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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36 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!

    • Christopher
      June 5, 2021 5:48 pm

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

  • 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.

  • 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.

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

  • 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

  • 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

  • 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

  • peter wingfield
    June 4, 2021 2:10 pm

    Will no longer sell on ebay

  • 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.

  • 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?

  • 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..

  • 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.

  • 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

  • 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

  • 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’

  • 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!

  • 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.

  • 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

  • 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

  • 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.

  • 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.

  • 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.

  • Irene reeves
    June 5, 2021 9:33 pm

    I have cancelled my Ebay account

  • 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 🙁

  • 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.

  • Bye bye ebay…

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

  • 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 !!

  • 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

  • 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

  • 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.

  • 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.

  • 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


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