Ebay sellers can no longer accept payments via PayPal leading many to threaten a boycott

Ebay sellers can no longer receive payments via PayPal leading many to threaten a boycott of the online marketplace.

Ebay has updated its terms of use, putting in place new changes which means sellers will now receive payments from Ebay directly into their bank accounts, rather than through PayPal.

The changes, which came into effect on June 1, are mandatory and sellers are not able to opt out of what Ebay calls the “managed payments system”.

This has proven controversial with Ebay’s seller community, seeing many take to seller forums to call for a boycott and threaten to stop using its platform.

Ebay says the move will make it easier for customers who will automatically have access to every payment option including credit and debit cards, Apple Pay, Google Pay, PayPal and PayPal Credit.

Many are concerned that without PayPal acting as an intermediary Ebay, which is seen as largely bias towards customers regarding disputes, will now exert too much control over their sales.

Some have raised concerns that refunds could be automatically issued to buyers if there are any disputes, leaving them vulnerable to the increasing number of fraudsters.

READ MORE: Ebay sellers will soon be forced to link bank accounts as PayPal divorce continues

Ebay says it adheres to the same rules as other direct debit schemes, meaning customers will have advanced notice of how much is being taken out and will receive refunds for any fraudulent or incorrect payments.

Others have questioned the new payment system, which will replace PayPal’s fees with new Ebay fees, though it says the majority of sellers will be better off under new rules.

Prior to the changes sellers were charged 10 per cent of the final sales price by Ebay, a further fee by PayPal plus a standard rate of 30p.

Under the new system sellers will pay 12.8 per cent to Ebay plus 30p, but will no longer pay any extra fees to PayPal.

Payments could also now take up to two days to go through, rather than on the same day as was commonplace with PayPal.

Ebay bought PayPal in 2002 and until 2015 the payment giant’s service were closely tied to Ebay’s platform.

However the two companies, which split six years ago, have been moving further apart and gradually unravelling their 13-year partnership.

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55 Comments. Leave new

  • eBay takes two days to *initiate* payment, not to actually make the payment.
    So, before, when using PayPal, you got the money INSTANTLY.
    Now it will take 4-10 business days in total!

    Reply
    • Christopher
      June 5, 2021 5:48 pm

      I think legal action needs to get involved with eBay in order for this to be resolved.

      Reply
  • As an occasional seller, I enjoyed having a separate account with Paypal, it helped me keep track of my earnings and payouts and could spend any excess on treats for myself.
    I can’t understand why ebay can’t offer the option of using PayPal alongside bank accounts.

    Reply
  • The payment time is unfeasible, paying postage out of pocket now that payments aren’t received for up to 10 business days. AND giving ebay access to my bank account – i think not.
    One seller here who’s moving to other platforms because of these changes.

    Reply
  • Selling stuff when u needed quick cash used to be so easy now it’s not worth the hassle

    Reply
  • Alan Dobson
    June 4, 2021 9:41 am

    Ridiculous changes by Ebay, I’m done with them now. I’ll do my sales on other platforms now

    Reply
  • I actually find this alot better and money has gone into an account within a couple of days. It goes into a separate account i had and didnt tend to use. Have also had to refund a customer and it worked perfectly. No complaints from me

    Reply
  • I also have had to sign eBay payment to my bank .only to a account that
    is for eBay will wait to see how it goes before moving and closing my eBay

    Reply
  • peter wingfield
    June 4, 2021 2:10 pm

    Will no longer sell on ebay

    Reply
  • Allan Newton
    June 4, 2021 2:38 pm

    Right from the start of Ebay’s new managed payments I have had payments vanish .Ebay have jacked up their fees to more like 18 to 20 percent at the lower end of price range,also have hidden rises in the listing fees.The new system is bloody shambles.

    Reply
  • I am not happy with giving eBay access to my bank account. They have been hacked before! Fortunately, I have a separate account which I can use to keep an eye on things. However, I would have expected some consultation, or at least the option to stay with PayPal. The so- called benefit to us is 0.1 percent. The extra fees for eBay will be much higher. Greedy! or what?

    Reply
  • Should have been left as it was gives the buyer and seller confidence no way in hell is eBay getting access to my back account..

    Reply
  • Paul Morris
    June 4, 2021 5:20 pm

    Many of those threatening to leave eBay because if PayPal being replaced are the same who, 15 years ago threatened the same when PayPal was made compulsory.

    I’ve been on Managed Payments since last summer and had no issues. Payments clear into my account in 2 working days–which is exactly the same as would be the case if I were accepting card payments directly through my own merchant account.

    Reply
    • Danny Noble
      July 31, 2021 3:42 pm

      There is no way on God’s green earth I would give Ebay access to the same account I use to pay the rent. And I’m not opening a Second checking account just for a failing company.

      China has destroyed the secondary market, turning Ebay into a Chinese drop shipper site. How many Chinese companies are mandatorily placed into Mangled Payments? My bet – none.

      Reply
  • eBay has just gotten greedy , and they are not backing sellers when it comes to refunds from buyers who just change their minds ,after making a purchase,then want a refund when the products are in perfect condition, then they charge you fees plus the refund

    Reply
    • Let’s have it right! Even using PayPal was ridiculous. As if the 30p alone isn’t enough for a transaction fee. People should be allowed to accept payments on their own terms using a card reader from any provider. eBay’s rules can still remain with regard to “as described” and “refunding” as with any trading company. Internet retail law should take place above eBay’s own self serving laws. Ebay are literally making the sellers beg for PayPal back to justify extortion on every level under the veil that that’s what you asked for- then they’ll be seen as heroes for listening to the masses. Big companies have got to go or should keep the platforms as a safe trading benevolent place. There’s no real need for them to exist, as with the new food and delivery channels, just taking another slice of the pizza and creating fake/unnecessary jobs/employment to massage unemployment figures. If there’s anybody that wants to start up a system whereby feedback is personal feedback and can move around with you just like a credit file (I bet this idea gets nicked by someone within a big company who I’m trying to belittle!) then please make contact by responding to this message and we can start something!

      Reply
  • Neil Cavens
    June 4, 2021 6:32 pm

    I Definitely I will reduce my selling on eBay.These new measures inhibit the seller I know intimate in my listings that when the money is in my account I will then post the item

    Reply
  • My feedback is 100% over 20 years I used to sell my odds and ends through eBay but it became so much hassle with fraudsters telling you the item was not as described and expected a refund hoping I did not pay return postage so they could keep the item as well as refund, i will buy my small items I need “but otherwise it’s not worth it’

    Reply
  • No-one seems to be concerned that eBay are not offering a similar option to match micropayments previously available on PayPal. 90% of my sales were below £7 and ALL of these will cost me about 10-12 % of my margin. No options just platitudes that ‘most’ sellers will be better off! eBay has no interest in small traders anymore and will squeeze margins at every opportunity. Someone please tell me how anything can be sold at 99p with postage/packing and fees exceeding the list price before you add product cost. eBay should clean up their own rules and systems before compelling unfair terms on sellers!

    Reply
  • Carol blake
    June 4, 2021 10:05 pm

    Not happy. I had insentive to sell more when I was paid instantly, not going to go with this, closed one account next will follow.

    Reply
  • Not happy with this new system at all don’t like it one bit it’s a load of rubbish paypal was the best way but as always good things never last so I don’t sell much now as it as put me off probably at some point I will say goodbye to ebay as I sell on other sites now ebay you need to bring back PayPal or loses your customers for good

    Reply
  • So, the e-bay fee was 10% on all sales, PayPal was a 2.9% fee + 30p per transaction & now without paypal e-Bay wants 12.8% on all sales +30p per transaction, a difference of . 1%, and on top of that they want access to sellers bank accounts? selling on e-Bay is going to be a no no for me from now on, I liked the protection paypal gave with payments & I don’t believe e-bay will offer anything like that

    Reply
  • This has caused major cash flow issues for me as an Ebay seller. The recent bank holiday weekend, and the new rules stating that any payments taken over that weekend will not be processed or initiated until the Tuesday meant that I was liable for overdraft charges while Ebay sat on my funds. Absolutely ridiculous system, and totally unacceptable, especially as there is no apparent way to reverse it.

    Reply
  • Ian D Phillips
    June 5, 2021 7:22 pm

    I agree with sellers to withdraw. I am an eBay buyer and agree about loss of PayPal – it will give a fraudulent seller my bank access, which I am not keen on.

    Reply
  • Sold an open-box laptop on ebay. Buyer got buyers remorse and claimed fraud. Ebay refunded the buyer and tried but failed to take it out of my bank account without permission. It failed because I had the fore sight to close that checking account. Then, I closed that eBay account immediately. So, eBay is the only one that lost money. I will only buy from them from now on. So, eBay only screwed themselves. They are horrible for sellers.

    Reply
  • Irene reeves
    June 5, 2021 9:33 pm

    I have cancelled my Ebay account

    Reply
  • This, alongside the poorly managed Authenticity Guarantee system this has ruined eBay for me .
    Having no opt out options and no payments into my Paypal account when you’re a no smart-phone , no internet banking “Luddite” like me this forces me into a unsecured financial arena I don’t want to be in . This is nothing short of Bully-boy tactics in an effort to squeeze sellers even more . I guess after a long successful allegiance with eBay I’ll be another one going elsewhere 🙁

    Reply
  • eBay fails to to understand that there are tens of thousands of people abroad looking to scam a few hundred dollars out of US/EU sellers. I’m not going to give them an extra level of anything if they don’t doing anything extra for me as a seller. This was actually my first year trying to avoid eBay and my sales have been much better off.

    Reply
  • Bye bye ebay…

    Reply
  • I absolutely hate PayPal. I’m so glad eBay finally done this.

    Reply
  • Trust me. It won’t take long for Sellers to figure out eBay is screwing them.
    Oh, and trying to get your money from a foreign national company based in Stockholm after their friends hack your account.
    eBay dumped PayPal once before with disastrous results.
    It’s gonna get ugly.
    Do your research.
    Then run !!

    Reply
  • christopher c mcbee
    June 6, 2021 5:57 am

    I have stop selling on ebay (as a hobby)since i was told i needed to raise my seller rating.ebayes solutions are to take a higher fee for having a low seller rating.i will not be ebayes WHORE. you can not force people to buy from you.
    Just got a email from threatening
    to limit my selling or other action go ahead i will see you on Mercari

    Reply
  • Sarah Feest
    June 6, 2021 7:23 am

    I don’t see what the fuss is about I’m happy to have money straight into my bank account and only takes a couple of days to reach account I’m happy to still sell as there is no other selling sights like this

    Reply
  • I don’t like it. The money went straight to PayPal immediately before and I could transfer it into my account immediately. Now it takes three or four days or more for ebay to deposit it. Their fees are much higher than they say. I think they are double- dipping, especially on their global shipping.

    Reply
  • When eBay final value fees are paid via PayPal to eBay, the seller does not pay PayPal a fee, PayPal take a fee from the recipient(eBay) not the seller paying the fees. If something is sold for cash, the seller pays no PayPal fees at all and would only pay ebay seller fees, which eBay is now increasing! And with this new system ebay will now not pay PayPal fees and also collect and extra 2.8% from the seller a win win for eBay. They are twisting the facts to make it sound like sellers are getting a better deal, but they are not. EBay are to avoid paying PayPal fees and charge the seller extra fees.

    Reply
  • I have been an Ebay seller since 1998. This is new big brother policy is insanely idiotic. You now have to wait until positive feedback is left before the funds can even be initiated. Best case scenario you get your funds in 2 business days, that is, if the buyer leaves postive feedback immediately. Worst case scenarion is up to 21 business days what?!?!. I mean come on it’s 2021, with Venmo, Paypal, Zelle and other e-commerce this is completely counter-intuitive and makes zero sense to support a business that makes transactions slower and more difficult for the seller. Rather than paying 12.9 (10% + 2.9 Paypal) we pay 12.8 and get to wait 21 days in limbo to see if we recieve our funds. Let’s all boycott together!! Facebook Marketplace, Mercari, Amazon are all better alternatives. Can’t wait to watch this old school company fail. Watch their stock and interest drop significantly in the coming months. Sincerely former Ebay seller/buyer since pre 2k lol

    Reply
  • Steven Richardson
    June 23, 2021 10:55 am

    Been a seller for many years, but will not give ebay access to my bank account, so bye bye ebay.
    Hope many more sellers feel the same and also hope at some point paypal is reinstated.

    Reply
  • I feel the same as the majority here. I will now boycott ebay. This is just ridiculous. Instead I will buy from Amazon and sell on FB marketplace or gumtree. Problem solved goodbye ebay so long!

    Reply
  • I periodically sell off hardware on ebay every couple of months. I’ve sold several items recently and while the first payments were transferred to my bank after a few days, I now have multiple that are on hold, some with expected payouts over two weeks out. There’s no reason for the hold. This is the last time I will ever sell on ebay.

    Reply
  • Shaun Eason
    July 2, 2021 10:46 pm

    Been selling to supplement low income and help me through the crisis work in hospitality and have not been allowed to work in 18 months and as I was ill for two years preceding Covid I do not qualify for Aid Selling my goods is all I have to keep the money coming in and Ebay do this to me meaning real hardship I do not even have enough money to post the items I sold despite Ebay taking their fees Just changing was a nightmare as I have no mobile phone or driving licence I am trying market place but that means starting a Facebook account and further delays and hardship I am running out of credit and no money to repay it and now they will not let my android tablet for photos connect to Ebay Cheers partner 15 years and you treat me like this this not at all happy no wonder Paypal wanted a divorce So do I

    Reply
  • Been selling and buying on ebay for about 20 years on a small scale. Ebay was a great platform for a long time with nationwide exposure for my items i sell. Managed payments is all about CONTROL and Fraud in my opinion. Once something has sold, it has taken about 12 days on average before the money landed in my account. (the first item sold since forced into this payment system took 23 days)

    In My opinion, I’ve found this new system to be about Control! WE are the ones who Own the items we’re selling on ebay, yet they, or their 3rd party “warranty” guarantees items they never seen, handled, inspected, or have no knowledge about! ( in my case, I sell used parts, cores, and electronics) How the hell can they guarantee used/broken/core items they never laid their hands on?
    They also want small volume sellers to offer free, fast shipping on anything I sell, whether it be a carburetor gasket or a 140 lb broken engine core I just sold for $50.
    The managed payments holds your money (as stated earlier, 12 days average in my case) for days before releasing.
    they do this and says there’s a “hold” or “glitch in the system”
    Now, multiply this by say, 1, 2, 4 million small time sellers at ,say, $40 per transaction on average and hold on to that as long as they can before releasing it means interest earned for them and I imagine it’s pretty substantial for them.

    This also invites fraud. All a buyer has to say is ” never received item” or not as described and they rip that money right out from under you without warning. they side with the buyer, and maybe their “elite” large scale sellers that sell all the same new crap you see on countless other websites! let’s see how long that lasts for them.
    Smaller sellers, even well established 100% ones are getting pushed out and they don’t seem to give a shit. It’s all about that new imported crap that’s plastered all over the other major websites and brick and mortar stores.
    I feel their traffic is down by a large amount this year in sellers and buyers. I also suspect fake listings in the sold section when I do research. I feel ebay will be gone within two years. It’ll either collapse when all the small sellers selling used, unique items are driven away completely or some giant other e-commerce site buys what remains of the smoldering carcass of this once great website and put it out of it’s misery once and for all! Rant over

    Reply
  • eBye lol

    Reply
  • eBay is dunzo. Bye bitch.

    Reply
  • I closed my ebay shop. It wasn’t worth the grief any longer. I still (reluctantly) buy from Ebay but I am looking to source elsewhere and when that is in place I shall close my Ebay account completely. I now sell through another platform which instead of constantly beating me down seems to want to treat me fairly and my fees are about half what they were on Ebay. So I am better treated, I make more money and I have a genuine relationship with my customers.

    Reply
  • Darren Bullard
    August 11, 2021 4:24 pm

    Bye bye eBay

    All my sales are now cancelled, it has been heading this way for some time but no more from me.
    muttley–do-something since 2003

    Reply
  • Screw eBay! I have 100% feedback rating and listed something recently only to find out PayPal isn’t used anymore! EBays “faster, easier” way to get paid only took about 7 days! What a joke! Sold and item for $150 and was charged almost $30 fees. I will never ever sell anything on ebay ever again!!

    Reply
  • Alfred D. Miller
    August 22, 2021 12:33 pm

    Worst experience with Ebay. Sold a luxury item and Ebay immediately put the payout on hold with the proviso I have to update my bank account. Then they required proof of ownership of this account, then they wanted a photo ID issued by the government. We are now 10 days after the sale and no payout. So far there are 5 different people involved to resolve this fraudulent, sneaky scam. Last night I received notification from Ebay that the payout needs to be reviewed by a team of idiots and locked up the payout for another 5 days. Buyer signed for and has the item, but don’t give the required feed back. I am done with Ebay

    Reply
  • takes 3 to 5 days to show up in my account..ebay really screwed up this time ..i dont not ship nothing out untill money is in my account .
    really thinking about just leaving them..when you call customer support you get someone across the pond so you do not understand them…gone for good………

    Reply
  • I am Ebay seller and I am so disappointed for the extra fees , I also experience more frauds users , I can’t afford this anymore .
    Will be moving to different platform .

    Reply
  • What all small sellers need to understand is that EBay have no interest in what you sell , you are irrelevant to them now , they figure if you leave another mug will be along shortly .
    They are correct .

    Reply
  • nope. this is the best news ever. paypal is a scammy company. I’ve had less issues with ebay than with paypal
    it’s awesome they’re opening up to new payment methods. people that are against it likely those who enjoy falling back on 2nd layer scammy chargebacks, cancellations, and what not

    Reply

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