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July 06, 2006

eBay BANS Google Checkout

eBay has updated it's "Safe Payments Policy" to specifically NOT allow Google Checkout.  I suspect sellers (especially multichannel) will be pretty upset about this.

It will be interesting to see what lame excuse eBay uses to justify this.  For example, they will probably say it's new so prone to fraud.  Well, in reality it's a credit card gateway (and the same one eBay spends millions with as the top google adwords user) and credit cards are specifically allowed along with gateways (verisign/cybersource/authorize.net, etc.)

Here's the relevent excerpt:

Payment Services not permitted on eBay: AlertPay.com, anypay.com, AuctionChex.com, AuctionPix.com, BillPay.ie, ecount.com, cardserviceinternational.com, CCAvenue, ecount, e-gold, eHotPay.com, ePassporte.com, EuroGiro, FastCash.com, Google Checkout, gcash, GearPay, Goldmoney.com, graphcard.com, greenzap.com, ikobo.com, Liberty Dollars, Moneygram.com, neteller.com, Netpay.com, Nochex.com, paychest.com, payingfast.com, paypay, Postepay, Qchex.com, rupay.com, scripophily.com, sendmoneyorder.com, stamps, Stormpay, wmtransfer.com, xcoin.com

The other relevent excerpt is that credit cards are allowed:

Permitted on eBay.com:
Sellers may offer to accept PayPal, credit cards including MasterCard/Visa /Amex/Discover, debit cards and bank electronic payments online for eBay purchases. Sellers may also offer to accept bank-to-bank transfers, often known as bank wire transfers or bank cash transfers. Sellers may accept COD (cash on delivery) or cash for in person transactions. Sellers may offer to accept personal checks, money orders, cashier’s checks, certified checks and other negotiable instruments. Please see the “Some Examples” section of this policy for those evaluated payment services permitted in the eBay marketplace.

http://pages.ebay.com/help/policies/accepted-payments-policy.html                

This is eBay flexing their trust and safety muscles to control the way sellers take credit cards (and as a side-effect, limit their leverage with Google Adwords) if they feel it starts to infringe on the PayPal asset.

It's ironic they would do this here, and in the same breath go to Congress and fight the Net Neutrality battle.

You can't fight for an open internet one day and then implement policies that close the walled garden the next.

Coffee - eBay please wake up and smell it.  Trust and Safety is running (and ruining) your company.

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