Thread: Ebay forcing sellers to use PayPal.

No, but read about it on the site. Bet they wouldnt have done this if they hadnt of bought paypal. I think it stinks. I much prefer direct deposit and I am only a buyer. I bet the sellers will be cheesed off with the extra cost.

Donna

Nope I'd prefer to sell with paypal.
You don't have to serach through deposits trying to find one that the purchaser hasn't identified themself adequately on.

However I suspect ebay may be in breach of the trade practises act if they demand paypal be used.

So if you're not happy with ebay write a lettter to the ACCC and see what happens.

My first thought is that the US ebay site often has different conditions to the AU one. Wonder if it might be worthwhile looking more at listings on that site.

Peter

I think Bob has it there. It is called third line forcing in this country and is illegal (guess who just did their compliance training at work)

What they can do is make it hard for you to use other means

Just had a look and its coming.

Paypal only or pick up on collection.
That disenfranchises anyone without a Visa/Mastercard who cannot personally pickup their goods.

Good, I prefer to buy with ebay,
Some of the dingaling merchants who have refused to accept Paypal in the past now have to lift their game, or get out.

(I still think it may be a breach of the TP Act)

The thing that gets me (and which might make it illegal) is that the method that is being forced on sellers is one that charges a fee to the seller, said fee being paid to an ebay subsidiary, so really it is a covert way for ebay to extract more in fees from the sellers.

peter

PayPal is great if you've bought overseas. The purchases I've made within Aus the seller has been happy to accept b/deposit or across the bank counter.

If any Aussie seller has PayPal or pickup only, ask him/her the question, "Will you post and can I pay by d/deposit?" I'd been watching some TR-12's, but at least half only accepted pick-up.

But you're right, forcing the market to one way only is

With a Paypal account, after a certain amount you have to "Verify" the account.

This involves giving Paypal your bank account details so then can access your account. This is above having your credit card details.

NO BLO.DY WAY will I hand out bank account details.

This is my reply to one of the many threads on Ebay talking about the issue:


I have a seller rep of 100%, so how have my buyers suffered by my "shady practice" of liking direct deposit? I found PayPal a nightmare the one time that I trialled it as a seller - I couldn't get my money (easily) because I don't do a lot of trading, and so therefore there wasn't enough in the PayPal account.

If I use Ebay in future, I'll probably not do it for the occasional item, and wait until I have a good collection, or find another method of selling the one or two things I have.

In the past, I had people direct deposit, I got the money (including that needed for me to post the item in my account, and not locked away earning PayPal interest), and the buyer got their item.

Oh well, Ebay's call - they can set whatever rules for their site, but making it almost exclusively PayPal will loose them a lot of sales.

I hate the fact Ebay is already so full of commercial sellers, guess that is all Ebay will be after this.

Yep. Got it this morning. Sent it to the ACCC.

It doesn't matter much really, but it does make it harder for the occasional seller. I think I've sold 6 or so items in the last year, all direct deposit. Paypal requires a premium or business account at that level, I probably wouldn't bother because of the dollars. If they lifted this limit to a more reasonable number, I wouldn't like it, but probably go along with it.

Glad I dumped the saleable items in Jan.

As a buyer, no problems with paypal, it works well, especially for overseas purchases. I hear a lot of sellers complaining that PayPal is all biassed towards the (shonky) buyers way though.

woodbe.

http://www.accc.gov.au/content/index...mId/3669#h3_40

Third line forcing

Third line forcing is a specific form of exclusive dealing prohibited outright by the Trade Practices Act. It is not subject to the substantial lessening of competition test. It involves the supply of goods or services on condition that the purchaser buys goods or services from a particular third party, or a refusal to supply because the purchaser will not agree to that condition.

woodbe.

Originally Posted by woodbe

Third line forcing is a specific form of exclusive dealing prohibited outright by the Trade Practices Act.

But is this relevant to Ebay.

As I understand it Ebay is a foreign company and their service are hosted on internet services outside Australia so how is the Australian Trade Practices Act relevant to them, and if it is how can it be enforced.

Might be applicable to the Australian Ebay site but again only enforceable if hosted locally, which I doubt as well.


Peter.

The PayPal service is provided by PayPal Australia Pty Limited (ABN 93 111 195 389) which holds an Australian Financial Services Licence, number 304962.

Not according to Ebay...

I think even if they were a foreign company, it wouldn't exempt them from Australian Law.

woodbe

Just found this out myself.

It smacks of double dipping on selling fees, especially as EBay owns Paypal.

I've only sold one item on Ebay with Paypal, and was disgusted that despite their claim of "instant" money transfer, the money was held in limbo for 5+ days when I transferred it out.
Once bitten, twice shy.

That never happens with the many Bank Tranfers I have received at other times.

Sounds like the ACCC will have field day, especially as EBay is not openly disclosing their association with Paypal. But then again, they really are a toothless tiger