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-   -   Debt after Suspension (https://www.aspkin.com/forums/ebay-suspensions/78425-debt-after-suspension.html)

pikachu784 10-14-2014 03:43 AM

Debt after Suspension
 
This may be one of the most horrifying eBay seller suspension stories you've ever heard.

The beginning of selling on eBay started when I wanted to buy a new graphics card. Simple. I had an old graphics card laying in a box that worked. I sold it in less then 12 hours. Astonished by this, I preceded to looking up some more information about selling on eBay. I came across dropshiping, a reliable non-time removing way of make some money on eBay. I wasn't looking to strike rich, just be able to buy some more equipment in the future. So, I wanted to start. The only problem was this.

The way dropshipping works, is, you find stuff on Amazon, list as much as possible on eBay for a marked up price, wait for someone to buy it, and when they do buy it, use the money you got to send the package from Amazon to the customer. The remaining money, would be yours! It worked! People have been doing it for years, ½ of the top 50 sellers on eBay are dropshippers! The only problem was, for new sellers, they hold your funds. This would continue for a quarter of a year! Now, I could of waited, but I had some debt to pay off. So, the plan was this.

List an Amazon item on eBay, sell it, use PayPal Credit to pay for the item, and pay off the debt once I received the payment (after the item is delivered for new sellers). The flaw was, Amazon didn't take PayPal. A group called Homeclick did. So, I listed Homeclick items on eBay and it started to sell. I did the dropshipping process and started the process of making a lot of cash. I didn't expect that much, but it indeed was happening. I went on my way and dropshipped, until I found out that the Homeclick (my sourcing center), used freight to deliver. Freight needs delivery scheduling, and when the freight company called me and asked me when to deliver, I didn't know since it is for a customer. This turned bad. This was the beginning of a spiral of horrible steps to something much worse. I politely told the freight company that I didn't know when the customer would be home, and asked them to deliver it without signature from the receipent. Unfortunately, they can't. Therefore, most orders didn't get delivered on time, and the customers complained. So many complaints led up to an ultimate, infinite ban from eBay. Now I was in big trouble, I payed all this money (PayPal Credit) for these people to receive their items and eBay bans me!? Then, because of the ban, if a customer complains, they will always take the customer's side and refund the money. So, 1 refund turned into 6 out of 7 of the items sold, and I was/am in debt for $846.

I tried to call Homeclick to cancel the orders, but their dumb customer service never canceled the orders after a week of calling. Eventually I was prompted that all the items had been delivered. The freight company gave up trying to schedule and deliver and just deliver the package, after I got suspended and got $846 of debt pushed on me.

GreenBean 10-14-2014 03:49 AM

Re: Debt after Suspension
 
What horrifies me is you thought this would work.

:pout:

rsot 10-14-2014 04:54 AM

Re: Debt after Suspension
 

JamesNorth101 10-14-2014 05:52 AM

Re: Debt after Suspension
 
Going to have to pay the debt

This is exactly the reasont that drop shipping is a bad idea.

just_smile 10-14-2014 06:00 AM

Re: Debt after Suspension
 
You made some bad decisions. Time to learn from it and improve your selling practice.

pikachu784 10-15-2014 01:08 AM

Re: Debt after Suspension
 
Problem is there is debt, can't just learn and go on, I got debt to pay!

Univerzal 10-15-2014 02:13 AM

Re: Debt after Suspension
 
Quote:

Originally Posted by pikachu784 (Post 598226)
Problem is there is debt, can't just learn and go on, I got debt to pay!

Find a better selling method, never repeat mistakes. earn money then pay.

unkown5454 10-15-2014 02:22 AM

Re: Debt after Suspension
 
$846 is a very tiny price to pay. Now it's time to get serious.

pikachu784 10-15-2014 02:30 AM

Re: Debt after Suspension
 
Well, will dropshipping work on stealth accounts? The only thing I need is a PayPal Debit Card and I'm all set.

rsot 10-15-2014 03:18 AM

Re: Debt after Suspension
 
Quote:

Originally Posted by pikachu784 (Post 598249)
Well, will dropshipping work on stealth accounts? The only thing I need is a PayPal Debit Card and I'm all set.

Dropshipping really depends on quality and customer satisfaction AND product involved...

brownsuga 10-15-2014 02:27 PM

Re: Debt after Suspension
 
I dropship most of my items on amazon. However, this was one of the main reason why I got kicked off Ebay.

1. One of my supplier was not shipping on time sometimes ( he is an old man and knows little about computer so if his assistant is off for a week he can't do much.

2. I sell mostly formal dresses and returns tend to be high in this category.Most times I did not have the cash to refund a customer immediately when they return an item. Imagine this scenario: customer purchase a dress from me for $200. I then purchase from the supplier for $150 so I only have $50 left. Then the customer would ask for a refund and I had to find that extra $150 from my pocket upfront. This is difficult when you have 10 similar return request.

Now I am selling on Amazon and the first thing I do is make sure that I only use three very reliable suppliers. Even if I send in the orders at 4pm it still gets ship out the same day.
The key is to have some cash upfront for refunds and purchases.

rsot 10-15-2014 03:45 PM

Re: Debt after Suspension
 
Reliable seller who delivers with precision is key.

Optimistic411 10-15-2014 05:02 PM

Re: Debt after Suspension
 
I would not consider this drop shipping.

jai 10-15-2014 05:16 PM

Re: Debt after Suspension
 
it can work very well if you source good products, always try and use a recorded delivery service as well

pikachu784 10-15-2014 05:38 PM

Re: Debt after Suspension
 
Well, all I need is a debit card for my stealth account and I'm good to go. The only problem is, they might ask for SSN, or mail it to my forwarding address who WON'T send it to me! Basically, I applied for a PayPal Debit Card and entered in my forwarding address. Now I need to change the address their mailing it to to my real home address. Not to mention they might ask for SSN. (Thank you Photoshop).

bjammin 10-15-2014 05:54 PM

Re: Debt after Suspension
 
After that, I would not say drop ship again. That is a pretty bad story!
Do not fudge the SSN. It won't work. If you use someone else's, then that is ID theft.
You are about to go from digging a hole with a shovel to digging a hole with a bulldozer.

Read around the forum a bit and re-think those thoughts!

SadSuspended 10-15-2014 06:19 PM

Re: Debt after Suspension
 
Pickachu,

I am a dropshipper. I have successfully done it this way. The sky is the limit when you dropship and when you find good products and priced them right and when you know your vendors. I used to make a lot of money in dropshipping until I got suspended. I wasn't rich but money was comming in. You will get back just like I did. I do a combination of dropshipping and I ship the items myself. When I see an item that is hot I prefer to own it. You will get back but it is a slow process.


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