accepting credit cards through PayPal

[4fordisney]

I know there are pros and cons to accepting credit cards through PayPal, and I have a few questions.

1. Just how much is the fee for accepting a credit card? Say the item sold for $40...what would be the PayPal fees?

2. Is there a big problem with charge backs? How often does that happen?

3. Is it true that many more people will be interested in my auction if I accept credit cards?

I want to know as many details as possible before I decide for or against accepting credit cards from people who have experienced it themselves.

Thanks a bunch!

 

[Colinsmom]

1. The fee is 30 cents plus 2.9% of the amount transferred, unless you do over $3000 of business with Paypal per month. So, 0.30 + 0.029*40 = 1.46. You pay more if the payment is coming from outside the U.S.

2. I've never had this problem yet (knock on wood), but am pretty rigid about shipping only to confirmed addresses, and always ship with delivery confirmation (within the U.S.). Note that this is really a general Paypal question, not something specific to credit card Paypal.

3. IMO, yes it absolutely is true.

 

[crazymomof4]

*BUMP*

I'm a newbie to ebay and struggling with the same question.

 

[Franne]

I have been using Paypal for over 2 years and never had a problem with a charge back. You definately attract more buyers if you accept CC and Paypal, I know I won't buy unless they do. (just because I may not get around to getting a money order in a timely fashion!)
Paypal has worked great for me, the only gripe I have with them is they are owned by EBay and therefore are getting double the fees on every item I sell when the person pays through paypal. I felt they should make one percentage they take out for the final value fee AND the credit card transaction..
Franne