QUOTE(Mike Lindegarde @ Dec 9 2009, 10:43 AM)
Accepting PayPal as payment should be compared to accepting credit cards, not your bank. When you, as a vendor, accept credit cards you have to pay a fee to the credit card companies (there's more involved than that, I'm just keeping it simple).
PayPal does not charge the buyer a fee and that's how it should be. Visa doesn't charge me a fee when I buy something at Target.
I'm trying to avoid a bit of long overdue chores so this will likely get rather long. You have been warned. Proceed at your own risk.
Don't get me started on CC processing fees Mike. You and all your "you have to take my debit card for this $1.25 purchase because I never carry cash anymore" kind
Well, I got news for ya. The CC companies may say I have to take your card for a $1.25 purchase and the government may say I have to take your card for a $1.25 purchase but I say I'm not going to take your card for a $1.25 purchase. You want to complain go ahead
but in the mean time you had better find something else worth at least $3.75 to add to it or you go home without it.
Seriously though, services generally cost someone money somewhere down the line. Usually it the consumer that ends up paying. I don't think that people would be complaining about the fees if the companies weren't posting what appears to be obscene profits but you have to remember, ebay and Paypal are businesses. They are not non-profit organizations. They have stockholders and are committed to providing them with a return on their investment. Paypal is selling a product. They transfer money for you just like you sell a card to a guy across the country. Is it right that you or I or anyone else should determine how much profit they should make. Should someone step in and say that you can't sell that 1/1 Auto of Adrian Peterson for more than $100.00 because it cuts in on the profits of the person buying it. Of course not. No one wants anyone else dictating what they should be able to sell their products for but everyone seems to think they know what everyone else should be selling their products for. It's all pretty much the same. ( I know there are minor differences, ebay forcing people to use paypal only and the like but there are ways around that as well. Ways that do not violate TOS)
As far as the gift system. It was put in place for people to be able to send money as a legitimate gift without paying for it. It was a gesture of good will on PayPal's part and I am sure they figured it would get abused in some way. I am also quite sure that they knew it was costing them money in the way of lost fees. Some would contend that it was only a matter of time before they realized how much money they were losing and start taking their cut anyway (making the sender pay) and others would contend that it was abuse of the system that made made them change. It was probably a bit of both but the end result is now someone has to pay to send a gift.
The bottom line is if you are sending payment marked as a gift for something that is not a gift you are lying and yes, you are stealing. Many people think it is OK because it's a big corporation. Well, when the big corporation starts charging the legitimate users of their service because it is being abused by others then it stops affecting only the big corporations. It affects the grandmas and grandpas on fixed incomes sending a $10.00 birthday gift to their grandkids. (I'll pause to let you wipe away the tears) It affects the 1st grader who wants to donate 2 weeks allowance to the animal shelter to keep a cute little puppy or kitty from being gassed. (More kleenex... go ahead, I'll wait) It affects the billionaire who wants to save a few hundred bucks by... OK, him we don't care about but think of the puppies and kitties man.
Anyway, IMO it is wrong. I won't do it and I won't ask others to do it (In fact it never crossed my mind as I never knew there was such an option) If you want to do it I guess I'm fine by that. I'm not going to think that much less of you but I am certainly not going to come to your aid when the whole thing blows up in your face and you get ripped off. As long as you know the consequences, you can play by your own rules.
Oh yeah, FYI Visa doesn't give you those frequent flier miles, the retailers you use your credit cards with do so next time you use your debit card to buy that candy bar make sure you thank the store owner for putting you that much closer to your free flight to Vegas or wherever you are planning to go and maybe, just maybe you will understand why his "thank you" seemed just a little bit forced.
You were warned.