I sell on eBay regularly and I think I'm probably sitting right on the fence between what Paypal considers Business and Personal use. I understand that Paypal is trying to make money--are'nt we all!! So, I understand that in order for them to stay in business, they are going to have to charge. But, what bothers me about this whole thing is feeling like I'm subsidizing someone else who's getting Paypal's services for free. My solution--allow those who choose to keep their personal accounts to do so with the stipulation the there is a limit of 20 (or 25 or 30 or whatever) transactions per month totalling no more than $xxx (whatever paypal thinks is appropriate for personal use). When the limits are exceeded, then a transaction fee of 1.9% plus .25 per transaction will apply to all transactions over the limit. If users want shopping carts, international, and the other perks of a business account, then they will have to upgrade and in exchange for these perks, they will lose the free transactions. This would make me happy. I would wind up paying for a few transactions each month, but I would not feel like someone else was getting a better deal. And, to Damon--When the higher ups decide to go with this wonderful idea, just remember where you heard it first!!
posted on September 17, 2000 03:55:32 PM new
crystalmc -
Good suggestions.
Damon
I know you have the job of reading all these things ... here's some other suggestions that would stop PayPal from bleeding cash:
For personal accounts:
1. Limit the number of outbound transfers by check or EFT (unless to x.com) to X per month, with X being in the one a week or less range. If people want to retrieve their money by whatever means DAILY, make them upgrade. Instantly more float from the hobby sellers who aren't that anxious about cash flow.
Numerous sellers have mentioned that they request their cash by check as soon as it hits the PP account. There's an expense you could trin easily.
2. STOP charging 1.9% on ALL transactions. If the intra-paypal transactions are costing you essentially nothing, and EFTs are cheap, why are ALL business accounts paying as though all incoming money is by CC. I certainly hope PP knows where the money cam from!
Someone pointed out that if a series of business accounts paid each other, even though the money never left Paypal, and EVEN IF the original account was funded by an EFT, the fees would be collected every time the money changed hands within the PP system.
3. If PAYPAL is losing money on sellers, why are they giving BUYERS a kickback on the fees they are charging the sellers? That 1% cash bonus that kicks in occasionally ... why give that when you are so desperate for cash?
