Costs of different payment methods
I'm use to Paypal (on another auction site I'm fed up with), but Nochex, PPPay and Google checkout are new to me.
Paypal, Google and Nochex seem similar.
They charge a transaction fee and then a percentage of the sale.
PPPay seem to charge the buyer 49p (if they use a credit card) and the receiver 3.3%, then 1% if you want to withdraw your money into your bank account.
I'll give an example and perhaps someone can tell me whether it's right.
Someone buys something for £5.00 (inc shipping).
With Paypal (and Google checkout) they pay £5.00, I receive £4.63 (fees are 20p+3.4%)
With Nochex, they pay £5.00, I receive £4.65 (fees are 20p +2.9%)
With PPPay, they pay £5.49 (49p if they use a credit card) and I receive £4.83 (fees are 3.3%). I do have to pay 1% to get the money out of the account but it seems a good deal.
Is that right, the sale for £5.00 will cost the buyer £5.49 if they use a credit card? If so it's a very good reason for me to want payment by PPPay and for them to pay using Paypal.
How do I price my items? I'm dealing is small sale prices and 20p per sale could be the profit gone.
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Originally Posted by Chelub
