eBay Seller Update 21.1 – eBay payments invoicing changes

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eBay Seller Update 21.1 has a reminder that eBay will require all sellers to register for eBay to manage their payments in 2021. A change coming in will see eBay payments invoicing collect additional fee types (e.g. shop subscription) from your sales proceeds, so read on to see how this will impact you.

It’s critical that you make sure you have signed up for emails from eBay so that you know when it’s mandatory for you to register. If you have already received a notification, eBay advise you to register before the deadline to avoid any interruption to your business. If eBay is already managing your payments, they will continue to send you updates on new features and functionality as these are added.

Please note, if you are an eBay Direct Charity seller, then you too will be migrated to eBay payments and will soon receive an eBay payments deadline for your business. You can read more about the arrangements for Direct Charity sellers here.

“Managing payments is a big step towards making eBay a simpler, more modern managed marketplace, and over 1 million sellers have already registered globally and 38% of eBay’s on-platform volume globally is already processed using managed payments with more joining every day. It’s the way business will be done on eBay, and eBay will require all sellers to register for eBay to manage their payments in 2021.

When you receive a notification from us, we recommend you register before the deadline to avoid any interruption to your business. This process consists of a few simple steps. Once you have registered we will send you further details about how to prepare your business and take full advantage of our simpler approach to payments.

Information shared during registration allows us to get you properly set up for managed payments, and to comply with applicable laws, which helps keep eBay a trusted marketplace.”
– eBay

What to expect when eBay manages payments

  • More ways for buyers to pay
  • Credit card, debit card, Apple Pay, Google Pay, PayPal, PayPal Credit

  • One place to sell and get paid, all on eBay
  • A single source for fees, customised reports, refunds, simplified protections, and dedicated support.

  • Streamlined operations
  • Regardless of how the buyer pays, payouts are initiated within 2 business days (Monday through Friday, excluding bank holidays) of order confirmation.

    https://www.youtube.com/watch?v=QWZJk6DAPks

    Changes to the eBay payments invoicing changes – all fees collected from sales proceeds

    eBay has created a simpler and more modern format to pay your eBay fees and expenses. Beginning in early April all of your eBay selling fees and expenses, including those that are currently charged to your payment instrument on file, will be collected from your earnings.

    If your earnings are not sufficient to cover these amounts, eBay will still charge your payment method on file (debit or credit card, and/or linked bank account).

    • Examples of eBay selling fees, to be collected from sale proceeds, include but are not limited to: insertion fees, promoted listings, listing upgrades, and shop subscription fees.
    • You may find information on fees and expenses via the reports functionality in the Payments tab in Seller Hub.
    • You will receive a monthly invoice in a new format, but depending on your monthly invoice date, you may continue to receive invoices in the old format for both April and May. You must still pay any outstanding amounts that are reflected on invoices that you receive during this time. Charges will not be duplicated.

    Expanded support for international selling

    • If you offer to post internationally, your listings may surface in buyer searches on supported international eBay sites. You may also limit the countries you post to by selecting specific regions in your listing settings.
    • You may create listings on select eBay sites outside of the United Kingdom, such as the United States (ebay.com), Germany (ebay.de), and Canada (ebay.ca). Your earnings for these sales will be disbursed to you in GBP. We will continue to expand international selling to more countries in the coming months.
    • For more details on international selling on eBay, click here. Additional fees (0.5%, 1.8%, or 2.0% depending on country) may apply if either the buyer’s registered address or the delivery address for the item is located outside of the United Kingdom, but you will no longer pay PayPal processing fees for international transactions.

22 Responses

  1. Its on its way

    A recent ebay survey we were asked to complete
    Focused on extra fees for faster payment speeds by managed payments
    So ebay will squeeze more juice from us soon

  2. Maybe it will force all the private sellers who run a business to start declaring they are a business and offering retail standards ebay keep going on about.

  3. Well as Chris said… No extra fees, for now anyway.
    As for higher fees for faster payments.. why? If you use PayPal direct it is instant anyway. It is only eBay acting as middle man that has slowed it down. Why should we pay more?
    What I do wish is for ebay to add the sellers details to the email they send you, like it used to be. Right pain it is with no name. Plus it has increased out buyer enquiries NC charge b
    acks as they nolonger see on their pp who they bought from!

  4. You are forced to use a bank account instead of letting you the free choice for sending the money from sales to your Paypal account. That is why many sellers, including me, will stop on Ebay. Unfortunately Etsy has the same policy.

  5. WHAT AN ABSOLUTE WASTE OF SPACE

    We compalined that currently they settle everyday the payouts and we see the daily selling fees. Then once per monthe they issue an ionvoice for the extra such as shop fees etc.
    Great except they never add up. It is the only invoice structure we have ever known in all our years of trading where they enter your bank and take for instance £105 but the invoice shows £100 then they say oh but those extras came after we issued the invoice.
    Our accountant reckons they have not got a clue about accounting totals are meant to tally not have written on the bottom of an invoice £5 difference will be on next month.
    Now they want to change again.
    I assume this is just the absolute norm for ebay introduce something to find it does not work properly and then change it all again after a few months.

    They are not a multi million pound business they are a multi million pound joke.

  6. I like using PayPal to purchase items. I now simply transfer my ebay revenues each week to fill my paypal account. It’s an extra step now is all. Ebay is just trying to suck more profits for themselves rather than have paypal hold your money. Ebay can reap more profits by holding onto sellers money for up to 6 days by earning interest on it where the sllers money was instantly available in the paypal account. PayPal is losing by being cut off by ebay. It’s a dog eat dog world!

  7. It’s ridiculous, now when I sell an item I am left worrying when I am going to see my money even though I post items straight away. With PayPal I used to wait until I had received the buyers funds before sending their item as it was pretty much instant. What a step backwards this is.

  8. $28 charge for a listing that didn’t sell after a week so I ended it, and they’re chasing me for the money! Ridiculous!

  9. Having been bullied onto Managed Payments 5 weeks ago, as predicted for my business model, fees have increased by 11.9% against paying eBay / PayPal fees before Managed Payments.

    Around 200 transactions have so far been loss making thanks to eBay now taking up to 49% of low value sales (more if considering the Shop fee too). Under the previous regime, these would have been profitable.

    As discussed on Tamebay, eBay are runniung a program similar to the excellent PayPal Micropayments – but only for “invited” businesses. I cannot get an invite.

  10. Rob – change your pricing to make the products profitable or else sell them elsewhere.

  11. Don’t forget that even though eBay charge all this to business sellers, they wash their hands of any responsibility of Payment Claims citing that they are the middle man and these claims are decided by the payment providers.
    However, their messed up system is currently failing to send tracking info to Paypal for these claims so we have lost EVERY SINGLE ONE since October and I’m sad to say but we’re now working hard on our exit strategy from eBay with a goal to be gone from the ‘site by December this year.
    They can’t have it all, I don’t work for eBay I work for myself.

  12. Hallelujah We are doing the same. We have done the same over the last six months and by the end of this month we will be rid of Ebay once and fore all and all I can say is good riddance

  13. @Noel, had a couple of payment disputes opened via ebay. Managed to win one and the other one has been open for over a month due to ebay returns not being fit for purpose and causing more hassle.
    Can only put forward pictures to state your case.
    The amount of returns and I want money off messages is driving me away from ebay.
    Putting more time in my own website now and sales are 1/3 of what I get on ebay. Use Google ads to promote and works out about 10% on average. Pay £25 a month Shopify and less than 2% payment fees.

  14. Moving to managed payments is a price increase. eBay fees and shipping labels all go to a credit card which typically has a 1%, 1.5% or 2% cash back system. Right off the top managed payments represent a 1 to 2% price increase. It also represents a loss of interest income as paying with a credit card means I get to use the credit card company’s money for the 30 grace period while all payments are earning interest.

    They are in no way going to get a photo i.d., other personal information, and a bank account accout number. Even with the the existing system of using PayPal I use two levels of bank accounts. PayPal gets an account number for BANK A where no money is kept. All funds form BANK A are transfered to BANK B which PayPal has no information.

    Under PayPal settings one could block PayPal users with a foriegn PayPal account. With additional terms added to my TOS I was able to tell eBay to cancel payments and remove feedback for foriegn buyers who circumvent eBay seller’s settings regarding purchases by non U.S. buyers. With managed payments I bet you anything there will be a giant increase of UNWANTED foriegners buying items using remailing services.

    After more than 20 years I am gone. Makes little sense to stay these days. I can sell off my own site for free. I can use Zelle for payments. I can use Pirateship for discounted labels.

  15. PayPal becomes 1st third-party payment platform with 100% foreign ownership in China

    US digital money transfer platform PayPal has become the first third-party payment platform with 100 percent foreign ownership in China following its purchase of additional shares of the domestic payment firm GoPay.

  16. our ebay invoice’s totals are incorrect from day 1 (that’s 5 years ago now), it was like this pre MP, and now with MP. I have little trust to org who doesn’t know how much they owe us, or we owe them. Wonderful.

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