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  PayPal Surcharge
I have noticed alot of people add a (3% or so) PayPal fee to their items and I wonder if everyone is aware, that is against the user agreement. It seems that PayPal looks at sellers as "merchants". This is cut from the Paypal website:

-No Surcharges. Under Visa, MasterCard, Discover and American Express regulations and the laws of several states, including California, merchants may not charge a fee to the buyer for accepting credit card payments (often called a "surcharge"). You agree that you will not impose a surcharge or any other fee for accepting PayPal as payment. This restriction does not prevent you from imposing a handling fee in connection with the sale of goods or services, as long as the handling fee does not operate as a surcharge (in other words, the handling fee for transactions paid through PayPal may not be higher than the handling fee for transactions paid through other payment methods). Nor does this restriction apply to Pound-denominated transactions by sellers residing in the United Kingdom listing items for sale on a UK-based website.
Dill  (Threads | Answers | This Thread)

05-28-03
  Responses (1-32 of 32)
Click title to read one, or click date to read all below it.

05-28-03   I guess we will now have to offer a 3% discount for other fo ...   Thsalmon

05-28-03   If you, as a seller, accept only paypal as a method of payme ...   Wdhsvbgod

05-28-03   Well said thsalmon! i fail to see why the seller would have ...   Mephisto

05-28-03   Geez dill, i'm impressed. i didn't think anyone actually rea ...   Karls

05-28-03   I've noticed that, on ebay, this restriction has always been ...   Vectorman67

05-28-03   Thanks for your post. my gut reaction when i see the paypal ...   Rockvirgo

05-28-03   I am a paypal member. you can register yourself to receive p ...   Prlscs

05-28-03   Paypal has no jurisdiction here. who cares if they say you ...   Pmkalby

05-28-03   Rockvirgo, you took most of the words out of my mouth. i ag ...   Jetkitty

05-28-03   I would not get hung up on it. for a fixed priced classifie ...   Sugarbrie

05-28-03   Paypal would have no standing whatsoever to challenge a sell ...   Thedautch

05-28-03   Hey, if paypal is so damned worried about seeing the "+ ...   4yanx

05-28-03   I believe it has nothing to do with paypal. i don't think a ...   Sugarbrie

05-28-03   Plenty of stores do in effect add a surcharge by saying, &qu ...   Pmkalby

05-28-03   Sugarbrie is right on it. in general, i'm all for venting a ...   Rockvirgo

05-28-03   Preferences aside, paypal runs the disclaimer because it jus ...   Mezmo

05-28-03   As both a buyer and a seller, using paypal comes at a great ...   Jax2

05-28-03   I think the charge should have no effect on the buyer...if h ...   Trader128

05-28-03   Anyone with a paypal account is contractually obligated to n ...   Cadmaniac

05-28-03   Interesting thread. i've used paypal at least 200 times as ...   Wmcmanus

05-28-03   Of all the points of view brought up,nobody has brought up t ...   Avguygeorge

05-28-03   I want my 3% back from all you crooks who sold me stuff. and ...   Danvetc

05-28-03   Reminds me of the "do not remove this tag under penalty ...   Elizabeth

05-28-03   Cadmaniac: why is it illegal if it is simply against paypal' ...   Thedautch

05-29-03   Mezmo: what law is this you say it is against to charge 3%- ...   Pmkalby

05-29-03   Frankly i tend not to user paypal to settle transaction. th ...   Lafish

05-29-03   I've done a lot of trading here on audiogon, either as a buy ...   Mephisto

05-29-03: Sugarbrie
To repeat..All credit card transactions have a fee, usually around +/-3%. The store pays it (deducted from proceeds). Has nothing to do with Paypal. If you accept credit card payments, you are no different than a store.

If you were to try to set up your own credit card account directly with VISA and Mastercard, the fixed cost alone would be a lot more than just paying PayPal.

PayPal has created a way for all of us to get the benefits of credit cards on very small transactions, with no up front costs. What is the problem here?

Sugarbrie  (System | Reviews | Threads | Answers | This Thread)


05-29-03   I've never actually used paypal, so my info's a bit shaky. ...   Mezmo

05-30-03   Wheee! thanks mezmo. from now on i will be offering 3% of ...   Pmkalby

05-31-03   I'll point out that paypal charges a surcharge, so its quite ...   Leftistelf

06-01-03   Like many state laws, this is unenforcable, especially out-s ...   Tbg


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