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Ebay Australia - Stupid New Rules

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Pillar of the Community
Learjet's Avatar
Australia
655 Posts
 Posted 04/09/2008  11:53 pm Show Profile   Bookmark this topic Add Learjet to your friends list Get a Link to this Message Number of Subscribers
http://www2.ebay.com/aw/au/200804101058562.html

After 17 June 2008 ebay Australia will require payment by paypal or COD ONLY. Payments by direct deposit, money order etc will no longer be allowed. Listings that try to circumvent these measures by putting bank details in the listing will be removed.

In Australia, most people prefer to use direct deposit for ebay transactions. Unless using credit card payments, Paypal is slow and troublesome with bank account funded payments.

The decision is going down like a lead balloon in the forums over here.

Thanks ebay it was fun while it lasted. Chow.
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SsuperDdave's Avatar
United States
23522 Posts
 Posted 04/10/2008  10:07 am  Show Profile   Bookmark this reply Add SsuperDdave to your friends list Get a Link to this Reply
It's becoming obvious that ebay is completely out of touch with even their own misguided goals, much less any concept of how to "do it right." They're clueless, supported only by the huge existing customer base, and ripe for the deathblow.

Anybody got a $fewmil and a whole bunch of bandwidth?
Pillar of the Community
Australia
853 Posts
 Posted 04/10/2008  10:21 pm  Show Profile   Bookmark this reply Add Bigfella to your friends list Get a Link to this Reply
In order for many business to suvive, inflated postal charges will occur to compensate for the extra 2.5% incurred on each sale. Ebay/paypal fees are getting near 10%. Many coin dealer I know of just cant cope with that.
Pillar of the Community
Jeff's Avatar
Australia
877 Posts
 Posted 04/11/2008  01:29 am  Show Profile   Bookmark this reply Add Jeff to your friends list Get a Link to this Reply
Well that announcement certainly generated some interest!

Looks like we will have to reconsider selling on ebay or add a handling charge (inflated postage as Bigfella suggests?) However one of the mainstays of our listings is we charge postage at actual cost and never charge a packing or handling fee.

How many costs does ebay think small sellers can absorb?

Maybe should have another look at Oztion?

What is the ebay (owner of Paypal) agenda anyway?
It doesn't seem to make sense -using a sledgehammer to crack a nut. If they really wanted to protect buyers from rogue sellers they would have already followed up on the complaint they get. And, if there was some logic in the matter, they would also be wanting to protect sellers from rogue buyers. And, who is going to protect from paypal, which has a documented record of sometimes stuffing up payment or freezing funds.

This might just be a bigger event than the feedback changes furore.

Jeff
Pillar of the Community
Jeff's Avatar
Australia
877 Posts
 Posted 04/11/2008  01:53 am  Show Profile   Bookmark this reply Add Jeff to your friends list Get a Link to this Reply
This might be interesting...
http://www.youtube.com/watch?v=0DlL...ture=related

Aren't there other secure payment companies that offer similar (or better) services to paypal? Some maybe even owned by banks and have to comply with all relevant banking legislation. What are the (il)legalities of ebay forcing Paypal and not allowing alternatives?

Jeff
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muckeye's Avatar
Australia
661 Posts
 Posted 04/11/2008  06:51 am  Show Profile   Bookmark this reply Add muckeye to your friends list Get a Link to this Reply
I am only a buyer.
I intend to send my email address to every seller whose items I bid on.
We shiuld be able to exchange banking details.
regards,
Edited by muckeye
04/12/2008 07:48 am
Pillar of the Community
Australia
1040 Posts
 Posted 04/12/2008  02:45 am  Show Profile   Bookmark this reply Add latman100 to your friends list Get a Link to this Reply
If you sell on e-bay as part of or solely as a business, there may be restraint of trade issues there. Sure e-bay can make it's own rules, but they cannot contravene the trade practices act.
Pillar of the Community
Australia
1040 Posts
 Posted 04/12/2008  03:20 am  Show Profile   Bookmark this reply Add latman100 to your friends list Get a Link to this Reply
With a little more thought, I am pretty sure it will be deemed anti-competitive and may even have to be explained to the ACCC. (If any sellers were to request a ruling, hint hint) Especially as pay-pal is owned by e-bay. Basically the law says that no business may enter into an exclusive agreement in an anti-competitive nature. The ACCC views the forcing of consumers to deal with unrelated companies for the provision of goods or services as anti-competitive.
It would be like Breville deciding that from now on only Sunblest bread can be used in their sandwich makers. If you use Tip Top, your Breville will explode.
Maybe a bit simplified, but that is essentially the jist of it.
Valued Member
119 Posts
 Posted 04/12/2008  04:26 am  Show Profile   Bookmark this reply Add thesandpit to your friends list Get a Link to this Reply
ACCC have been contacted about this. From what I hear their phones have been running hot. More people should ring or email them.
Apart from that, the best move is to carry on paying the way you do when buying and privately email your buyers when selling.
Valued Member
119 Posts
 Posted 04/12/2008  04:27 am  Show Profile   Bookmark this reply Add thesandpit to your friends list Get a Link to this Reply
Sorry I forgot - also use other auction sites such as oztion
Pillar of the Community
Australia
1040 Posts
 Posted 04/12/2008  04:43 am  Show Profile   Bookmark this reply Add latman100 to your friends list Get a Link to this Reply
Fully agree. After my rant I did contact the ACCC and asked for a ruling. Wait and see what happens now.
Pillar of the Community
Learjet's Avatar
Australia
655 Posts
 Posted 04/12/2008  10:03 am  Show Profile   Bookmark this reply Add Learjet to your friends list Get a Link to this Reply
One would think ebay would have made sure they complied with the ACCC before going ahead with this. Surely they would not breach Australian law.

Going by the forums, anger at ebay's decision is just getting worse. Sellers are leaving in droves, many listing now on Oztion instead. Good to see as I've found many fresh listings on Oztion, bought a couple of coins and had a chat to the sellers. They are fed up with ebay. I doubt ebay could offer a big enough carrot now to ever get them back.
Valued Member
119 Posts
 Posted 04/12/2008  6:35 pm  Show Profile   Bookmark this reply Add thesandpit to your friends list Get a Link to this Reply
quote --- One would think ebay would have made sure they complied with the ACCC before going ahead with this. Surely they would not breach Australian law.


You underestimate their arrogance. They have never taken any notice of Australian law in the past. It's been said that their refusal to provide a way they can be contacted by phone is one area where they have flagrantly violated the law.
Pillar of the Community
KurtS's Avatar
United States
5318 Posts
 Posted 04/13/2008  4:38 pm  Show Profile   Bookmark this reply Add KurtS to your friends list Get a Link to this Reply
"Aren't there other secure payment companies that offer similar (or better) services to paypal? Some maybe even owned by banks and have to comply with all relevant banking legislation. What are the (il)legalities of ebay forcing Paypal and not allowing alternatives?"

I'm rather distressed how ebay is obviously circumventing customary balance transfer practices in Australia. Everywhere, their goal seems to be one of controlling every aspect of ebay business, at the expense of competition and seller/buyer options. Let's hope their practices can be put under due scrutiny.

To be honest, I suspected this would happen when ebay acquired PayPal. Paypal has never had a good reputation, and I consider their business model inferior to many other cost-effective credit gateway services. However, since ebay owns them they'll try to force their use in every transaction. This is a profit model vs. a service model of business.

I'll just offer a bit of opinion on ebay from living/working in Silicon Valley near their offices. Initially, they looked just as promising and user-oriented as many other internet startups. However, over time it's been remarkable to see how cynical and predictably usurious they've become. And, as corporate deleveraging unfolds in the US, they're going to do everything they can to squeeze more money from auction listings and transactions. Before too long, they're going to provide a strong incentive for competitors to provide a better service. I wait for that day.
Pillar of the Community
Australia
853 Posts
 Posted 04/13/2008  9:47 pm  Show Profile   Bookmark this reply Add Bigfella to your friends list Get a Link to this Reply
I contacted the ACCC and they are likely to do nothing. Under the Trade Practices Act it is not illegal to force someone to use a service provided by you. It is only illegal to force someone to use a service provided by a third party. ebay can make you use paypal as they own it. If they said we could only use VISA card (for example) which is not owned by ebay then it would be considered anti competitive.
Pillar of the Community
TheForce's Avatar
United States
4870 Posts
 Posted 04/13/2008  10:23 pm  Show Profile   Bookmark this reply Add TheForce to your friends list Get a Link to this Reply
Long ago, I used to use BidPay. It was great. A buyer would use their credit card and pay BidPay the amount owed for the items I sold then BidPay would mail me a Western Union money order within a few days.

I have never tried Google Checkout yet. There are a lot of ebay sellers who wont take PayPal (because of the fees I assume).
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