Ina Steiner EcommerceBytes Blog
News and insight focusing on ecommerce.
by Ina Steiner, Editor of EcommerceBytes.com
Mon July 16 2018 20:39:51

eBay Unveils Payments Beta on Anniversary of PayPal Split

By: Ina Steiner

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We noted in our editorial this morning (available to email subscribers) that this is the 3-year anniversary of eBay's split with PayPal, meaning eBay would be able to start testing its own payments system on a small scale. 

Hours later, eBay sent an email to sellers inviting them to participate in a beta trial that begins in September. And while it didn't provide information about the cost of using eBay Payments, it said there would be special pricing for those who opted in early. (Eventually it will become mandatory for all users.)

eBay had previously announced it would become a "payments intermediary," meaning that while buyers will continue to use various payment methods - including PayPal - they will pay eBay rather than paying sellers. eBay will then disburse payments to sellers. Read more in this January blog post.

Today, eBay positioned it as a "simpler" way to get paid: "Consolidated pricing: all your fees in one place on one bill, plus special pricing for early opt-in."

Sellers have expressed many concerns about eBay's forthcoming approach to payments. A key concern is how long it will take to receive their funds. eBay said there would be daily payouts, but it said "All cleared funds will generally be paid in a daily batch and directly to your bank account, regardless of how your buyer chooses to pay."

The words "cleared" and "generally" may give rise to concern.

One seller said they worried about what would happen to micro payments, which PayPal offers and makes it affordable to sell items at extremely low prices. 

In its email today, eBay provided sellers with FAQs and invited them to take a survey to provide feedback. Here's what eBay sent to sellers:



Tell us what you want to learn about managing payments on eBay. 
This will be a multi-year journey, and you've been invited to participate in the initial launch this fall. We want to keep you informed of our plans to manage payments. Before you sign up for managed payments, you may have questions. Here are answers to questions that may be on your mind

1) What are the key benefits?

- One place to sell and get paid: manage all your selling and payments needs from within your eBay account.

- Simpler bills: all your fees in one place on your eBay bill.

- Consolidated pricing: all your fees in one place on one bill, plus special pricing for early opt-in*.

- Daily payouts: direct to your bank account. No need to transfer funds between accounts.

- New ways for buyers to pay: such as mobile payments with Apple Pay.

- Better protection: claim and chargeback seller protections provided by eBay, with one place to manage disputes.

- More control: accept your exclusive invitation now to get a head start on adapting your business to selling and getting paid on eBay.

2) What will eBay's fees be?
In September 2018, you will receive an invitation to participate in our limited initial launch. To access the offer, you'll be prompted to sign in to your account for more information and specifics like fees and additional frequently asked questions.

3) How will I access my funds?
All cleared funds will generally be paid in a daily batch and directly to your bank account, regardless of how your buyer chooses to pay. From your bank account, you can access your funds directly, with no need to transfer funds between accounts. In addition, we're working with our financial partners to enable even more options for speedy access to your earnings. 

4) What will I have to do to sign-up?
Your invitation in September will take you to a sign up page for a quick and easy enrollment process. After you enter a few personal details like preferred bank account for payouts and your social security number to verify your identity, we'll manage the rest. We will automatically update your existing account and listings and transfer your existing listings to the new payments model. For new listings, we'll ask you to use Seller Hub's listing page and any existing listings APIs you use.

We're still continuing to work on additional details. If you have other questions, please let us know what you'd like to know about managing payments.

What's most important to you as eBay begins managing payments? Select all that apply.

- How quickly I can access my funds.

- New forms of payment for my buyers.

- How returns and refunds will be managed.

- What protections eBay will extend to me.

- What the discounted pricing will be.

- Other

Please let us know if you have any other feedback. (Text box)

Please don't include any personal information, such as your name, address, phone or user ID in the fields above.

By using this feature and submitting feedback, suggestions or enhancements, you assign to eBay all right, title and interest to all associated proprietary rights worldwide, including without limitation, all patent, copyright, trade secret, trademark, moral right, rights of publicity, or other intellectual property rights.

Comments (105) | Leave Comment | Permalink
Readers Comments

Perminate Link for eBay Unveils Payments Beta on Anniversary of PayPal Split   eBay Unveils Payments Beta on Anniversary of PayPal Split

by: ib30667 This user has validated their user name.

Wed Jul 18 09:06:34 2018

We all have one thing in common with Ebay:
We all want to make money.
Unfortunately, Ebay has the upper hand in calling the shots.
(I love the ''Ebafia'' tag for Ebay - (In Godfather voice)''Let me make you an offer you can't refuse.'')
You would think that other selling venues would take advantage of all this BS from Ebay and amp up their marketing strategies in trying to get sellers from Ebay to come over to their site (Then try to get more traffic to their site knowing they have more sellers). The only reason we're still on Ebay is because the traffic (well at least that's why I'm still there). With the exception of Amazon, no one else has traffic. I'm a small time seller. All I want to do is list, sell, ship and get paid. Why do we all have to jump through hoops and sacrifice ourselves just so they can justify their million dollar salaries? Yes, selling on line is a cut throat industry, but it doesn't have to be.
I've been reading the comments and feel for all you larger sellers. This new payment system will impact me a little (I don't trust Ebay, bad enough they have certain info on me already), but not as much as it will others. Kudos to the ones that will opt into the BETA version. Not sure I would even if I met the criteria. I don't have any qualms with PP. I don't mind transferring money into my account. I don't mind finding my fees on two different sites. It's part of my routine. This all seems like more work than is necessary. The glitches are going to be phenomenal.  I can't see this being anything but a cluster f--k.
KISS...Keep It Simple Stupid. Less is more in this respect. This might be easier for Ebay but a real headache for sellers. And the scam buyers will continue to be scammers.
JMO

Perminate Link for eBay Unveils Payments Beta on Anniversary of PayPal Split   eBay Unveils Payments Beta on Anniversary of PayPal Split

by: thebobman This user has validated their user name.

Wed Jul 18 09:15:16 2018

Seller hub for new listings.... Can i still use turbolister?

Perminate Link for eBay Unveils Payments Beta on Anniversary of PayPal Split   eBay Unveils Payments Beta on Anniversary of PayPal Split

by: spooky This user has validated their user name.

Wed Jul 18 09:45:14 2018

I was asked by eBay to participate in the beta trial. I said please no. Asked am I fine with eBay running the payments end of the sales like Paypal and my answer was no, eBay is so filled with everyday glitches now that I cringe at the thought. Paypal runs smoothly, have not had any problems with Paypal, but I have a new glitch virtually everyday with eBay.

Perminate Link for eBay Unveils Payments Beta on Anniversary of PayPal Split   eBay Unveils Payments Beta on Anniversary of PayPal Split

by: Bethofvt This user has validated their user name.

Wed Jul 18 10:38:54 2018

What happens to GoDaddy bookkeeping? This is an Ebay app but info to do the reports all comes from Paypal?  Am I going to have to do my taxes without my GoDaddy info? I'm not sure I can anymore.

Perminate Link for eBay Unveils Payments Beta on Anniversary of PayPal Split   eBay Unveils Payments Beta on Anniversary of PayPal Split

by: pace306 This user has validated their user name.

Wed Jul 18 11:20:10 2018

Tool

if you read consumer protection laws - it IS.

I cant read for you.

When it comes to CC's, the rate you pay is based on YOUR credit rating. Its NOT based on color, creed, religion, sex etc.

You cant arbitrarily charge people different amounts with out "cause".

Thats why bank rates are posted in their windows - its just that simple.

 

Perminate Link for eBay Unveils Payments Beta on Anniversary of PayPal Split   eBay Unveils Payments Beta on Anniversary of PayPal Split

This user has validated their user name. by: Marie

Wed Jul 18 12:49:54 2018

@toolguy

"Good sellers pay 10% in FVF, not so good sellers pay 14%  It's NOT illegal. . .If you think it is talk to your attorney general."

Are you sure about that?  On the surface one might think that, but it you look at how it is decided if you are a "not so good seller" things look a bit more complicated.  Ebay is judge and jury on what sellers are dropped in the rankings.  With some of the matrix used to eval a seller starting in September that is NOT disclosed to the seller.  The matrix they will be using to judge if a seller has too high of a SNAD & INR rate is NOT fully disclosed to a seller.  But fall below what EBAY DEEMS is not acceptable and you will be in the penalty zone for the FVF.

That 40% fee increase is a conflict of interest.  When the one deciding if you have to pay the high fee is the one that is benefiting from you paying the FVF, somthing just is not right.  And legal????  I'm not so sure.  Ebay has a fiduciary duty to its members.  Are they breaching that with this policy?  Maybe so?  But the lawyers will have to figure that one out and if Ebay follows through with this, I think they will at some point.

Perminate Link for eBay Unveils Payments Beta on Anniversary of PayPal Split   eBay Unveils Payments Beta on Anniversary of PayPal Split

This user has validated their user name. by: Marie

Wed Jul 18 12:52:21 2018

@thebobman

"Seller hub for new listings.... Can i still use turbolister?"

Yes if you still have it loaded on your computer, you can still use it.

Perminate Link for eBay Unveils Payments Beta on Anniversary of PayPal Split   eBay Unveils Payments Beta on Anniversary of PayPal Split

This user has validated their user name. by: toolguy

Wed Jul 18 13:41:43 2018

@Chicago48

When a buyer uses Paypal to pay for an item the money will go to Ayden/ebay and from there they will deposit into your checking account.

Your Paypal account you use as a seller will never see the money unless eBay allows direct deposits to Paypal which will happen only once a day. eBay has not said if they will deposit to Paypal, no mention of that so far. . .

Perminate Link for eBay Unveils Payments Beta on Anniversary of PayPal Split   eBay Unveils Payments Beta on Anniversary of PayPal Split

by: Paul W This user has validated their user name.

Wed Jul 18 13:45:59 2018

My guess is that eBay's UA will require eBay to have access to your bank account for refunds, etc.
EBay will make it clear you can opt out of that by closing your eBay account.

Perminate Link for eBay Unveils Payments Beta on Anniversary of PayPal Split   eBay Unveils Payments Beta on Anniversary of PayPal Split

This user has validated their user name. by: toolguy

Wed Jul 18 13:52:26 2018

Contrary to what most here think.

eBay is not stupid!

They've made WAY more profit then Amazon has over the past 2 decades. . .

Fee's are based on PERFORMANCE not race, creed or religion.

Selection to BETA test this was done by a sellers PERFORMANCE!

I have on average 2-3 returns a years, I have no negatives and only 1 neutral, my seller dashboard looks stellar, that's why I was invited.

Now my other ID vw was not invited.

It's really not a big deal and in fact I'm kind of scared to let go of Paypal as they've been very good to me over the 15+ years.

Perminate Link for eBay Unveils Payments Beta on Anniversary of PayPal Split   eBay Unveils Payments Beta on Anniversary of PayPal Split

This user has validated their user name. by: iheartjacksparrow

Wed Jul 18 14:21:16 2018

@Paul W - Exactly. Just like Etsy closed accounts of sellers not signing up for Etsy Payments, you can bet that eBay will say, "Follow our rules or close your account." And part of those rules will definitely be that they can withdraw funds from your bank account when the need arises.

Perminate Link for eBay Unveils Payments Beta on Anniversary of PayPal Split   eBay Unveils Payments Beta on Anniversary of PayPal Split

by: thebobman This user has validated their user name.

Wed Jul 18 14:37:02 2018

>>Yes if you still have it loaded on your computer, you can still use it.

I mean the "payment options" section in turbolister. They would need to update it to add ebay payments as an option

Perminate Link for eBay Unveils Payments Beta on Anniversary of PayPal Split   eBay Unveils Payments Beta on Anniversary of PayPal Split

by: val2525 This user has validated their user name.

Wed Jul 18 16:17:28 2018

It appears many of you have not used any payment processor other than PayPal. What eBay is asking for, and plans to do, is what I've already encountered using Square, Stripe and Intuit Payments.  All that eBay is asking for is driven by federal regs related to the payment processor.  It's nothing new. And yes, the other payment processors will accept EIN *if* the account is in the business name. Or they have for several of my accounting clients, anyway.

Perminate Link for eBay Unveils Payments Beta on Anniversary of PayPal Split   eBay Unveils Payments Beta on Anniversary of PayPal Split

by: val2525 This user has validated their user name.

Wed Jul 18 16:19:06 2018

@thebobman, Turbolister is no longer supported by eBay. I'd be very surprised if any existing Turbolister product was updated once the new payment system is in place.

Perminate Link for eBay Unveils Payments Beta on Anniversary of PayPal Split   eBay Unveils Payments Beta on Anniversary of PayPal Split

This user has validated their user name. by: Marie

Wed Jul 18 18:39:39 2018

@val2525

If a TL problem arrises, you can get help for it.  They just aren't upgrading TL anymore.  They do have updates to fix stuff as needed when Ebay changes other programs that affect TL.  

It was a year ago that TL was suppose to be completely retired.  No one would be able to use it.  But they also promised that once the retired TL, we would have similar abilities within the Seller Hub to replace TL.  They have not given us anything on the Seller Hub to even come close to what we can do in TL.  And they never have answer the question, to my knowledge, if listing could be stored longer than 90 days.

Perminate Link for eBay Unveils Payments Beta on Anniversary of PayPal Split   eBay Unveils Payments Beta on Anniversary of PayPal Split

This user has validated their user name. by: RKTOYS

Wed Jul 18 19:05:07 2018

To support what others are saying, I found that hooking up a bank account for deposits also enabled stealing.  Calling it "direct deposit" is a huge misnomer.  Further, it seems to be like losing one's virginity and the bank will not lift a finger to revoke access once granted.  The only option seems to be to destroy the account.  So sellers should have disposable buffer accounts between any venue and their real business account.

Perminate Link for eBay Unveils Payments Beta on Anniversary of PayPal Split   eBay Unveils Payments Beta on Anniversary of PayPal Split

by: maxmad This user has validated their user name.

Wed Jul 18 21:33:22 2018

eBay's second quarter report, is BAD, the stock is already Down 5% in after hours trading,

Ebay is failing and will need to generate much more MONEY, unfortunately it will be the sellers they get it from

Get ready for more bad news,

Perminate Link for eBay Unveils Payments Beta on Anniversary of PayPal Split   eBay Unveils Payments Beta on Anniversary of PayPal Split

This user has validated their user name. by: Marie

Thu Jul 19 02:42:57 2018

@wilburnet

You can't request to join the Beta test for this payment process.  It is my invitation ONLY.  I just think you misunderstood what Sasikat said.

Perminate Link for eBay Unveils Payments Beta on Anniversary of PayPal Split   eBay Unveils Payments Beta on Anniversary of PayPal Split

This user has validated their user name. by: Marie

Thu Jul 19 02:48:30 2018

All I can tell you guys is that I'm an active user of Turbolister.  While Ebay is not improving it in any way, they are keeping it updated with things as they change on Ebay.  I have no idea what the future holds for TL.  They know lots of sellers are still using it, so chances are if some change needs to be made to TL to allow for the new payment process, they will either have to update it or retire it.

Perminate Link for eBay Unveils Payments Beta on Anniversary of PayPal Split   eBay Unveils Payments Beta on Anniversary of PayPal Split

by: sasikat9 This user has validated their user name.

Thu Jul 19 05:06:13 2018

@Marie

Way back when ebay first started this project I was in contact with one of their Customer service people and discussing this. They gave me a email address to send my request to be part of the beta program. So Yes I DID REQUEST TO BETA TEST.

@Toolguy

You can pat yourself on the back all you want BUT I hardly think it was by performance only. Our dash board says different. Over the past 20 years on the account that was asked to join was suspended twice. warned about leaving negative feedback for their buyers more times than I can remember. We have our fair share of negatives and don't brag about how goody we are, We refuse to bow cow to any buyer we think is a scammer.

Our other two anchor stores have 100 percent of the phoney feedbacks. None of these were invited. And to be sure the email we sent was for the questionable store.

All you back street lawyers think you know but YOU DON't

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