Beware of eBay. Don’t Sell or Why You Should Swear Off Sell on eBay.

Beware of eBay. Don’t Sell or Why You Should Swear Off Sell on eBay.

I work for equipment liquidation and e-waste recycling company Excess Logic.
You could hear about us from news about mysterious lady, who tossed Apple 1 computer in our recycling center in Milpitas and disappeared without leaving any contact information.

This post is not about this lady.
This post is about a situation with sales on eBay. This is a real story when a company got scammed by eBay and a buyer:

Community Member|Posts: 71|Registered: ‎07-14-2005

‎05-21-2015 07:58 PM

I just got scammed by eBay and a buyer! I sold a 14K Diamond ring,  beautiful, tested Diamond. Buyer wanted to return it as she stated the ring had a nick on the edge. With the 14 day return policy, I honor the return, maybe I missed a small nick, didn’t think so but I knew I was getting the ring back no matter what.

Recieved the ring Tuesday, large crack and fracture into the Diamond, in fact it does not even look like the same Diamond. I told the buyer this. She opens a case, but will not answer my concerns or the case.

Today eBay escalates the case, I had no knowledge of this. I did receive several emals all at once, that eBay will let me know the ruling on the case in 48 hours, with the same group of emails, they decided in favor of the buyer.

I called eBay and they stated that this is” the cost of doing business” on eBay. My word meant nothing, 11 years of selling on eBay and no protection or review of my side of the transaction.

Now I have a piece that is only sellable as scrap and she has my Diamond.

This is one of hundreds real unsuccess stories which vividly demonstrates the current situation with sales on eBay.

The problem is that in accordance with a new eBay policy a buyer can return the item he or she bought no matter what, for example in case his or her dog doesn’t like the color of the item and the seller would have to pay for shipping back and forth and refund the money.

Very often it doesn’t make any sense to pay for shipment back because the total cost of shipping back and forth is higher than the cost of the item. And in this situation the buyer just gets refund and keeps the item.

Ebay has created an ideal situation for fraudulent buyers who want to get used equipment for free.

In retails world nobody provides free shipping back in case of nonworking or not as described item even if you buy a new item from Apple, Sony, Samsung or any other retailer. If a buyer doesn’t like the item he or she bought and wants to return the item, the buyer has to ship the item back. It prevents a fraud.

Only “smart” heads in eBay have decided to provide this extra service when the seller pays for shipping back and forth.

As the result, according to the new eBay policy led to “…As you’ll see below, this significant drop in traffic, about an 80% decrease, had a huge negative impact on my niche store income.  My eBay Partner Network and Adsense income went from around  $1000/month to about $150/month.  Huge hit.”

sales decline on Ebay

sales decline on Ebay


Here’s another real story of  a non-eBay company which decided to sell their used computers on eBay instead of using an e-waste recycling service.

Here’s what happened.

Community Member
Posts: 242
Registered: ‎09-10-2014
in reply to retro_console_accessories
06-09-2015 08:06 PM

I’ve sworn off selling in some categories because they are just too prone to this type of problem.

Example: My non-ebay company recently upgraded our computers, installing more memory, new graphics cards, and other options. The older stuff removed as part of the upgrade was then sold on ebay. I know all of it worked and it was packed extremely well with anti-static foam/bags/ect. Yet of the 26 computer items we sold, 6 of them the buyers said they did not work. In EVERY case the item DID work.

In four cases I talked the buyers through how to make it work – because it was obvious to me they had missed one or more critical steps when after I asked them a series of questions. In one case an individual complained that a solid state drive did not work and it was obvious he did NOT know that you had to first format the drive!  In another case I literally spent nearly 15 hours over a week before I was able to successfully walk the buyer through the install. He messed up step after step of the installation process even when I gave him DETAILED instructions.

But the buyer that really got me mad said he was an authorized apple computer tech and yet he didn’t know some basic facts about the MAC memory upgrade he bought from me. Further, he refused to cooperate in any way with me – refused to even look at links that would have told him how to make the problem he was experiencing to go away. He returned the memory and it tested just fine. Then he complained incessantly about how long the refund took. He paid by e-check which took nearly a week to clear and because this was my first refund and the ebay help page said I should refund using the same payment method the buyer initially used I sent him an e-check back and it took a week to clear as well.

As you can see,  eBay is killing retail business with their own hands. Sellers are leaving eBay and looking for new marketplaces.

It’s up to you what to do with your used equipment, to sell and take all liabilities or to liquidate and split proceeds with a liquidation company without wasting time, money and risk to be scammed. We just can’t keep silence anymore.

To be continued…

by Victor Gichun VP of Marketing at Excess Logic – equipment liquidation and e-waste recycling company

Excess Logic provides surplus equipment liquidation and e-waste recycling services in SF Bay Area since 2012. We provide residual value appraisal, electronic asset management, data center equipment, data destruction and hi-tech equipment such as lab, R&D, biotech, test equipment liquidation. Contact with us at 650-307-7553 or email to contact with our representative.

Call us today at 650-307-7553 or use the form below to request a
consultation to discuss how Excess Logic can help your company
with all of its Surplus Asset Recovery needs.

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