The eBay War Is Finally Over
In December, when we look back at everything that happened this year, we’ll remember today as the day that sanity prevailed over corporate greed. For today (well, yesterday technically, but we’re only writing about it today), eBay has withdrawn its efforts to restrict payment options for its users to PayPal and cash on collection.
It’s been a long and bloody battle, including companies like the Reserve Bank, Google and hundreds of eBay sellers all voicing their outrage that eBay could even attempt to restrict payment options in the name of “security”. In the end, the ACCC’s pre-announcement that it thought eBay were full of shit going to be anti-competitive with their Paypal-only move was enough for eBay to go back on their decision and pretend it never happened.
Their official statement, posted on their website, runs a bit like this:
eBay has withdrawn its notification to the Australian Competition and Consumer Commission (ACCC) about removing other payment methods. Instead eBay will continue to allow all existing payment methods on eBay.com.au.
We have decided to withdraw the notification to stop any further confusion and disruption among the eBay Community.
eBay regrets any uncertainty that this process has caused among the Community and believe that today’s decision will remove further doubt.
eBay’s goal has always been to provide members with a safer experience. Under the current circumstances, we will continue to look for ways to do that while still offering a variety of payment choices.
eBay requires all sellers to offer PayPal as a payment choice on eBay.com.au along with other permitted payment methods of their choosing.
Although we have decided not to move ahead with the further planned changes, eBay is pleased that all buyers can now choose PayPal along with other permitted payment methods of their choice.
Other recently introduced safety measures, such as PayPal Seller Protection and increased PayPal Buyer Protection (now up to $20,000) will also remain.
Regards,
The eBay team
It’s not all defeat for the online auction site though – sellers are still required to include Paypal as a selling option, which means they stand to boost their profits a little bit more anyway. The fact is, Paypal is good for buyers – it’s the sellers who have to pay the extra fees. It’s even better for buyers now, as they have a $20,000 protection program in place.
In any case, you can still chalk this one up as a win for the little guy. And when the big guy is a large international corporate giant and the little guy is you, that’s a pretty big win.
[ebay]
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Comments
What were ebay thinking?!? As if anyone was going to sit there and go “yeah sure make us pay out the ass even more no worries!” Good one ebay, good one.
The battle is over but not the war! eBay is still forcing Aussie sellers to offer PayPal as an “option” (if it’s mandatory it’s not optional) whether they want to or not.
“It’s even better for buyers now, as they have a $20,000 protection program in place”
But is this $20,000 buyer protection program so wonderful as it sounds? Read paragraphs 2, 3 and 7d of the PayPal Buyer Protection Policy at the PayPal site:
(some relevant quotes:)
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PayPal Buyer Protection Policy
…
…
2. Which policy applies to me?
…
If your purchase meets the requirements for the PayPal Buyer Protection Policy (set out in paragraph 4 below), PayPal may try to recover your payment from the seller, ie to attempt to reverse the PayPal transaction. IMPORTANT: If you are eligible under PayPal’s Buyer Protection Policy, and you claim that the item purchased is “significantly not as described” or you did not receive the item PayPal may attempt to recover your payment from the seller, but recovery of your payment, whether in whole or in part, is not guaranteed. However, where PayPal is unable to recover the whole or any part of your payment from the seller for a claim, PayPal may at its absolute and sole discretion, decide to make an ex gratia payment, not exceeding the financial limits set out in paragraph 3 below.
In order to be considered for such a discretionary payment under the PayPal Buyer Protection Policy, your purchase must have all of the characteristics set out in paragraph 4 below and you must comply with all of the buyer responsibilities in paragraph 6 below. IMPORTANT: Payment by PayPal under PayPal’s Buyer Protection Policy is at PayPal’s absolute and sole discretion. You have no automatic entitlement to receive any payments. PayPal’s Buyer Protection Policy does not indemnify you for the loss which you, as a buyer, may incur and it is not a contract of insurance.
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3. Amounts that you may receive under PayPal’s Buyer Protection Policy.
IMPORTANT: For purchases made on http://www.ebay.com.au there is a maximum discretionary payment amount of $20,000.00 AUD.
PayPal is not obliged to pay any amount at all, or if it does decide to make a payment, to pay the maximum amount set out – you may, at PayPal’s discretion, receive a payment which is less than the maximum of $20,000.00 AUD, but PayPal will not pay more than the maximum discretionary amount.
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7. Limitations
…
….d. Availability of the Buyer Protection Policy. PayPal reserves the right to change or discontinue the PayPal Buyer Protection Policy in its sole discretion at any time and without notice.
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No guarantees and no obligations whatsoever, and the ‘protection’ policy can be discontinued at any time and without notice…
eBay does make it sound a lot better than it is according to the fine print in the PayPal user agreements, imho.
How about Ebay start paying all their staff and their board of directors using Paypal??
I’ll be happy to go to Paypal if they all are….
optional is not mandatory…it is still a business!
Daniel Gara
I’m happy that they’re forcing sellers to offer Paypal as a payment option. So what if they get charged? As long as the buyer’s safe. Trades & purchases have always been biased to buyers and for a good reason to boot. And Paypal is no exception.
As WD pointed out they have no obligation to follow through with their so called “buyer protection”.
I know all too well after trying to get compensation after being ripped off by a known to Ebay scam agent. Ebay let him sell for several weeks before pulling the plug on this guy, I didn’t get a cent back.
Can’t see how it’s over until the ACCC takes them to task for third line forcing due to the now-compulsory requirement to offer Paypal.
This paypal hitch proved to all Australians that ebay has obviously lost touch with its consumers. Now we have all had a taste of life without ebay – we’ve all seen that there is no need to go back. Especially when there are other alternatives, the stand out being Smart Bid Auctions. Good one ebay, you’ve lost us for good!
As long as PayPal refuse to sign the australian EFT Code of Conduct we must assume they have something to hide.
It they worked on improving their offering, rather than this…