Paypal fees?

[korsetkoat.livejournal.com]

This has already been been discussed in this community before- who should pay the fee, the commissioner or the artist? The general agreement seems to be, factor paypal fees into your initial commission price to cover it, because it is the artist who should pay the fees and not the commissioner, as by PayPal's TOS. However, there are many artists I've met who do not seem to have read/know PayPal's TOS and their prices are not factored for the fees.

What should a commissioner/artist do in a situation where, a commissioner sends money thinking an artist has factored in fees, but in fact hasn't payed what the artist was wanting (i.e., an artist wants 4.00$, they only get 3.58$)? It seems like one of those situations that could get ugly if not treated with care. Which is why so far I, as a commissioner, have been paying fees most of the time when buying a commission.

Would the artist have the right to withhold artwork until the full fee has been paid? Or does the commissioner have the right to the commission because it is the artist's own hindsight and ignorance that got them out of some money? I haven't had this situation myself yet but I feel as though this kind of thing will happen at one point or another. Is it a courtesy for the commissioner to send more money despite the TOS or should the artist, well, just suck it up because it is due to their own ignorance of the TOS?

Edit; I suppose the easiest solution for an artist who will not give you art until you pay more money is to open a dispute.

However, let's say you told them all this but they ignore your warning about the TOS. Should you report someone for breaking the TOS by making your customers pay the fees? Is there even a way to do so?

Comments

[cloudpouncer.livejournal.com]

I see alot of people saying to work the fees into their prices. How do you work a fee into a price when you are giving out quotes to people and are uncertain of payment method ? I simply tell customers there is a 3% fee for online transactions. If you don't call it a paypal fee you're not breaking the Paypal TOS. The other thing I see people saying is that 3-4% isn't a big deal anyways so why bother. Well it should really go both ways then but that 3-4% makes a big difference to me. If a buyer chooses other payment methods (Check, money order, cashiers check) I prefer to save them them the difference. So to me it's really the choice of the person buying the commission whether they want to pay me a extra 3% for doing business online. Now on the other hand if a artist only accepts paypal as a payment method I definitely think they should just work costs into their prices if they feel they are losing out.

[taasla.livejournal.com]

Yes, but the point is that 3 or 4% is your responsibility as an artist. You are the one using Paypal to make your transactions easier. (Not sure about your customers, but mine rarely ever ask for anything but PP.) As others said above, it is simply a part of running a business. Factoring the business costs into one's prices really isn't that hard. It's the same as factoring the use of markers and pens into your traditional commission costs.

[pariahsdream.livejournal.com]

I've recently amended my TOS to state that my prices are base prices and that I'll send them the total- you could do something similar after asking them how they would like to pay the monies.

[jurann.livejournal.com]

Instead of asking for a 4% online transaction fee, why don't you offer a 4% check/MO "sale price" instead, and raise your base prices by 4%? ;D Then nobody can really get pissy about anything, the guy who has to write out a check and go to the PO to get stamps and mail something physical off to you at their great inconvenience gets a SAVINGS, and the guys who get the simple and convenient online payment just pay regular price. ;)