net to me?

kreole said:
Well if that's the case, to throw it out to other sellers, if I see "$xx paypal gift" in a listing, I won't buy it. I've passed on a knife or two I would have bought otherwise because of that. To be clear, if it's listed "$xx + 3.5% or paypal gift" I won't rule it out, but solely listing paypal gift, which some do, makes me assume you're out to skirt your responsibility if anything goes wrong, no matter how many positive transactions you might have. If "net to me" is code for only paypal gift, I will be skipping over those ads as well.
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No, "net to me" does not imply ONLY paypal gift. What I'm trying to say is that when a seller states, "net to me" it means he/she wants to get that net amount and if you as a buyer don't want to pay the paypal fees, you're more than welcome to paypal gift if you want to take the risk.

The point is that one party is going to take the hit for the paypal fees. As Revdevil said the seller CAN add the fees onto the asking price, but that increases the price on the listing thus decreasing the desirability.

It would be a lot easier to not have to play games like that but whenever you're shopping at an online vendor or in a brick and mortar store they're doing the exact same thing.
 
RevDevil said:
You wouldn't charge someone paypal fees if they are sending a money order. But then again, you are receiving money theough paypal, why would you charge the buyer for you receiving money. That is the part that makes no sense. Post #11 makes the most sense. The cost of doing business I guess. I know a lot of members here that will not buy an item they want if the seller tries to pile the fees on top of the asking price. To that end, it's not a complete asking price.
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Is this based on paypal being the preferred method of payment? Personally I do not like paypal and would prefer a PMO, so if the buyer wants to use this method, then it is on them to cover the cost.
 
PayPal specifically prohibits sellers from charging buyers for fees, or for offering a discount for not using them. The fact we often see it here in the Exchange doesn't change the fact that it's against their policies. You probably couldn't get away with it on eBay because of the automatic checkout options, but I doubt PP ever polices this site unless somebody files a complaint.
 
It seems to me that when a seller only states "net to me" with no other information he or she probably doesn't get the full amount in some cases. The general add on amount for Paypal transactions seems to be 3%. If the seller only states "net to me" without stating the required percentage some folks will assume 3% is the correct amount to add onto the price.

Paypal fees are not 3%. They are 2.9% + 30 cents.

Here's what I'm getting at:

Seller only states $100 net to me.
Buyer gets out the calculator and adds 100 + 3%. This totals $103.
Buyer pays $103.00. Seller gets a net of $99.71.

When calculated this way, even if Paypal did charge exactly 3% the seller would only net $99.91.

So if the buyer wants to meet the seller's requirement of "$100 net to me" he has to determine what amount would be $100 after Paypal subtracts 2.9% + 30 cents.

For many people, this is too complicated. It shouldn't have to be that difficult.

I wonder how many sellers that use "net to me" only don't get the full amount when payment is made.
 
Gravelface said:
Is this based on paypal being the preferred method of payment? Personally I do not like paypal and would prefer a PMO, so if the buyer wants to use this method, then it is on them to cover the cost.
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Yes, if paypal is required then it's actually the sellers responsibility to cover the fees. It's in the paypal ToS, and when reported paypal can shut down accounts for the old "add x%". I too would prefer a money order, but that isn't always the case. I prefer to do the math myself than put that on the buyer, I guess I'm just a nice guy in that regard.
 
I think the idea of just figuring in the fees and giving a discount on MOs makes the most sense. While it's easy to forget as a seller, MOs have fees as well and it ends up transferring to the buyer in both cases.
 
I prefer net to me. If I am selling it for $100 and you want to buy it fine. The buyer can send money order, paypal gift, cash from paypal account, paypal by credit card. I could care less how you pay as long as I net $100. By listing it this way you offer the lowest possible price to anyone which is fair and good business. When dealing in knives in the $300+ range the 3 % can add up especially when guessing what shipping might cost (I am not going to go to the post office to get a quote and then contact the buyer with the exact amount. I make a guess up front and if I am short well it's on me). Why should I lose money because of your payment method when I am trying to offer the best price I can upfront? I 've had guys offer to buy my knife if I lower the price $5 on a $350 knife. So best, cheapest price from the start is the best practice. Net to me cuts through any confusion.
 
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Railsplitter said:
It seems to me that when a seller only states "net to me" with no other information he or she probably doesn't get the full amount in some cases. The general add on amount for Paypal transactions seems to be 3%. If the seller only states "net to me" without stating the required percentage some folks will assume 3% is the correct amount to add onto the price.

Paypal fees are not 3%. They are 2.9% + 30 cents.

Here's what I'm getting at:

Seller only states $100 net to me.
Buyer gets out the calculator and adds 100 + 3%. This totals $103.
Buyer pays $103.00. Seller gets a net of $99.71.

When calculated this way, even if Paypal did charge exactly 3% the seller would only net $99.91.

So if the buyer wants to meet the seller's requirement of "$100 net to me" he has to determine what amount would be $100 after Paypal subtracts 2.9% + 30 cents.

For many people, this is too complicated. It shouldn't have to be that difficult.

I wonder how many sellers that use "net to me" only don't get the full amount when payment is made.
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First of all, do it this way and give the exact amount:
Esav Benyamin said:
http://thefeecalculator.com/
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Second of all, read the PayPal rules and go by them or don't use (steal from) the service.

Think about this. Many sales start out at a high price, PayPal accepted but you pay the fee, add in for shipping, insurance optional, blah blah blah -- and then the knife sits for a few days and YOU LOWER THE PRICE. Once you lower the price, what was the use of typing in all that petty gouging?

Figure you need $100 for your knife, add in $10 for all those petty little costs, add in $10 more because you'll lower it $20 to make the sale, and be happy to end up with $90 instead of that old knife you haven't used in years. :D
 
Esav Benyamin said:
....Figure you need $100 for your knife, add in $10 for all those petty little costs, add in $10 more because you'll lower it $20 to make the sale, and be happy to end up with $90 instead of that old knife you haven't used in years. :D
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Precisely. :thumbup:

[video=youtube;v7jKfadSeEE]http://www.youtube.com/watch?v=v7jKfadSeEE[/video]
 
What would it be like if grocery stores had all of their items priced at "net to us"? This coke is $1.09 net to us. So if your paying cash just add tax, if your using a debit card add 20 cent plus 10%, Capital One Mastercard 22%, Chase Saphire Visa add 22.5%, American Express customers add 27.8%, etc etc. Why not just make it easier for the customers and include any possible cost in the price and when they don't actually occur think of it as a bonus.
 
seedsacker said:
What would it be like if grocery stores had all of their items priced at "net to us"? This coke is $1.09 net to us. So if your paying cash just add tax, if your using a debit card add 20 cent plus 10%, Capital One Mastercard 22%, Chase Saphire Visa add 22.5%, American Express customers add 27.8%, etc etc. Why not just make it easier for the customers and include any possible cost in the price and when they don't actually occur think of it as a bonus.
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I'd agree, and call your credit card companies and get those negotiated down will ya. ;)
 
elkins45 said:
PayPal specifically prohibits sellers from charging buyers for fees, or for offering a discount for not using them. The fact we often see it here in the Exchange doesn't change the fact that it's against their policies. You probably couldn't get away with it on eBay because of the automatic checkout options, but I doubt PP ever polices this site unless somebody files a complaint.
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They may not police this site but if you are getting regular payments via the gift tab, they investigate which usually starts with a frozen account.
There are many folks here who will not accept payment via the gift tab because of this. Buyers should ask first and not assume it's OK.
 
LMT66 said:
They may not police this site but if you are getting regular payments via the gift tab, they investigate which usually starts with a frozen account.
There are many folks here who will not accept payment via the gift tab because of this. Buyers should ask first and not assume it's OK.
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I avoid the whole problem by not accepting PayPal. I will concede that it has probably cost me some sales because it's normal for people to not want to mail a money order to a complete stranger. That's OK with me because I'm not engaged in the knife business and therefore I don't NEED to sell my knife. Not accepting PP helps keep my hobby from becoming a hassle.
 
From what I know (and I may be wrong) PayPal requires seller to pay the fees, as it is primarily for the sellers convenience. Passing those to the buyer will be violation of paypal terms. CPFMP (candle power forums market place) recently banned for sale posts having PayPal fees explicitly specified to be borne by the buyer.

Probably a better way may be to charge "handling fees" instead.

Personally I do not charge paypal fees to the buyer, it is the running cost of doing business over the web. The day I feel the fees are unjust, I'll move over to something else.
 
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