Non-Ebay Dealers Using Paypal?

E

Eva14

O.G.
May 15, 2012
174
1
#1
I wondered if some of the more experienced sellers here might know why a non-eBay dealer might choose to use Paypal?


I recently sold a rather valuable item (Hollywood memorabilia; NOT designer goods) to a dealer who specializes in vintage Hollywood.


15 years ago, I used to buy a lot of vintage 1930s Hollywood memorabilia from this dealer. This was way before he had a website. He used to send out a catalog through the mail.


I've always found this dealer to be honest and ethical, so no complaints there.


When I decided to sell my vintage item, I contacted the dealer. He asked me to send in photos and then he gave me a price quote, which I believe to be fair market value. (I did have to pay shipping, which was costly---but those were the terms I agreed to.)


Is there a legal reason why a dealer would choose to pay consigners via Paypal rather than via a check? Paypal probably offers more dealer protection, correct? The fees are tough on the seller, though.


The dealer quoted me $1600 for my item. I know it's not his fault that Paypal takes 2.9% of that, but I lost about $50 there. Plus the shipping costs set me back almost $70.


Obviously it takes trust on both sides to do a transaction like this. I do trust him as an honest person. I used to buy items from his catalog all the time.


I think I miss the old days of just receiving a check in the mail when you sold something, though! This particular dealer does NOT sell on eBay, so I wonder why he uses Paypal to pay his consigners? There must be a good legal reason. I suppose Paypal leaves a good 'paper trail' that a check would not?


I have some more vintage Hollywood items to consign, and I wonder if any dealers (of any sort of collectibles) pay anyone by check these days? Or has Paypal taken over?


I'm not looking for recommendations for dealers of old Hollywood---I already know who they are.


It would be nice to sell something (when the transaction is not on eBay) and just get a check, rather than have to pay Paypal fees. Does anyone know if most consigners choose to pay consignees via Paypal, and the reasons why? I'm very curious. Thanks.
 
#2
Paypal is convenient, nearly everyone has used paypal and has an account and although PP can be a pain to deal with (both as a buyer and as a seller), it's fairly well-trusted.

I've purchased items from Amazon and other independent online sites and have used PP to pay. For me, it feels a bit safer than using a credit card and I don't have to write and mail checks.
 
#3
Accepting credit cards costs money, too. It's comparable to PayPal's fees and PP is easier to set up. I've run across lots of smalls business vendors who are using the PayPal square in-person payment these days. Not unusual at all.
 
#4
Eva14 said:
I wondered if some of the more experienced sellers here might know why a non-eBay dealer might choose to use Paypal?


I recently sold a rather valuable item (Hollywood memorabilia; NOT designer goods) to a dealer who specializes in vintage Hollywood.


15 years ago, I used to buy a lot of vintage 1930s Hollywood memorabilia from this dealer. This was way before he had a website. He used to send out a catalog through the mail.


I've always found this dealer to be honest and ethical, so no complaints there.


When I decided to sell my vintage item, I contacted the dealer. He asked me to send in photos and then he gave me a price quote, which I believe to be fair market value. (I did have to pay shipping, which was costly---but those were the terms I agreed to.)


Is there a legal reason why a dealer would choose to pay consigners via Paypal rather than via a check? Paypal probably offers more dealer protection, correct? The fees are tough on the seller, though.


The dealer quoted me $1600 for my item. I know it's not his fault that Paypal takes 2.9% of that, but I lost about $50 there. Plus the shipping costs set me back almost $70.


Obviously it takes trust on both sides to do a transaction like this. I do trust him as an honest person. I used to buy items from his catalog all the time.


I think I miss the old days of just receiving a check in the mail when you sold something, though! This particular dealer does NOT sell on eBay, so I wonder why he uses Paypal to pay his consigners? There must be a good legal reason. I suppose Paypal leaves a good 'paper trail' that a check would not?


I have some more vintage Hollywood items to consign, and I wonder if any dealers (of any sort of collectibles) pay anyone by check these days? Or has Paypal taken over?


I'm not looking for recommendations for dealers of old Hollywood---I already know who they are.


It would be nice to sell something (when the transaction is not on eBay) and just get a check, rather than have to pay Paypal fees. Does anyone know if most consigners choose to pay consignees via Paypal, and the reasons why? I'm very curious. Thanks.
Click to expand...

BeenBurned and Uadjit :smile:
What the both of you advised OP of makes perfect sense. And I couldn't help but also wonder:
For this particular transaction, doesn't then this make OP the "Seller" and (his/her) "Buyer" who wanted to use/and did use Paypa* also for all the "protections" offered to a "Paypa* Buyer"? I personally think its great that they "know each other"/have transacted together before--therefore there's definitely a certain element of trust and all --always nice-- but yes, downside is that it sounds like it cost OP some "costs" to do this transaction via Paypa* for the "Buyer"--but as I mentioned before, its nice that (and sounds like....) that OP knows/trusts the "Buyer"--so many 'scamesque-type-fraud-situations' will be (hopefully) avoided...hope it all works out for you OP. :smile:
 
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#5
I sell vintage and use two types of payment: PayPal and a direct checkout method (they process the CC for a similar fee) on the site I sell through. Unless it were a very special circumstance, I wouldn't accept a check or a money order, not because it's less safe, but because of the hassle. You have to wait for the check to be mailed, then you have to wait for the check to clear. Then if there's some kind of problem, that could've have eaten 3-4 weeks where someone else might've purchased the item.

2.9% is just such a small amount for the convenience of immediate payment, I've never really worried about it.
 
#6
Also by using PP there is "proof of purchase"..

One might need that later on for insurance purposes & since you were dealing with
a dealer/seller, it is a business expense in addition it is fast & convenient.

If one mails a check, you have to wait for the check to arrive & all that goes
along with it.
 
#7
BeenBurned said:
Paypal is convenient, nearly everyone has used paypal and has an account and although PP can be a pain to deal with (both as a buyer and as a seller), it's fairly well-trusted.

I've purchased items from Amazon and other independent online sites and have used PP to pay. For me, it feels a bit safer than using a credit card and I don't have to write and mail checks.
Click to expand...

Yes. And even my pet sitter/dog walker now asking me to pay them via Paypal. Convenient for either party. Of course I sent it Personal so she would not pay fee, and not show that she has to ship.
 
#8
I actually would prefer a dealer use paypal if I am not using ebay, Paypal is a preferred method of alot of online boutiques, vendors, etc. I like the convenience and security. Paypal was never really just strictly for eBay although the two go hand in hand. I have dealt with some dealers who have CC online payments and PP set up and their credit card page is never working and I always just end up using paypal because i know it works everytime
 
#9
I deliberately select the non-paypal payment option when other methods are offered just because I truly dislike PP. I pay via CC directly if I can. I have also used google payment and worldpay before. But they never took off because of PP.
 
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