eBay and PayPal in Australia

[rick_ovic]

Hold the bus! The cavalry is coming!

http://www.news.com.au/technology/story ... 08,00.html

[ozover50]

Excellent!! Saw an article about it on TV last night. The Australia eBay manager or director or whatever was so full of it trying to explain the reasons for the change it was laughable! Apparently Australia is being used as a pilot for the rest of the world.

[johnallg]

We can hope. Let us pray....

[ozover50]

Here's eBay Australia's official drivel on the subject:

10 April 2008 | 11:05AM EST

We're making it safer for all our members to trade on eBay.com.au. To ensure members use only the most secure payment methods, it will soon be required to offer PayPal on all listings on eBay.com.au.
When will this occur?
Changes will be introduced in two stages:

All items listed for sale on eBay.com.au on or after 21 May 2008 must offer PayPal as one of the payment methods.

All items appearing on eBay.com.au as of 17 June 2008 must be paid for using one of the following:

PayPal
Pay on pick up (i.e. paid for when picking up the item)
Visa/MasterCard (with transactions processed by PayPal).
No other payment methods will be permitted.

Please note a small number of categories are excluded from these changes. Find out about these exclusions.

In line with these enhancements to safety we are introducing unprecedented levels of protection for buyers and sellers:

Increased PayPal Buyer Protection – up to AU$20,000
For eligible items purchased on or after 17 June 2008, PayPal Buyer Protection will increase to a maximum of $20,000 (based on the full value of your purchase, including postage).

New PayPal Seller Protection
PayPal Seller Protection has also recently been introduced to provide sellers with an unprecedented level of protection in the unlikely event of a claim or chargeback arising from an item not received buyer dispute or an unauthorised payment (eg from a stolen credit card).
Why is eBay making changes?
These changes are part of our ongoing commitment to protect our members. We believe buyers will be more confident shopping on eBay if only the safest payment methods are permitted.

In 2007 on eBay.com.au those who paid with PayPal were much less likely to enter a dispute. In fact those using PayPal were almost four times less likely to have a dispute over their purchase than people who paid with bank deposit. Plus, PayPal sellers were almost half as likely to experience an unpaid item as sellers who did not accept PayPal.

The data clearly shows that PayPal is a safer way to buy and a more reliable way to sell on eBay.com.au.

Buyers and sellers don’t have to share their financial details when using PayPal, which is one of the biggest fears consumers have when transacting online. PayPal eliminates this concern, making it one of the most secure ways to transact online. In fact PayPal topped the list of preferred online payment methods according to the Nielsen Consumer Report 2H 2007.

By addressing the main causes of disputes on eBay.com.au we will see a lift in consumer confidence. This will help strengthen the eBay community ultimately benefiting buyers and sellers, as well as eBay.

We realise that these changes are going to impact how you transact on eBay.com.au and we trust they will achieve the desired result of protecting our members and providing an even safer place to buy and sell online.

Spin, spin, spin............

[headbanger]

we will see a lift in consumer confidence

Not from me....

I won't be using Ebay after Paypal comes in full stop. Don't have a Paypal account and don't intend to get one.

One day after making the announcement last week, law firm Deacons, representing eBay, filed an exclusive dealing notification with the Australian Competition and Consumer Commission requesting immunity from the Trade Practices Act.

Unfortunately, I don't have much faith in our toothless ACCC either. An neither do EBAY. After all if you announce the changes and not bother to apply to the government regulator until after the fact it tends to indicate you consider them a push over.

[gregga41]

One wonders if the ACCC will take payment (bribe, payoff, etc etc) using paypal!

[doctorwho]

One wonders if the ACCC will take payment (bribe, payoff, etc etc) using paypal!

LOL! (but, sadly, ihat may be right on the mark!)

[ozover50]

And here's the latest:

ONLINE auction giant eBay could face the competition watchdog over its plans to force users to make payments through its own online banking system.

EBay announced last week that its wholly owned subsidiary PayPal would become the only way to pay for auction purchases from June this year.

EBay has notified the Australian Competition and Consumer Commission of its plans, but an ACCC spokeswoman said the company would have to prove the move afforded greater public benefit than it did detriment.

PayPal allows consumers to make and accept payment over the internet without using a credit card.

At present eBay customers can use credit card, cheque or money order to pay for goods.

The plan applies only to the eBay Australia website - which has been filled with angry comments from users threatening to boycott the trading site.

RIP eBay says: "I pay by bank deposit; why should eBay be able to tell me how to pay? I will not be staying."

News of the payment restriction within Australia has also spread around the world.

Deborah from the United States wrote: "We are all aware of what eBay is doing to you in Australia . . . I don't know how you guys got picked to be the guinea pigs for testing. I think what eBay is doing is a crime."

A spokeswoman for eBay said while there would be some initial pain, the changes would bring a long-term benefit.

The ACCC will publicly list the issue for submission and investigation into whether the proposal breaches competition laws.

[jps]

"A spokeswoman for eBay said while there would be some initial pain, the changes would bring a long-term benefit."

Yeah, to eBay!

[johnallg]

"A spokeswoman for eBay said while there would be some initial pain, the changes would bring a long-term benefit."

Yeah, to eBay!

That was my feeling as I read that too.

[ozover50]

Heartening news....... in the press today:

AUCTION website eBay must freeze controversial plans to simplify payment options for buyers and sellers until the consumer watchdog determines whether the move is anti-competitive.

The US-based website estimates it has about five million Australian users and contributes $2.6 billion to the domestic economy.

The online auction site announced in April that from June 17 it would no longer allow direct deposits, money orders or personal cheques as payment options.

The controversial change would leave buyers and sellers with two options: cash-on-delivery or payment via the online commerce website Paypal, which is owned by eBay.

The management of eBay has said the changes were aimed at improving transaction security.

The Australian Competition and Consumer Commission (ACCC) has since kicked off an investigation and taken submissions on the possible effects of the proposed change.

"The ACCC acknowledges that having Paypal as the only payment provider has the potential to deliver some benefits to users, such as increased buyer protection insurance in certain circumstances," ACCC chairman Graeme Samuel said in a statement.

"However, the ACCC believes that consumers are in the best position to decide which payment method is most suitable for them."

[doctorwho]

Thanks for the update, Aitch!

[ozover50]

Yay!!!!

A win for commonsense, the battling buyers and shafted sellers:

http://www.news.com.au/heraldsun/story/ ... 62,00.html

Bewdy!!

[doctorwho]

Yaaaaahhhhh!!!!!!!

[headbanger]

A win for commonsense

Not so I'm afraid Howard.

You see, if I want to sell something on ebay I MUST accept Paypal as an option, which I WON'T do, therefore I WON'T be listing on Ebay anymore.
Using the checkout option directs you straight to .... PAYPAL(surprise, surprise). No other options show as available...(I'd call this Third Line Forcing which is supposed to be illegal in Australia) Even tyhough I might offer bank deposit elsewhere in my listing.
Unless the ACCC force Ebay to drop this requirement of having to offer Paypal then EBAY HAVE WON.