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Luis Hernandez

SimMarket now charging a fee for Paypal usage?

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Hi Jim,

No, I don't need your PayPal link, just your e-mail address and the knowledge you have a PayPal account.  Just $50?  You're not getting P3DV4?  :laugh:

AVSIM uses PayPal for donations and advertising and we have to pay a fee too but they deduct it automatically.  So, if you donate $25 (and you have donated much, much more than that - thank you very much), we don't see the whole $25.  Wish they didn't have a service fee but it's a major, major business and they have to pay their employees.  I don't know of any credit card or bank that doesn't have fees.  It is strange that SimMarket is asking for an additional fee from PayPal users as they ARE paying the credit card companies a service fee but not telling you they are paying a fee.  Me thinks SimMarket does not like PayPal. 

Best regards,

Jim


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I don't think Simmarket is to blame here. Just Paypal getting increasingly greedy.

From a third party dev perspective, they are the most efficient.

They always pay on time.

 

 

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I'm not seeing shere PayPal is getting increasingly greedy.  This is the charge they have been making for years.  Only difference is that SimMarket is letting you see the charge.  Not sure why they are not doing the same for credit card purchases too as the credit card companies have charges too.

Best regards,

Jim


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5 minutes ago, Jim Young said:

I'm not seeing shere PayPal is getting increasingly greedy.  This is the charge they have been making for years.  Only difference is that SimMarket is letting you see the charge.  Not sure why they are not doing the same for credit card purchases too as the credit card companies have charges too.

Best regards,

Jim

I'd have to agree with your observations Jim.  What many people may not realize is that Paypal is actually a bank, and as such, they do have to deal with a great many other banks around the world.  Paypal is a massive institution nowadays, and has taken on a lot more financial responsibility, so like any business, they have to offset costs.  For what they charge isn't necessarily unreasonable, considering that they do offer a rather high level of security to protect their customers.  While any 'extra' charge is never a welcome one for the consumer. there is a lot of protection backing the purchases made.  I can attest that in the past, I had some troubling issues arise from transactions made, but Paypal went to bat for me, and I got very satisfying resolutions so I can't turn a blind eye or condemn what Paypal does.

Let us not forget that there are plenty of other online venues to choose from, for making our purchases, so if one doesn't appeal to our principles, there is always an alternative.

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1 hour ago, Jim Young said:

I'm not seeing shere PayPal is getting increasingly greedy.  This is the charge they have been making for years.  Only difference is that SimMarket is letting you see the charge.  Not sure why they are not doing the same for credit card purchases too as the credit card companies have charges too.

Best regards,

Jim

Whats PayPals percentage?


Floyd Stolle

www.stollco.com

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Jim Young | AVSIM Online! - Simming's Premier Resource!

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Important other links: Basic FSX Configuration Guide | AVSIM CTD Guide | AVSIM Prepar3D Guide | Help with AVSIM Site | Signature Rules | Screen Shot Rule | AVSIM Terms of Service (ToS)

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"Through an online transaction

And the funds you are receiving are coming from a PayPal account:then you pay:

In the U.S.a fee of 2.9% of the transaction amount plus a fixed fee based on the currency.

Outside the U.S.a fee of 4.4% of the transaction amount plus a fixed fee based on the currency.

In your store location

In the U.S.a fee of 2.7% of the transaction amount

Outside the U.S.a fee of 4.2% of the transaction amount"

 

Since my business is in Canada, PayPal is more than double the rate of the two credit cards. Interact is a flat fee to the vendor of 12 cents per transaction. PayPal charges the customer an atrocious 4% exchange fee at the same time charging the vendor a fixed fee based on currency. Double Dipping IMHO

MasterCard and Visa charge my small business 1.49% for in person transactions and 1.87% for internet and/or phone transactions. Those credit card companies also offer their cardholders and vendors quite an offering of services and protections. They also employ many people and incur costs just like PayPal. 

Sim Market seems to be charging a fee for the difference in their costs of PayPal vs Credit Cards.

IMHO Sim Market should explain to their customers why they are charging the extra fee regarding PayPal. It would be enlightening to their customers.

I don't know about the Flightsim Addon Retail business, but in my business of manufacturing and fabricating an extra cost of 2%-3% is no small potatoes and would cut significantly into my modest profit margins.


Floyd Stolle

www.stollco.com

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4.4% is steep, I don't even pay that much of a fee to Apple Pay


Matthew Kane

 

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I also do not think that Paypal's "greediness" is an issue here. Paypal not only provides a service to buyers, as already mentioned here - convenience, security - they also provide a service to the merchant: they create more business for them and increase sales. Many people will not purchase online, or are reluctant to do so, if they have to give out their credit card or debit card details to yet another merchant. I guess SimMarket will just have to decide of they think Paypal's fee is worth the increased sales.

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Well people have to decide how much they want to pay for services like PayPal, because in the end, it's the *consumer* who actually pays the fee. When I purchase something with PayPal and have to use a foreign currency, PayPal is making 8.4% + on the transaction and that's coming out of my (the consumer's) pocket.

Thankfully I can make online purchases with Interact at a few vendors now, hopefully that expands. It's as easy and as convenient as using PayPal.

Competition is a good thing.


Floyd Stolle

www.stollco.com

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23 minutes ago, laserit said:

 

People have decided: In the first quarter of 2017, more than 203 million accounts were active worldwide, and 7 million merchants are registered. And it is not necessarily the consumer who pays the additional fees. In the purchases I make, I have not noticed that merchants who do not use PayPal are less expensive for the same products than their competitors who do use PayPal. I note, to take an example, that Aerosoft, who accept PayPal, and SimMarket are both selling the Carenado PA31T at 44.28 euros.  It will be interesting to see if SimMarket decides to lower their prices for their non PayPal purchases rather than just raising prices for those who purchase with PayPal. That seems to be the fair thing to do.


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16 hours ago, Jim Young said:

Hi Jim,

No, I don't need your PayPal link, just your e-mail address and the knowledge you have a PayPal account.  Just $50?  You're not getting P3DV4?  :laugh:

AVSIM uses PayPal for donations and advertising and we have to pay a fee too but they deduct it automatically.  So, if you donate $25 (and you have donated much, much more than that - thank you very much), we don't see the whole $25.  Wish they didn't have a service fee but it's a major, major business and they have to pay their employees.  I don't know of any credit card or bank that doesn't have fees.  It is strange that SimMarket is asking for an additional fee from PayPal users as they ARE paying the credit card companies a service fee but not telling you they are paying a fee.  Me thinks SimMarket does not like PayPal. 

Best regards,

Jim

Yep, only $50 Jim (You folks already have my email address).  I'm done buying sims right now...quite happy with what I have (ahem XP). :biggrin:

One COULD interpret that charge from SimMarket as "double-dipping", since there isn't enough transparency in how they arrive at the prices and charges.

If I had known about that charge that's imposed on AVSIM for accepting Paypal for the donations (which I think is a crock for them to charge for donations), I would have offset the cost by donating a little more.

 


Engage, research, inform and make your posts count! -Jim Morvay

Origin EON-17SLX - Under the hood: Intel Core i7 7700K at 4.2GHz (Base) 4.6GHz (overclock), nVidia GeForce GTX-1080 Pascal w/8gb vram, 32gb (2x16) Crucial 2400mhz RAM, 3840 x 2160 17.3" IPS w/G-SYNC, Samsung 950 EVO 256GB PCIe m.2 SSD (Primary), Samsung 850 EVO 500gb M.2 (Sim Drive), MS Windows 10 Professional 64-Bit

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18 minutes ago, AviatorMan said:

People have decided: In the first quarter of 2017, more than 203 million accounts were active worldwide, and 7 million merchants are registered. And it is not necessarily the consumer who pays the additional fees. In the purchases I make, I have not noticed that merchants who do not use PayPal are less expensive for the same products than their competitors who do use PayPal. I note, to take an example, that Aerosoft, who accept PayPal, and SimMarket are both selling the Carenado PA31T at 44.28 euros.  It will be interesting to see if SimMarket decides to lower their prices for their non PayPal purchases rather than just raising prices for those who purchase with PayPal. That seems to be the fair thing to do.

It is the consumer who pays period. *All costs* are padded into the price, plain and simple.

The fair thing for SimMarket to do is to let their prospective customers know why 1.5% is added for PayPal purchases so their prospective customers can make an *informed* decision.

I'm confident that as there is more and more options concerning payment services are coming online that PayPal will eventually have to get more competitive with their rates.

It's PayPal's exorbitant 4% currency conversion fee that stopped me from using their service as a consumer.


Floyd Stolle

www.stollco.com

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1 hour ago, laserit said:

It's PayPal's exorbitant 4% currency conversion fee that stopped me from using their service as a consumer.

I agree and think that is obscene for International users as the server computers make all of the conversions.  No one has to sit in front of a calculator and figure it out manually.  It's like, if it's raining or snowing outside, there will be another bad weather fee.

Best regards,

Jim

2 hours ago, Jimm said:

If I had known about that charge that's imposed on AVSIM for accepting Paypal for the donations (which I think is a crock for them to charge for donations), I would have offset the cost by donating a little more.

But then they would have charged you more.  Our donation system shows how much went to AVSIM and how much for the transaction.

Best regards,

Jim


Jim Young | AVSIM Online! - Simming's Premier Resource!

Member, AVSIM Board of Directors - Serving AVSIM since 2001

Submit News to AVSIM
Important other links: Basic FSX Configuration Guide | AVSIM CTD Guide | AVSIM Prepar3D Guide | Help with AVSIM Site | Signature Rules | Screen Shot Rule | AVSIM Terms of Service (ToS)

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