Managed Payments Fees: you’ll pay 25 cents for each final sale!
New Managed Payments Fees
One of the most popular e-commerce platforms in the world, eBay, will be raising its fees for payment processing through its very own Managed Payments program. The Managed Payments Fees are already included in the updated version of the website’s Payments Terms of Use so it’s pretty much official that eBay will add a “per listing” payments fee.
Why did we place “per listing” between inverted commas? Well, this is one of the elements of interest, if you will, for eBay sellers worldwide. Online payment services such as PayPal charge a “per transaction” fee.
So, in other words, if you sell three items to a single buyer in a single transaction, you would pay eBay 25 cents, while if you sell three items in three different listings, each listing will be taxed with 25 cents times three in addition to the “payment processing fee”, which is currently 2.7% of the total order amount.
Basically, users will be paying an additional 25 cents for each and every sale on eBay.
Using PayPal, you pay 30 cents on the total transaction (plus processing fee), no matter how many “listings” are included in the order. Sellers who have completed the managed payments onboarding process prior to June 4th will not have to pay the per listing payments fee, but there’s no guarantee those terms won’t change in the future.
“We charge two types of fees for managing payments: a payments processing fee when payment is processed for a transaction, and a payments dispute fee when a chargeback or other dispute for a managed payments transaction is adversely resolved against you (chargebacks and other disputes initiated directly with payment service providers are referred to collectively as “Disputes”). Fees for our management of payments are in addition to Fees charged to you by eBay for eBay Services. eBay will charge you for payments processing and payments dispute fees on behalf of eBay Commerce via eBay’s monthly invoice for eBay Services”, as eBay representatives state in a recent press release.
The Managed Payments Fees will impact sellers who sign up on or after the 4th of June 2019 although the additional fees will be waived until the 30th of September. Sellers who signed up before the 4th of June and whose account has been continuously opted into eBay Managed Payments won’t have to pay the new fees.
One of the main effects of this change in fee policy will be the impact on smaller eBay businesses or for sellers who offer cheaper products for sale, as the fixed fee for each transaction makes up a disproportionate percentage of the overall payment fees.
