Paypal fee????
 

As part of getting my VRBO apartment in Paris, I had to pay a deposit of 25%. That came out to 300 Euros. I sent it via Paypal 2 weeks ago, and I just received a notification from the apartment manager that the " paypal fee" was 11.95 Euros???

Am I missing something??? When I buy stuff from Amazon or Ebay, I don't get a paypal fee tacked on....what's the story??

Thanks for any help.

I'm guessing that the merchant gets charged a fee that he/she is just passing on to the customer. I've seen a few B&Bs in Ireland that charge an additional fee if you use credit cards. Instead of absorbing the cost into the price, they just tack it on.

Bill

PayPal definitely charges the merchant/seller a fee, something like 2.5% plus $3 per transaction. Large retail companies, like Amazon, absorb the fee into the cost of doing business, no different than the fee to use major credit cards. Some sellers on eBay absorb the fee, also, but many eBayers find a way to tack on the fee that isn't always obvious to the buyer.

To me, it seems perfectly appropriate to pass this fee on to the renter if the renter chooses to pay with PayPal or a major credit card. However, it's considered great customer service if the owner of the business stipulates this clearly in any advertisement. Nobody appreciates surprises that cost them more money.

Hi G,

You have answers to your other post on this subject.

To find it, click on your name.

((I))

Yes, PayPal charges every seller a fee. And it's not $3 plus anything - it's basd on the class of seller (business vs private individual) and the price of the item sold.

And the sellers don't "hide" the fee anywhere - you figure it in as part of the cost of goods when pricing the item - as does every other business on the face of the earth.

Ooops, it's .30 per transaction and not $3. I had my decimal confused. And the percentage fee varies. The fees for domestic transactions can be found here:
https://www.paypal.com/cgi-bin/websc...g-fees-outside

I have used paypal to be payed hundreds of times, and have used it to pay for zillions of things. I would NOT be happy if a seller sent me a bill for their Paypal fee. I am a little concerned about this apartment owner's customer service attitude. Can you think twice about this apartment, or is it too late?

If you go with the apartment, you might want to be prepared for a less than perfect experience from a customer's point of view. Sounds like the landlord is a penny pincher.

Paypal charges different ranges of fees to the seller - the lowest tier members pay 2.9% + 30 cents on every transaction (at least on domestic transactions). I sometimes pass this fee on to people I do business with, but I make it clear up front that I am charging it to them, and I build it into the price. For example, if I am billing them for $200, I charge them $206.28, so that when the Paypal fee is taken out, I get only $200, and there is only one transaction.

Andrew

Thanks, Guys. I do agree that the fee needs to be absorbed by the landlord - because a) the additional fee wasn't adverstised and b) it's a service they provide that they can absorb into the cost somehow. It's like credit cards -merchants pay a fee but don't tack it directly onto the price of the good or service (e.g., hotel stay, paying credit card)...although I'm sure we pay for it one way or another.

Your responses help validate my feelings about this - and I contacted the apartment manager (Pascal, RentalFrance)-- he VERY graciously waived the fee. He said it is normally charged, but since I was concerned about it, he would absorb it, no problem.

Now THAT'S service!!!

Thanks all. This is such a helpful site.

I have the occasional client that pays me by PayPal, and yes, there's a small fee. My clients always pick up that fee, which I think is just good customer service. I agree this guy sounds like a pennypincher and not a wise business person. It would be so much more palatable, for example, just to ask for 315 euros in rent.