Paypal friends and family money transfers

[atowne2]

Why do so many people want to use friends and family for paypal purchases? I find people on this forum extremely honest and forthright in all ways except this. When they ask me to use friends and family for a purchase, I have to lie on my end. I do not like that. I send more cash to cover their paypal costs so I do not have to lie. If I sell something and receive payment via PayPal, their fee is part of doing business. So what is integrity worth to some sellers? A few bucks for an honest and quick paypal transaction is worth it to me.
I do use friends and family, but only to send funds to FRIENDS AND FAMILY, no fees!!!! If most people lie for a few bucks, paypal will stop allowing free friends and family transfers in the future.

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[Member 34319]

PayPal hates guns and likely has no concern for the 2nd Amendment. Why would I give them any money when given the opportunity to do otherwise.

 

[atowne2]

So, why use them at all if you do not agree with their policies? Ebay is anti gun but I buy reloading stuff there all the time. Just because you do not like then is no reason to steal from them.

 

[arakboss]

Why do so many people want to use friends and family for paypal purchases? I find people on this forum extremely honest and forthright in all ways except this. When they ask me to use friends and family for a purchase, I have to lie on my end. I do not like that. I send more cash to cover their paypal costs so I do not have to lie. If I sell something and receive payment via PayPal, their fee is part of doing business. So what is integrity worth to some sellers? A few bucks for an honest and quick paypal transaction is worth it to me.
I do use friends and family, but only to send funds to FRIENDS AND FAMILY, no fees!!!! If most people lie for a few bucks, paypal will stop allowing free friends and family transfers in the future.

I do the same. This is advantageous in that it may be easier to get your money back if seller doesn't follow through. Try explaining to paypal why you used friends and family to buy an item from a stranger and you want your money refunded.

 

[Flopsweat]

So, why use them at all if you do not agree with their policies? Ebay is anti gun but I buy reloading stuff there all the time. Just because you do not like then is no reason to steal from them.

This is precisely why I don't use them at all, for anything.

 

[V4Cascade]

Because Goods and Services will hold your money for 30 days and you have to pay an additional fee for that service. Also, you will now have to report this as "Income" with the new threshold. I like to tinker with new or different things so I buy and sell quite often and can easily break this limit. I'm not keen on giving the government unnecessary information if I don't have to. They don't give me the same courtesy.

 

[Alexx1401]

While I have never tried I have read often that PayPal makes it clear they will not allow the system to be used for firearm purchase. So if they find out they will block the transaction. This is what I have read leads to people using the money transfer with them to cover that a gun is being purchased. I have LONG warned people that PayPal is NOT a bank so they are not covered by the same laws as banks. Using them leaves the parties open to some risk due to this if things do not go well. Many insist they use them (PP) all the time and it works. I will not risk it.

 

[Fishonshawn]

PayPal reports it now if someone makes more than like $600 good and services. Extra taxes. Thats why so many now want friends and family. I still wouldn't send money that way to a stranger but thats why people don't like goods and services anymore. Most people selling a gun are just trying to break even or recoup a little of the purchase price to go toward something else but now that money is taxed also...also another reason some only want to do face to face transactions instead of shipping. Cash can be exchanged.

 

[atowne2]

PayPal reports it now if someone makes more than like $600 good and services. Extra taxes. Thats why so many now want friends and family. I still wouldn't send money that way to a stranger but thats why people don't like goods and services anymore. Most people selling a gun are just trying to break even or recoup a little of the purchase price to go toward something else but now that money is taxed also...also another reason some only want to do face to face transactions instead of shipping. Cash can be exchanged.

Income is the money you make OVER your cost and overhead for an item. Only the increase is taxable. Not the whole transaction amount.

 

[titsonritz]

So they can bend you over.

 

[CLT65]

Income is the money you make OVER your cost and overhead for an item. Only the increase is taxable. Not the whole transaction amount.

If you kept receipts and records and can prove it to an auditor, that's true.

I suppose that technically you're supposed to even report garage sale income on your taxes, but I've always wondered how you would possibly figure profit/loss from something like that.

My son has a small income selling brass he picks up at the range. It's only a couple hundred dollars here and there. Since he's a minor he can't have his own PayPal account. He doesn't make even remotely enough to file, and I don't see where I'm required to pay taxes on his income.

As to the actual fees, they don't bother me. I figure that's just the cost of doing business.

 

[Richo877]

Income is the money you make OVER your cost and overhead for an item. Only the increase is taxable. Not the whole transaction amount.

This is somewhat true, but if you make transactions for goods and services over a certain amount, you'll be sent 1099 tax documents and have to claim the income and itemize deductions to show your overhead costs are incorporated in the transaction. It's a headache and if you have regular w2s, you're probably going to lose money by itemizing deductions. Unless you specifically file separate taxes under a business name.

 

[Richo877]

Also, the whole part of the conversation where PayPal doesn't allow their service to be used for guns and ammo... I think they can freeze accounts on both parties if there's any transactions that note a sale of a firearm or ammunition. I could just be talking out my azz though.

 

[atowne2]

I did not know that. I have used PP to purchase brass and projectiles many times, even yesterday. Years ago I sold brass on ebay and they threatened to close my account and did suspend me for 3 days. They looked back and found I had done it 10 times over 3 months, then they caught me and canceled my add, but the past transactions they let stand. I still sell gun parts and reloading stuff on ebay with no problem ( like all liberal organizations they are quite contradictory in their policies). So I will continue to use PP with their don't ask/don't tell policy on what i buy. I will pay their fees because they offer a reliable and valuable service to me. I do not steal from any organization, including IRS, because I think it is wrong. But that is just me. I will continue to pay the seller PP fees when I buy via PP, if nothing other than to get them to cover any bad transactions. (They refunded me my purchase price from a Chinese company that flaked on me last December, that refund was prompt and taken care of professionally)

 

[Richo877]

You may not use the PayPal service for activities that:
...
2. relate to transactions involving... (j) ammunition, firearms, or certain firearm parts or accessories

Acceptable Use Policy

Acceptable Use Policy

www.paypal.com

 

[atowne2]

I see ammunition as " loaded rounds" so their policy does not bother me.

 

[Richo877]

I see ammunition as " loaded rounds" so their policy does not bother me.

Components and supplies are not live ammunition

 

[atowne2]

Components and supplies are not live ammunition

Right

 

[Alexx1401]

Components and supplies are not live ammunition

The problem here is the "policy" is enforced by people who often have no clue what they are doing. So often some things fly and others that are the exact same thing are flagged. Ebay has long been the same way. They make some new policy and then many just keep buying and selling while others are stopped. What made it worse on Ebay was when they sold PayPal off. So now you had two separate entities, both of whom had people enforcing policy who often had no clue what they were doing. Ebay is forever changing with the times too. For a while they stopped all magazine sales due to one freak who shot up some Jr College and used some mags he bought from Ebay. With both of these places its all about bottom line. They got sued again over the shooting at the college. So lawyers access the "risk" to them vs what they can make and decide what they will allow and what they will try to block. Its all about the lawyers.

 

[atowne2]

Lawyers, and "public perception" rule. Every important person has armed body guards in the USA, but most schools are "gun free zones" they should just put "shoot me" on their doors