Gumtree PayPal Fees Disclosure

Lmitch01 on 22/07/2019 - 09:35
Last edited 22/07/2019 - 11:23

I just sold an item for $300 on Gumtree and the buyer on the spot requested to pay with PayPal. I didn't think about it too much and went along with it. Once he left I discovered that my $300 sale had turned into $291.90 due to PayPal fees. If I had have known there would be fees I would have requested PayID or cash to save me the $8.10. I feel like that service was of no added value to me and I paid that money for nothing!

I went looking on Gumtree for mention of the fees and it was pretty difficult to find. I expected to find it in the Gumtree message thread where the invitation to pay with PayPal was, but no. I eventually figured out that I had to have accepted an invitation to link the two services at some point. I un-linked, and re-linked to try to figure out where the fees were disclosed. I found after reading it a couple of times a tiny mention at the bottom of the page. I think they haven't been clear enough about the fact there will be fees payable. Thoughts?

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Comments

  • Some Human on 22/07/2019 - 09:43
    +9

    Those fees are applied by PayPal, not gumtree. The fee is $0.30 transaction fee + 2.6% of the sale value.

  • Hardicus on 22/07/2019 - 09:47
    +43

    If you think that's bad, wait until the buyer does a chargeback and you lose the $291.90 as well.

    Never accept PayPal on gumtree, this is a golden rule.

    • vinni9284 on 22/07/2019 - 09:50
      +3

      That's when you get a receipt in person upon goods received and in good condition or signature upon delivery via postal/courier.
      However POS with cash is always gold.
      Cheers

    • GangGang on 22/07/2019 - 10:45
      +1

      You beat me to it.

  • HighAndDry on 22/07/2019 - 09:58
    +7

    Once he left I discovered that my $300 sale had turned into $291.90 due to PayPal fees. If I had have known there would be fees I would have requested PayID or cash to save me the $8.10. I feel like that service was of no added value to me and I paid that money for nothing!

    You paid money for the convenience of receiving money via Paypal. Gumtree had nothing to do with it, it didn't go via them at all.

    • mitch01 on 22/07/2019 - 11:18

      Thanks for your input but it wasn't more convenient for me. It offered nothing beyond what the free options do and had I been made aware of the fee I wouldn't have accepted it. Gumtree suggested it in the message thread and it's owned by the same company right?

      • HighAndDry on 22/07/2019 - 11:28

        The other options other than cash aren't really free, their costs are just rolled into the usual fees the banks charge you.

        Gumtree suggested it in the message thread and it's owned by the same company right?

        Not really relevant, you chose that method of payment, and it's NOT Gumtree charging the fees, even if it shares a company owner. You can ask Paypal why they didn't tell you they charge fees for receiving money, but they do, you just didn't check/look hard enough.

      • brendanm on 22/07/2019 - 17:00
        +1

        Everyone knows that PayPal charges, you had a PayPal account, so had likely used it before. If you don't want the fees, don't accept PayPal. It's really not difficult. You should be happy the buyer hasn't filed a "not received" or "not as described" claim with PayPal yet.

      • HeWhoKnows on 23/07/2019 - 18:55
        +1

        If you are accepting PayPal at the buyers request you can ask the buyer to cover the PayPal fees on top of the item cost.

  • FloatingPoint on 22/07/2019 - 09:59
    +21

    Accept Paypal on Gumtree? Well I think the $8.1 fee should be the last thing for you to worry about now.

  • trustnoone on 22/07/2019 - 10:04
    +6

    Hard to say, personally I always kind of felt that PayPal was a bit shifty on Gumtree, like they take advantage of peoples assumptions (yeah I know the old saying). For example people "assume" PayPal is more safe and will provide them with security if someone does something dodgy, in reality PayPal provides like zero help for Gumtree purchases. People "assume" PayPal will be free, but instead it has fees. People "assume" PayPal is integrated so its a preferable way to pay, but instead its one of the worse choices.

    I'm not saying not to use it, but I do feel that the 'security and safety' feeling of PayPal is being capitalized for $$$ as some people expect that purchasing through PayPal has that service, which is wrong.

  • ronnknee on 22/07/2019 - 10:16
    +12

    Member for 7 years and you still haven't learnt to transact on Gumtree with cash only and in person?

    • mitch01 on 22/07/2019 - 11:20

      Is this supposed to be constructive somehow or are you just trying to offend me?

      • ronnknee on 22/07/2019 - 11:26
        +4

        At least once a month, someone posts about being scammed on Gumtree because the buyer paid online (or pretended to). I know this isn't the case but the lesson from each post is to transact with cash only and in person. If you had learnt from the other posts, then you wouldn't have carelessly accepted PayPal and you wouldn't have been slugged with a payment fee.

        • mitch01 on 22/07/2019 - 11:55
          -2

          What individual members of Ozbargain take from those sorts of posts is really up to them. Regular forum reading isn't to my knowledge a mandatory requirement for Ozbargainers either. I simply asked for discussion on the topic of what I perceive to be maybe an abuse of power and/or misleading conduct on PayPal's part. I don't need your lectures on how to be a good Ozbargain member. But thanks anyway.

          • ronnknee on 22/07/2019 - 13:34
            +7

            @mitch01: You asked for thoughts so I've given you my thoughts. ¯\_(ツ)_/¯

          • brendanm on 22/07/2019 - 17:01
            +5

            @mitch01: He's telling you how to use common sense.

    • [Deactivated] on 30/06/2020 - 13:55

      The thing is sometimes the buyer is just like 60km away and driving back and forth isn't very practical either.

  • Ughhh on 22/07/2019 - 10:18
    +12

    I just sold an item for $300 on Gumtree and the seller on the spot requested to pay with PayPal.

    I don't get why and how people keep getting "seller" and "buyer" confused…

    • mitch01 on 22/07/2019 - 11:21
      -1

      I'm terribly sorry, I made a mistake.

  • johnnydelva on 22/07/2019 - 10:26

    isn't gumtree owned by ebay, and ebay and paypal part of the same organisation?

    • altomic on 22/07/2019 - 10:29
      +2

      gumtree & ebay.
      ebay & paypal were amalgamated but separated a few years ago,

  • altomic on 22/07/2019 - 10:28
    +7

    OPs next post - "sold something on gumtree and buyer paid by paypal, now buyer is claiming didn't receive item/item faulty"

    selling on gumtree - only accept cash or cash or cash

  • dcep on 22/07/2019 - 10:28
    +1

    so who's the seller ?

    • altomic on 22/07/2019 - 10:31
      +2

      What's on second,

  • EFC94 on 22/07/2019 - 12:05
    +9

    I feel people are unfairly attacking OP in this thread. He's asked a simple question about something he didn't really know about and you're all implying he's an idiot. I'm sure none of you have ever been wrong once in your life.

    OP in future if someone wants to pay via Paypal get them to pay via the "family and friends" option as this removes the Paypal fee. But if you're selling on gumtree it's generally safest to only ever accept a bank transfer (don't post until you see the money in your account), or take cash and give it to them in person. You're the seller so you can dictate the terms of the transaction to your liking, don't let the buyer force you into what they want.

    • mitch01 on 22/07/2019 - 12:10
      +2

      Thanks for your support and recommendations. I definitely won't accept PayPal again - in fact I think I'll try to avoid them altogether. I was tired when I sold the item and definitely didn't give the payment method due consideration. I just thought well I consider myself fairly savvy and if it was so easy for me to fall for this then maybe PayPal isn't disclosing their fees for services offered as clearly as they should!

      • Ughhh on 22/07/2019 - 12:25
        +5

        There's always fees involved the Paypal when the transactions is a "Goods and Services" type. "Friends and family" don't have fees, but there is still a risk with chargebacks.

    • HighAndDry on 22/07/2019 - 12:49
      -3

      He's asked a simple question about something

      Nope. Asking questions is fine. Implying Paypal is being dodgy when it's OP's own fault is why he's being "attacked", which he isn't, he's just being called out for making basically being wrong.

  • HeWhoKnows on 23/07/2019 - 08:10

    Oh dear. poor OP
    Got paid instantly and in full complains!!!
    My heart bleeds for you dear OP

    Go and read about the Paypal fees on the PayPal web site!
    Thats where the disclosure is.
    It has nothing to do with Gumtree.
    Dont blame Gumtee or us or anyone else for your ignorance.

    PS. These minor fees are much cheaper than if a cash buyer turned up and only wanted pay $250 which is normal for Gumtree.

  • panorama on 23/07/2019 - 18:41

    WOW unbelievable……………..paypal on gumtree hmmmm what else are you selling I want to know I will pay with paypal and give you extra to cover the fees…..LOL

  • mitch01 on 24/07/2019 - 20:53

    Well first and last post. This community is full of incredibly negative people. Are you all here just to be bitchy and act superior? Being supportive to your fellow ozbargainer feels good too!

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