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"Hidden" PayPal Fees Inciting Community Unrest

Several sites are reporting on the addition of extra fees to PayPal that are just starting to become common knowledge. While PayPal has certainly had their fair share of controversy, the new "transaction fees" that promise to affect the entire customer base are already well on their way to becoming another. "For example, a personal account sending another personal account money for a one-time payment for, say, mowing your lawn was not previously charged any fees on either side, but is now charged the usual transaction fee (the sender gets to decide who pays). The only way to avoid this is by selecting 'gift' when making the transfer — something you can't do if you're following through on a purchase or invoice from someone. And, if you fall into this category (which many people do), it's likely that you had no idea about the changes until just now."

5 of 309 comments (clear)

  1. speaking of paypal..... by Shakrai · · Score: 5, Interesting

    ... when is /. going to re-enable the direct credit card payment option for those who want to subscribe? I was a subscriber for the longest time until this option went away. Not everybody is willing to do business with Paypal or has the ability to do so.

    --
    I want peace on earth and goodwill toward man.
    We are the United States Government! We don't do that sort of thing.
  2. Re:Probably just the first step by Shakrai · · Score: 5, Interesting

    I think I'm just going to close my Paypal now

    My account was closed for me when I sold an item to someone on eBay who later claimed that he never received the item. Paypal locked my account over this dispute and claimed that I needed to provide them with a tracking number to get the block removed. I did so and then the buyer changed his story from "I never received it" to "he sent me an empty box"

    In spite of the fact that his story changed once confronted with the tracking number they still sided with the him and permanently blocked my account until I "repay" them for the money they reimbursed him. If I hadn't already transferred the funds into my checking account I would have lost them and the item I was selling.

    As far as I'm concerned Paypal can burn in hell.

    --
    I want peace on earth and goodwill toward man.
    We are the United States Government! We don't do that sort of thing.
  3. Re:$514 fee to collect $514 reversal by scharkalvin · · Score: 5, Interesting

    The ONLY way I pay though PayPal is via my American Express card.
    One time I had a problem and PayPal was zero help. So I directed my
    complaint through Amex. Good old American Express came down like a ton
    of bricks on PayPal and REVERSED the transfer, which got PayPals attention quick!
    All of a sudden, PayPal was in my court and got the seller to fix things.

  4. Re:Mod parent up by 0100010001010011 · · Score: 5, Interesting

    Only if you explicitly say "Google Checkout", I put in my auctions That I DO NOT accept paypal but have 'my own' credit card processor. Of course all I do is send them a Google Checkout invoice via e-mail and they pay it.

    I'm sure if I started selling to someone that worked for paypal/ebay I might get caught but 99.9% of people out there don't give a damn.

  5. Re:Still Cheaper... by adisakp · · Score: 5, Interesting

    So wait, you got screwed by PayPal, so at the first available opportunity, you gave them your credit card details so you could continue to use their service?

    Unfortunately, Paypal has become a necessary evil if you want to use E-Bay. I try to avoid it if at all possible but many sellers (at least 30-40%) on E-Bay only take Paypal for electronic payments.

    And yes, I'm trying to avoid E-Bay too but for hard-to-find or used items, you can't always find the stuff online or on Craigslist.

    Sigh... basically, that's a problem of dealing with monopolies -- which is what Paypal and E-Bay are for all practical intents and purposes.