer a cash/check discount price. For example, if the minimum amount you'll accept for a coin is $1,000.00, then you have to factor in your anticipated financial processing fees into your base price: $1000.00 + 2.9% = $1,029.00. So in that case, you would offer the coin at the regular price of $1,029.00, and then only offer a $29.00 discount if paid by cash/check/M.O. Therefore, technically you are rewarding the buyer for using a more favorable method of payment, as opposed to penalizing the buyer for using an unfavorable one. >>
Does that apply to private non-business transactions too?
Comments
OK, I don't know all the specifics as I've never done a "gift" payment, but if:
1) You can't use a credit card; and
2) You forgo all of the normal protections from PayPal
then I don't see any moral issue with using the option for transactions.
The cost to PayPal of such a transaction is minuscule. OTOH, you'd better trust the other
party in the deal.
I have used paypal gift before and have stoped offering to do buisness this way when i realized it was a problem, but i still see a few guys doing it.
I think i heard a while back on the Forum Paypal cracking down on a few people for taking advantage of using Papal Gift when selling a product like coins. For this reason as well as it possibly being dishonest i can see why the OP is bothered.
TD
Lafayette Grading Set
<< <i>Like 19Lyds said , "you get to pay the fees" .
...if you use a credit card. Would you expect PayPal to lose money on your gift by eating the credit card fee?
Lance.
<< <i>Let me repeat my question.....how does this Paypal Gift system work?
TD >>
When one completes the checkout and taken to the paypal page to confirm payment down on the left hand corner there is an option box and tickable boxes.You can choose services or ebay payment or gift.I'm sure other options are there but thats how you can change options.
On the OP's comment , i agree completely.Ive not bought anything from anyone asking for payment to be gifted.I think we are all aware of what can happen because we have seen it here on more than just a few occasions.
People saying ebay and paypal have fleeced them long enough as justification for cheating the system should probably ask themselves why they use ebay and paypal.
Seems like a few people expect a free lunch.
<< <i>Let me repeat my question.....how does this Paypal Gift system work?
TD >>
Well, you know you can send money through PayPal, right? For one of two reasons: a "purchase" of goods or services, or for a "personal" reason like a "gift" or "money owed" and so on. You choose from tabs and radio buttons.
Gifts send recipients the full amount. If made from a PayPal balance or bank funds it is free. If made from a credit card there are merchant fees involved, usually are 2-3%. Someone has to pay it. The gifter can choose to pay it himself or pass it on to the giftee, in which case only 97% or so is sent as a gift.
Lance.
<< <i>I would think they would set it up so that the gift thing is not an option for eBay purchases. Also they should consider adding a service level where you can forgo any transaction protection in exchange for a smaller fee. >>
If using ebay and ebays checkout procedure it is set up so gifting is not an option.
TD
<< <i>Also they should consider adding a service level where you can forgo any transaction protection in exchange for a smaller fee. >>
Since the overall number of transactions that result in a protection claim is very small (less than 1% overall) that would compete with their own business model which is based on charging fees. I don't think it's feasible for another company to offer a service similar to PayPal at a lower cost (without protection) since it's the seller that absorbs the cost (or passes it on to the buyer by charging more) and the biggest barrier to online shopping is people don't feel secure sending someone they don't know money over the internet. Checks and money orders are already an option for reducing transaction costs at the expense of giving up some transaction protection.
<< <i>I exchange gifts of new money for gifts of old money. Nothing more, nothing less. >>
Why is e-check not an option? It limits the fees to $5 and once the e-check clears you have the money in your account without violating PayPal's terms of service.
<< <i>
<< <i>I would think they would set it up so that the gift thing is not an option for eBay purchases. Also they should consider adding a service level where you can forgo any transaction protection in exchange for a smaller fee. >>
If using ebay and ebays checkout procedure it is set up so gifting is not an option. >>
I didn't think it was either since I have never seen it during eBay checkout, however your previous post implies that it is an option.
<< <i>
<< <i>Also they should consider adding a service level where you can forgo any transaction protection in exchange for a smaller fee. >>
Since the overall number of transactions that result in a protection claim is very small (less than 1% overall) that would compete with their own business model which is based on charging fees. I don't think it's feasible for another company to offer a service similar to PayPal at a lower cost (without protection) since it's the seller that absorbs the cost (or passes it on to the buyer by charging more) and the biggest barrier to online shopping is people don't feel secure sending someone they don't know money over the internet. Checks and money orders are already an option for reducing transaction costs at the expense of giving up some transaction protection. >>
I said that PayPal and not another company should consider a reduced service fee. IMO it is not worth $30 to me to accept $1,000 from you just to save a couple days. If they would offer it for $10 it might be acceptable.
I've used paypal gift when I want immediate delivery.
Paypal makes it an option that I can use so why not.
If you want to pay me regular paypal then add 3%, you pay paypal not me.
Plus gift has to be directly withdrawn from your bank account no Credit cards
The way I look at it Life is a chance
<< <i>
<< <i>
<< <i>I would think they would set it up so that the gift thing is not an option for eBay purchases. Also they should consider adding a service level where you can forgo any transaction protection in exchange for a smaller fee. >>
If using ebay and ebays checkout procedure it is set up so gifting is not an option. >>
I didn't think it was either since I have never seen it during eBay checkout, however your previous post implies that it is an option. >>
You are correct , i worded that post badly and should have checked paypal prior.The option is only there if one signs directly into paypal circumventing ebays checkout.
<< <i>I said that PayPal and not another company should consider a reduced service fee. IMO it is not worth $30 to me to accept $1,000 from you just to save a couple days. If they would offer it for $10 it might be acceptable. >>
That's what I was saying as well. I don't see why PayPal would want to create a service that competes with the fees they receive from their standard payment service given the low incidence of buyer protection claims. Advertising a protection-less service would encourage people looking to defraud others to use the service. The personal payment option is a service to their users and allows for a fee free transaction as long as the person sending the payment uses a bank account or balance transfer as the payment source. Personal payments made using a credit card as the payment source are charged PayPal's standard fees which the sender has the option of paying himself or having the fees deducted from the recipient's amount received. Although the personal payment option allows for a way to circumvent the PayPal fees for payment of goods and services, doing so violates PayPal's terms of service and exposes those involved to having their accounts closed or restricted. Just like you can choose what payments you accept so can' PayPal so don't complain about it if it happens
Like paypal doesn't make enough money off the business they get just from these boards!
<< <i>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. >>
You feel that way because you are good person who has integrity.
Coin's for sale/trade.
Tom Pilitowski
US Rare Coin Investments
800-624-1870
<< <i>PAYPAL GIFT ,CHECKS OR MO OK. >>
Link
Paypal is an evil entity, has screwed over many honest sellers over the years, and deserves zero consideration, IMO..
Collecting 1970s Topps baseball wax, rack and cello packs, as well as PCGS graded Half Cents, Large Cents, Two Cent pieces and Three Cent Silver pieces.
I sell more than most on here via Ebay....they get my money via fees and paypal gets my money via fees.....no problem, accepted costs for doing business but if Jo smith wants to sell me a $100 dollar coin for my collection and he asks me to send the funds via paypal gift...I have no issue with doing that.
<< <i>I am relatively new to using Paypal. How do the "gift cards" work?
TD >>
Please tell me they are not selling these at the Supermarket now. I would think they just add to a paypal balance and then charge fees to the seller if you use it.
Wives in my town have been buying gift cards at Publix (Supermarket) and using them at Bloomingdales. Adds $$$$ to the food bill and buying clothes they don't want husbands to see them buy. One guy saw his food cost go up $800 a month until he figured it out.
Buying top quality Seated Dimes in Gem BU and Proof.
Buying great coins - monster eye appeal only.
if i have any concerns i won't, as i want some recourse.
as a seller, i usually just ask for 2% of the 3% fee, if they want to send it as a gift... OK.
<< <i>
<< <i>
<< <i>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. >>
Huh?
I had more than the total amount sent in my PayPal Account.
I had plenty of money on the linked checking account.
I also HAD to pay the Gift fees.
The name is LEE!
<< <i>Let me repeat my question.....how does this Paypal Gift system work?
TD >>
After further testing, it works just fine. Thanks to the previous poster.
``https://ebay.us/m/KxolR5
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. >>
Huh?
I had more than the total amount sent in my PayPal Account.
I had plenty of money on the linked checking account.
I also HAD to pay the Gift fees.
Did you elect to use a CC to fund the purchase? That is the only time you would be charged a fee to send a gift payment. If the funds are in your paypal account or debited directly from a linked checking/bank account, there is no fee to send a gift payment and the recipient will receive the full amount of the payment.
Collecting 1970s Topps baseball wax, rack and cello packs, as well as PCGS graded Half Cents, Large Cents, Two Cent pieces and Three Cent Silver pieces.
<< <i>... it is my understanding that sending payment via "Gift" inhibits any recourse you may have if the transaction goes awry. >>
Correct. Why would a "gift" need protection? Paying by "gift" is "gifting" the money, which means you are giving away the money.
See http://www.doubledimes.com for a free online reference for US twenty-cent pieces
<< <i>< 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. >>
Huh?
I had more than the total amount sent in my PayPal Account.
I had plenty of money on the linked checking account.
I also HAD to pay the Gift fees.
Did you elect to use a CC to fund the purchase? That is the only time you would be charged a fee to send a gift payment. If the funds are in your paypal account or debited directly from a linked checking/bank account, there is no fee to send a gift payment and the recipient will receive the full amount of the payment. >>
I've used it many times; IF there's a balance in my PayPal account already, there's no fee. If it's coming from my checking account, one of us is charged a fee; I've gotten the message to choose who will pay the fee.
Legally, you cannot tax someone an extra amount of $ based on his or her preferred method of payment. Financial processing fees are a part of the cost of doing business, and are supposed to be absorbed by the seller (or already factored into the price of the product/service). The only exception I can think of, oddly enough, is my local government which charges a "convenience fee" for taxes paid online. But if any retail establishment tried to pull that nonsense, I guarantee they'd eventually get in trouble for it.
The only acceptable way around that rule is to offer a cash/check discount price. For example, if the minimum amount you'll accept for a coin is $1,000.00, then you have to factor in your anticipated financial processing fees into your base price: $1000.00 + 2.9% = $1,029.00. So in that case, you would offer the coin at the regular price of $1,029.00, and then only offer a $29.00 discount if paid by cash/check/M.O. Therefore, technically you are rewarding the buyer for using a more favorable method of payment, as opposed to penalizing the buyer for using an unfavorable one.
<< <i>I know I've mentioned this on the forums sometime in the past, but for what it's worth, I'll say it again:
Legally, you cannot tax someone an extra amount of $ based on his or her preferred method of payment. Financial processing fees are a part of the cost of doing business, and are supposed to be absorbed by the seller (or already factored into the price of the product/service). The only exception I can think of, oddly enough, is my local government which charges a "convenience fee" for taxes paid online. But if any retail establishment tried to pull that nonsense, I guarantee they'd eventually get in trouble for it.
The only acceptable way around that rule is to offer a cash/check discount price. For example, if the minimum amount you'll accept for a coin is $1,000.00, then you have to factor in your anticipated financial processing fees into your base price: $1000.00 + 2.9% = $1,029.00. So in that case, you would offer the coin at the regular price of $1,029.00, and then only offer a $29.00 discount if paid by cash/check/M.O. Therefore, technically you are rewarding the buyer for using a more favorable method of payment, as opposed to penalizing the buyer for using an unfavorable one. >>
Semantics.
<< <i>This eBay seller is fine with it!
<< <i>PAYPAL GIFT ,CHECKS OR MO OK. >>
Link >>
Appears ebay wasn't "fine" with it.
No Way Out: Stimulus and Money Printing Are the Only Path Left
<< <i>I know I've mentioned this on the forums sometime in the past, but for what it's worth, I'll say it again:
Legally, you cannot tax someone an extra amount of $ based on his or her preferred method of payment. Financial processing fees are a part of the cost of doing business, and are supposed to be absorbed by the seller (or already factored into the price of the product/service). The only exception I can think of, oddly enough, is my local government which charges a "convenience fee" for taxes paid online. But if any retail establishment tried to pull that nonsense, I guarantee they'd eventually get in trouble for it.
The only acceptable way around that rule is to offer a cash/check discount price. For example, if the minimum amount you'll accept for a coin is $1,000.00, then you have to factor in your anticipated financial processing fees into your base price: $1000.00 + 2.9% = $1,029.00. So in that case, you would offer the coin at the regular price of $1,029.00, and then only offer a $29.00 discount if paid by cash/check/M.O. Therefore, technically you are rewarding the buyer for using a more favorable method of payment, as opposed to penalizing the buyer for using an unfavorable one. >>
Does that apply to private non-business transactions too?
You can tell when it is getting slow around here when all that is being talked about is how we pay for the coins we buy.