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Sat Dec 2 2017 22:59:42

PayPal Lawsuit Raises the Issue of Fee Transparency

By: Ina Steiner

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This is one for online sellers to watch - A Canadian man sued PayPal Canada "alleging that the online payments company charges Canadians hidden currency conversion fees, violating its user agreement," according to the Canadian Press (via CBC).

Lawyers for the PayPal user is trying to get class certification

The newswire noted that none of the allegations have been proven, and says PayPal Canada did not immediately respond to its requests for comment.

The allegations are specific in this case, but it brings attention to the difficulties online merchants face in tracking fees assessed by payments firms and online marketplaces. If you sell on multiple channels using multiple payment methods, shipping services and tools, and you use paid search, it can be quite a task making sure each service is assessing the correct fees.

Do you routinely check the accuracy of fees assessed to your accounts?

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PayPal Lawsuit Raises the Issue of Fee Transparency   PayPal Lawsuit Raises the Issue of Fee Transparency

This user has validated their user name. by: LasVagueness

Wed Dec 6 00:54:29 2017

There is a workaround to the $400 insurance cutoff for first class international mail. Shipsaver (an application within eBay) insures up to $1,000.  

PayPal Lawsuit Raises the Issue of Fee Transparency   PayPal Lawsuit Raises the Issue of Fee Transparency

by: strife This user has validated their user name.

Fri Dec 8 20:14:32 2017

The answer to why your International sales, at least to Canada, have dwindled is this.

We have a $20 CDN import cap (de minimis) after which we start paying taxes and duties. In Ontario, where I live, it's 13% tax plus Canada Post charges you a $9.95 handling fee just to assess that tax. You pay that tax on top of the value of the item and any duties assessed. In essence you pay tax on taxes. If you use a courier then you have brokerage fees that are enormous.

Add in our week CDN dollar and voila, anything we buy from the USA costs us a fortune by the time we are nickel and dimed to death.

That's why Canadians are not buying from the USA.

Just a quick example. Couple of weeks ago I needed a part for my ebike that i couldn't source anywhere else. It came from California and was roughly $30 CDN. I got dinged 13% tax so almost $4 and the $9.95 Canada Post handling charge. So for a $30 item I paid $14 in fees on top of that $30. Can you say OUCH!

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