Managed Payments - Does ebay hold an Australian Financial Services license ?

[toolman-online]

Hi Everyone,

I have resisted managed payments because I have concerns over what happens if something with the payment goes awry especially since my experience with ebay customer service is that they are largely uncontactable.

I am also disappointed that there are zero savings for sellers switching to managed payments.

Currently Paypal hold an Australian Financial Services License 304962 and if there is a problem with the payment component of the transaction then the AFS steps in.

Are eBay AFS license holder ?

Cheers Jamie

[sugar249]

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@toolman-online wrote:

Can you think of a change that eBay have implemented that benefits sellers ?

My bank merchant account costs me less than 1% to process card payments. 

I don't believe that the actual cost to process payments which is upward of 2.5% is all going to Ayden ?

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eBay are a business, if they don't make profits, they don't exist, if they don't exist you don't have a selling platform,  or someone to complain about.

Hey Padi

Does it matter who the 2.5% goes to, at the end of the day we are paying roughly the same as before.  

[padi*0409]

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@sugar249 wrote:

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Hey Padi

Does it matter who the 2.5% goes to, at the end of the day we are paying roughly the same as before.  

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Exactly Sugar, no real change at all.

Spoiler

...........except for which way to wear the tin-foil hat.................

[digital*ghost]

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@toolman-online wrote:

Can you think of a change that eBay have implemented that benefits sellers ?

My bank merchant account costs me less than 1% to process card payments. 

I don't believe that the actual cost to process payments which is upward of 2.5% is all going to Ayden ?

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And how many different payment methods can your merchant account process, in addition to credit cards?

i.e. Do they also process PayPal, GPay, Apple Pay, and Afterpay for 1%? If so, who are they and how can I sign up? 

Afterpay's fees for sellers are about 5% I think, but buyer's can use it on eBay and the seller pays the same rate that they do if a buyer uses a normal CC payment, or a PayPal payment, and so on. 

When you think about what the benefits of managed payments might be, it's better to look outside direct fee percentage comparisons. For example, what are the potential benefits (to sellers) of having more payment options available to buyers in the first place? 

eBay aren't a financial services provider, so no, they aren't registered with AFCA. In truth, I don't know what that means if / when a seller needs to dispute a decision made by eBay regarding someone's funds; a complaint can certainly be submitted about Adyen, but they are the processing entity, not the disbursement entity, or the one that holds funds, makes decisions about refunding buyers and all that other stuff, which leaves a grey area that I would rather be made much more black & white.

They are registered with AUSTRAC, but payment disputes aren't really their wheel-house, so I don't know if that would genuinely help if a seller needs to fight a decision made by eBay regarding funds. Of course, there is always the normal legal system, rather than dedicated regulatory bodies, which is no small thing. (For me, anyway, I am with other entities that have a similar system to eBay's, and neither the site nor the payment processor is registered in Australia, or with any Australian authorities / overseers, whatever you want to call them; I've never had a problem with them, after several years, but I can't see myself having much recourse if I did have a problem, at least with eBay AU, there are avenues available). 

[toolman-online]

Zero

[toolman-online]

Perhaps if you were a seller or a business you might have a different point of view

[repentatleisure1952]

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@toolman-online wrote:

Perhaps if you were a seller or a business you might have a different point of view

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Um... how would you (or I) know if padi is a seller or a business?

[toolman-online]

Yes it does matter who the 2.5% goes to !

Unlike many of the people commenting on this thread including yourself I am actually a business and reducing my bottom line is the objective.

Ebay changes touted as improvements are always one sided as there never seems to be a win win for both ebay and sellers

If eBay were even slightly interested in looking after sellers they could return something to us in the form of reduced overall fees, now that they are managing payments themselves and they could still increase their profit.

Interestingly enough with the move to MP there was not a single percentage point of savings that was passed onto sellers, despite initial promises of savings.

Who would have thought !

[davewil1964]

I'm a business, but I prefer to try to INCREASE my bottom line, not reduce it.

[repentatleisure1952]

What dave said about your bottom line... most business people know what that is.

Again... how do you know that those who are responding are a business or not.

I have no way of knowing so how can you make that claim?

[domino-710]

Someone who asks - 

Managed Payments - Does ebay hold an Australian Financial Services license ?