eBay Sellers Can No Longer Process Payments Through PayPal Rivals
PayPal and eBay may have split ways, but that doesn’t mean they will no longer be affiliated with one another. As part of their breakoff agreement, eBay promised to process at least 80% of its payments through PayPal. Now, the online auction house is ending its contracts with ProPay and Skrill in order to keep up its end of the deal.
eBay told its community that it is parting ways due to the low usage and high maintenance from offering ProPay nor Skrill.
An email was sent to eBay users which stated, “Over the course of this year, eBay has conducted a global review of the use of payment methods on its websites. Given the very low usage of ProPay and Skrill on eBay’s various sites, from the week of Sept. 27, 2015, these payment methods will no longer be supported.”
But PayPal also announced they will charge higher fees for users who generate more than $3,000 per month in sales. This equates to an increase of over 30% for these sellers.
If eBay is unable to commit to the 80% agreement, the company will be forced to pay a fine to PayPal. If they exceed the 80% figure, they earn a bonus from PayPal. It works in their favor to eliminate other payment processors and primarily allow their sellers to work through PayPal–as most of them do anyway.
eBay is advising sellers to “Please revise the payment methods offered on Good ‘Til Cancelled listings to avoid them being taken down 30 days from their initial listing date.”