Originally Posted by liquidfiretibby
the fee is actually a processing fee from paypal for allowing you to electronically receive money. just like businesses pay a fee to visa, mc, discover, etc for all credit card transactions. they do not tell customers hey this item is $xx.xx PLUS our credit card fee.....just sayin
This is how PayPal still makes money on the transaction when not using another service like eBay. Sell something on eBay, you get hit with eBay seller fees as well as PayPal fees for accepting payments. I don't see people on eBay asking for the buyer to cover the fees and if they do - it goes against eBay's TOS.
Technically speaking it's not the buyer's responsibility to cover the seller's decision to use that service. If you have them pay the fees, factor your prices to cover them. You can have them pay the fees when it's factored into the price. But if you openly ask or require them to pay the fees, then you go against the TOS. Either way the buyer is paying the same price no matter which way you break it down, it's just the way you present it.
Gifting is risky as you the seller get no protection
from PayPal in the event of a scam. You can get hit with chargebacks or claims from the buyer's credit card company or bank account that a stop payment was filed. And you are screwed because PayPal will lock your account until that amount is paid back. Regardless if you did everything else right, you now have to do the leg work which could take days or weeks to clear up. IMO, that's like representing yourself in court with no legal backround. If you had the fees paid and everything else is performed following the corect TOS, then PayPal will help protect you against payment fraud.
Straight from PayPal TOS,
Originally Posted by https://cms.paypal.com/us/cgi-bin/marketingweb?cmd=_render-content&content_ID=ua/UserAgreement_full#4. Receiving Money.
4.1 Receiving Personal Payments. If you are selling goods or services, you may not ask the buyer to send you a Personal Payment for the purchase. If you do so, PayPal may remove your ability to accept Personal Payments.