How to sell your stuff online for free: eBay gets rid of fees for private sellers

Shoestring Jane walks us through the latest updates in online selling, including how eBay fees have been removed for private sellers

Selling your stuff online for free became even easier last month, as eBay announced they were scrapping all fees (apart from vehicles) for private sellers.

This was music to my ears, as I have been selling some bits and bobs on eBay to help my mum move house. We thought we were doing well, having made around £330, but then we realised eBay had taken £118 in fees! That’s quite a chunk! 

I decided to see what I could list on Vinted, as they have no selling fees. It seems I wasn’t alone in moving to Vinted. It has become hugely popular, and although the focus is still on clothing, the platform is gradually increasing the categories of items you can sell to include homeware, electronics, entertainment and pet care. 

As well as the threat from Vinted, eBay faces growing competition from Depop, which recently scrapped most of its selling fees (apart from a small payment processing charge).

Now eBay has responded to the competition, and private sellers have no final value fees to pay. 

Private sellers can list 300 items a month, which is way more than most of us will need if we are just having a sort-out This means that if you want to make a bit of money selling your old stuff to help fund Christmas, you can make even more than you would have in the past.

Business sellers

eBay’s decision to scrap final selling fees for private sellers caused consternation amongst business sellers reselling used items for a profit.

After all, businesses still have to pay final selling fees, alongside shop fees if they have one. Many felt that with no fees private sellers would be able to undercut their prices by some margin.

However, eBay seems to have a long-term plan, as they recently announced they were scrapping fees on used clothing for business sellers, too. It is possible that they will decide to extend this to other used items. 

This move may also be a reaction to the launch of Vinted Pro, Vinted’s new platform for business sellers, which continues with the current Vinted model of charging purchasers a ‘buyer protection fee’ instead of selling fees.

Buyers pay between 3% and 8% of the item price, which Vinted say protects their money and covers refunds, customer service, etc. My hunch is that eBay will introduce a similar fee for buyers shortly.

Which is best? Vinted vs eBay

I asked members of my Facebook group, My Secondhand and Frugal Life, which platform they preferred to use for buying and selling. Opinions were divided.

Many felt you couldn’t command very high prices on Vinted. As a result, they tend to list lower-value items there and more expensive things on eBay. Angela said, “I love Vinted for selling clothes. I tend to use eBay for more specialised items as you can usually get a bit more.” From a buyer’s perspective, there were “great bargains on Vinted”.

Marina agrees, but likes how easy Vinted is to use. “ If you have something you want more than a couple of quid for, then eBay gets you a lot more chance. But Vinted is so much easier.” Caroline says, “eBay has a bigger reach, but the Vinted interface is better.”

Customer service quibbles

There were a couple of comments about poor customer service on Vinted when things went awry. Miki feels there is little support when you are dealing with a scammer. “If a buyer says (the item is) a fake, Vinted side with the buyer and you lose your items. It’s happened to Dr Marten sellers I know who don’t sell fakes… I’d rather be protected on eBay.”

Mandy bought a T-shirt listed as new without tags, but when it arrived it had blood stains on it. The seller insisted on a return, which Mandy had to pay for, even though the item was not as described. On eBay, the cost of returning a faulty item would have been the seller’s responsibility.

Donna’s Vinted account was hacked, and she said, …”the customer service was appalling trying to get it sorted … after a week and a half, I just asked for the account to be closed. Never had any of that in all my years using eBay.”

However, Fiona has only had positive experiences with Vinted: “I find the people friendly and customer service is always great if there is a problem.”

The tax issue

One development to consider when selling items on any online platform is that HMRC now requires anyone with a turnover of more than £1000 from the sale of personal items to complete a tax return. 

This has caused worry and confusion among private sellers, but Vinted explains it like this: “In the UK, if the money you make on Vinted over a year is less than what you paid for the items, you pay no tax.

“The only time that an individual item might be taxable is when you sell it for more than £6,000 and there is a profit from the sale (ie it sells for a higher price than you paid for it.” You can read the full guidance here.

Ebay’s information on the tax obligations of private sellers is a little less clear, stating only that “sellers may be required to declare and pay taxes on income earned from eBay sales.” Their policy can be found here.

One thing that is clear is that online selling platforms like eBay and Vinted are now obliged to report sellers with a turnover of £1000 or more to HMRC. Although you may be asked to complete a tax return, this doesn’t necessarily mean there will be tax to pay.

Conclusion

Despite all the changes, selling your stuff online for free is a great way to declutter and you can use the money you make to spend on items that you will appreciate more. Do you sell online?

Photo credits: Pexels