Amazon Vs eBay (3) – Payment Methods

Sell successfully online

Sell successfully online

This is a short series of posts comparing selling successfully on eBay and on Amazon from the seller’s perspective. This time I am looking at the payments methods and costs.

Ebay has its own proprietary payment system PayPal. It is quick and fits seamlessly into the auction process. You may also accept alternative methods of payment up to set limits (£500 in the UK). For all payments collected via PayPal there is a charge (1.4% to 3.4% + £0.20 GBP). Sellers send invoices, track whether payment has been made and chase non payers. Funds are released to the seller on request to Paypal.

Amazon collects the payments for sellers. There is no alternative, and no charge for using the service. Amazon invoices and collects payment and chases non payers. Payment is not realeased into the seller’s account until it is cleared by Amazon. The seller does not become involved in payment tracking or chasing non payers. Payments are made to the seller’s bank account every 2 weeks for the total of all sales made in that period.  There are no charges for Amazon collecting the payment.  However, for a true comparison of overall charges I will be posting another piece in a few days (when I have done the maths…..)

The Winner is: Amazon

Aggregate Score

Amazon 2

eBay 0

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