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EBay has been plagued lately with jerks that get their kicks placing winning bids on cars then disappearing.  This has been my experience when I tried selling my last three antique cars. Every single one was bid up by a fake bidder!  Then, the problem is the "2nd chance offer" for runner up bidders.  Never successful as they seem to think something is wrong with the car, or thought it over and decided not to spend the money.  In addition, the fees are higher than ever. Most of the cars you see listed are from multiple listing dealers not from guys like us.  

                  These two issues are serious yet eBay doesn't address them and is, I'm sure losing business.  They deserve it!

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EBay buyers have some legitimate complaints, too. Bottom line...eBay is fun to peruse when you like looking at cars for sale, but unless buyers show up in person to inspect or transact, that kind of automobile buying is a loser for both sellers and buyers, generally speaking.

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I don't understand it but there are apparently many people out there that like to bid on cars as though it's just some sort of fantasy game. I've gotten excuses from non-paying buyers such as "my Wife won't let me buy it", "I was drunk and really don't want the car", and my favorite, "I didn't mean to bid". Really!? How does one place a bid by accident? This is nothing new.

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57 minutes ago, pkhammer said:

For an auction format I'd go with Bring-a-Trailer.

 

Ok I've heard of Bring-A-Trailer in other conversations.  People make or break a business so I'll check them out.  I can't say it enough how I used to be ePay's biggest cheerleader... but they cooked that goose several times.  Honk Honk.

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BAT is picky. If you have something special they will allow you to sell it with a reserve. Anything less, they might take you with no reserve. If you have a nice car, they are the best auction going right now. Go on the site and search some different types of vehicles that have sold. 

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As far as second chance offers on Ebay, they are what my father would have called a sucker bet. If you are bidding against somebody and give your maximum bid, and that person turns out to be a flake who never intended to buy, why would you be willing to tender your maximum bid once that person walks away? At best, you were bidding against fictional offers. At worst, you were bidding against a shill bidder. Only a fool would want to honor his top bid in that situation. 

 

The only fair solution is for the seller to put the item up again and bar the defaulting bidder from bidding.

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42 minutes ago, 5219 said:

As far as second chance offers on Ebay, they are what my father would have called a sucker bet. If you are bidding against somebody and give your maximum bid, and that person turns out to be a flake who never intended to buy, why would you be willing to tender your maximum bid once that person walks away? At best, you were bidding against fictional offers. At worst, you were bidding against a shill bidder. Only a fool would want to honor his top bid in that situation. 

 

The only fair solution is for the seller to put the item up again and bar the defaulting bidder from bidding.

Truth is, I did put them up again, same result.  You then have to wait three weeks for your eBay refund.  The whole think stinks.

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I only buy used cars. I have never looked or thought about ebay. In fact I have probably bought less than 5 things off of ebay in my life. For no particular reason I dont trust anything I see there. IF I were buying a car, used or classic I would look at bat, hemmings, and brokers i.e. classic auto mall etc. I have bought some stuff off of Craigs list but only locally when I was able to go in person to look.

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I suspect small sellers on EBay will disappear due to the new 1099K $600 reporting level for 2022.  They have actually tried to implement it for 2021.  If you sell any parts, you better know what you paid for them originally and report it on your tax return, or you may will be having a conversation with the IRS a couple years from now.    

 

The old rule was something like 200 transactions or $20K.  That was reasonable, and allowed the small guy to clean out his garage.  

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 As far as Bring A Trailer, it seems to me that the "winning bidder" did not actually buy the car, but is eligible to view the car and THEN make the best deal that he can with the buyer after viewing the car in person.

 

 Please correct me if I am wrong. But if that is the case, does the seller get a list of the second and third buyers? That would make sense to me, and a good place to advertise your car.  👍

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Disappearing winning eBay bidders is not just a car problem.  I have had the same issues with musical instruments and vintage military uniforms.  Bidders never respond to my emails and I end up reporting it to eBay.  On the positive side, I usually get a better price the second time around.  I think some people do it just to mess with people.

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While I’m not a high volume seller (or buyer) on Ebay, I’ve been involved with it over 10 years and never really had problems with my transactions.

 

OTOH, most of my seller listings are set with “Buy-It-Now” prices and mainlyintended for general advertising/marketing for those who may not know my (specialty) products. Doesn’t cost me anything to have them sit there for months/years and if someone buys one of them, I just relist another. No biggie.

Most of the people who need my products, either know or hear from someone else I have them.

 

As buyer, I don’t have time to peruse things I don’t have a real need for and rarely consider anything listed as an “auction”, but if I do I might contact the seller with direct offer to stop the clock and bank on the money. 


Unless the enthusiasts/hobbyists one-time/single car offering is something truly exceptional/unique and potentially high yielding, like all other auction houses, BaT seems to give a preferential treatment (= prompt listings, reserves, etc) for their high-volume consignors/partners (= dealers, etc), with whom they too seem to have become engaged in with market/value manipulation/perceptions.

 

Well, someone wisely said long ago something like “There’s one born every second/minute/hour/day !”.

Edited by TTR (see edit history)
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It's not just Ebay bidders that disappear - in my previous life I was responsible for auctioning vehicles and other property on a different online auction site and "buyers" became ghosts there as well.  I suspect that if you talk to any old school farm auctioneer even with live bidding there have always been no shows when it came time to pay the bill at the end of the day, only difference is that items likely disappeared as well.  I sell lots on Ebay with the vast majority being Buy It Now style as I find that the auction style listings no longer attract the buyers that they once did.  For the guys complaining about the tax reporting, that is not Ebay - that is the State and Federal governments finally catching up and enforcing the tax rules on Ebay and hence the sellers on their platform.

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1 hour ago, 3macboys said:

For the guys complaining about the tax reporting, that is not Ebay - that is the State and Federal governments finally catching up and enforcing the tax rules on Ebay and hence the sellers on their platform.

They collect sales tax here even on overseas purchases which never used to be the case until some billionare retailer kicked up a fuss

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On 2/10/2022 at 11:07 AM, Zimm63 said:

I suspect small sellers on EBay will disappear due to the new 1099K $600 reporting level for 2022.  They have actually tried to implement it for 2021.  If you sell any parts, you better know what you paid for them originally and report it on your tax return, or you may will be having a conversation with the IRS a couple years from now.    

 

The old rule was something like 200 transactions or $20K.  That was reasonable, and allowed the small guy to clean out his garage.  

 

No, they did not attempt anything in 2021 the tax in 2021 says if you get a payout less then $20,000 (after ebay's fees)  you do not receive a 1099K.  In 2022 after $600 you will get a 1099K. I am not a defender of Ebay, but they have to play by the rules or they have problems, 

 

If you are worried about that you have to explain to the iRS about your Ebay transactions then you either need an accountant or you need another accountant

 

 

On 2/10/2022 at 8:03 AM, TAKerry said:

I only buy used cars. I have never looked or thought about ebay. In fact I have probably bought less than 5 things off of ebay in my life. For no particular reason I dont trust anything I see there. IF I were buying a car, used or classic I would look at bat, hemmings, and brokers i.e. classic auto mall etc. I have bought some stuff off of Craigs list but only locally when I was able to go in person to look.

 

I have bought collector cars off of Ebay, one I looked at, one sight unseen, and one i had someone look at, and all three I was happy with, I bought a ton of parts, I never got burned, and I sold a lot of stuff and never got burned. Very seldom I get a non payer I sold about 300 items last year, and just under that 20K limit. Even if I have to pay tax on it. what is the big deal,? I am going to let it sit on a shelf until I die, so my kids can toss it out to sell the house? Found money for me! 

Edited by John348 (see edit history)
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On 2/10/2022 at 4:15 PM, Roger Walling said:

 If you bid on BaT, do you have to pay the 5% bid fee if the car does not reach the reserve price, but you were the highest bidder?

My understanding is that, per BaT, the 5% only applies per the sale.

And if you are the Winning bidder and don't complete the purchase, you are then permanently banned,

unless there are extenuating circumstances such as serious incorrect description.

Edited by Marty Roth (see edit history)
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On 2/9/2022 at 6:11 PM, Wowabunga said:

What are the top 3 alternatives to selling an antique vehicle...?

Ebay pushed me away so many times I finally said enough.

Amen Brother!  The buyer just has to say "not as advertised" and they automatically refund their money from your account (buyer's remorse)!  Done with eBay!

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I never considered eBay as a place to purchase or sell a car for the reasons noted above.  I found my cars on sites like classiccars.com. Sellers pay to advertise.  They are now invested in selling the car.  Contact info provided. No phantom bidders jacking up the cost. Both of mine I found on this site. Sellers communicated and worked the sales out without any issues.  In fact, I'm now friends with both previous owners son and daughter as these cars belonged to their deceased father's. They like to see the cars in FB every now and then. Anyway, eBay is great for other things but car sales not so much. 

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If $600.00 is sold but either took a loss on item(s) or paid $400.00 for items that were sold (netting only $200.00 ) Isn't it a tax nightmare to report net vs. $600.00 reported income.  Who has receipts for something purchased at a flea market 20 years ago?  

 

 

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You'll also get a 1099-K if you receive any payment on Paypal that the sender uses a credit card, and total is over $600.  A couple of casual sales on there, and now it has to be entered somewhere on tax forms.

 

I agree that the issue is that, except in rare cases, there's no provable basis to that set of Trippe lights you bought in a muddy Hershey field 25 years ago for $100....

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As a small time seller on eBay ,I ‘m done. With the government getting involved and complicating my taxes for a few dollars and eBay fees increasing ,it is not worth it. Face book market place works for me and a friend selling used cars.   On another note Barn Finds is an interesting site for cars.

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I have also had a bad experience with a purchase on EBAY where the seller took my money and disappeared.  That is not so bad but he forgot to send the item I purchased. (sarcastic)  Now for the bad part, I sent several messages to EBAY about paying for a part and never receiving it.  I never received anything from EBAY.... zero.... nothing.  I have been a long time buyer and generally have been very satisfied.  I am starting to wonder now and will explore other options for those parts needed.  This hobby that most of us have been a part of for 20-30 years is changing. 

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Remember though all the new low $600 thresholds were to catch those pesky billionaires from not paying their fair share.   There, now we can tell them to take that,  as we are trying to figure out how to calculate the profits and go through all the receipts for that stuff we bought at the car shows all those years ago.   You didn't keep those receipts?  Shame on you.  You didn't get a receipt?  How foolish.  Couldn't you see this coming in the future?

 

Hopefully now they will learn their lesson and not hide that $700 transaction they didn't pay tax on. ;)  Because you know by shorting them on that sale every year that will turn the common man into a billionaire and that's how they got where they did. 

 

I run my ebay as a business selling car literature,  so it's not a problem,  but I see this being a huge problem to all the people just clearing out some stuff.  Sometimes even at a loss. 

I know it will discourage people from selling and there will be alot less available for our cars on there.   Is it worth the hassle and possibly getting audited and having to deal with that whole mess to get rid of a few parts?

 

I bet in the end it will be a net gain of zero and probably cost more having to pay for thousands of new agents with full benefits and retirement. 

I also wonder where they will find the new agents.  A friend was being audited a couple of months ago and had a hard time even finding an office that was staffed to go have a sit down with an agent.  They even said it would take a long time to hear back as they were understaffed. 

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14 hours ago, John348 said:

 

No, they did not attempt anything in 2021 the tax in 2021 says if you get a payout less then $20,000 (after ebay's fees)  you do not receive a 1099K.  In 2022 after $600 you will get a 1099K. I am not a defender of Ebay, but they have to play by the rules or they have problems, 

 

If you are worried about that you have to explain to the iRS about your Ebay transactions then you either need an accountant or you need another accountant

 

 

 

 

Well, I have been a CPA for almost 40 years, so I have a pretty good accountant.  I also have a 2021 1099K from Ebay reporting about $1,900 total over 17 transactions.  That was for parts acquired decades ago.  They do not have my correct SSN, nor will they get it.   They sent several threatening emails requesting it, and have "suspended payouts".  Could care less, as I have no immediate need to clear space.  

 

 

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Correct me if I'm wrong, but the $600 threshold was established in the 1960s and hasn't been enforced to anything approaching this degree before.  Of course, just as on capital gains, there is no allowance for inflation.  One on-line inflation calculator says that $600 in 1965 is $5,009 in 2022.  A $5,000 threshold TODAY would be very different.

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13 hours ago, Zimm63 said:

Well, I have been a CPA for almost 40 years, so I have a pretty good accountant.  I also have a 2021 1099K from Ebay reporting about $1,900 total over 17 transactions.  That was for parts acquired decades ago.  They do not have my correct SSN, nor will they get it.   They sent several threatening emails requesting it, and have "suspended payouts".  Could care less, as I have no immediate need to clear space.  

 

 

 

Zimm63, 

After 40 years as a CPA I am sure you are a very good accountant but the information that you provided regarding 1099K's for 2021 differs a lot from the information Ebay provided.  I did not get a 1099 this year from Ebay, so I called them and they referred me to the page I posted below, the information you provided is slightly contradictory to that, or if I am just misunderstanding it? I would think Ebay/PayPal is regulated by the IRS and not arbitrarily winging this as was insinuated in an earlier post.    

 

Last year I had gotten a 1099K from PayPal, and my accountant just "zeroed it out" what ever that means, so I am sure you know what to do being a CPA, so I really don't know what the big problem is?  Why is there a big problem with PayPal getting your SSN? they are just another financial institution, no different then any other bank or a credit card company you do business with. I am sure any company can get hacked but giving them your SSN is not like you are giving it to a Nigerian Prince. Am I missing something? please share if there is. 

 

 

Scan_20220212.jpg

Edited by John348 (see edit history)
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After many years I have stopped using EBay… Fees are too high. PayPal the same. If I wanted to sell parts I loose  too much

As for auctions I-only use Bring A Trailer.  Yes they might turn junk away but the one thing I like most is you have to give them your credit card. As soon as the auction is over their buyer fees are sucked right out of their card.  For $99 seller fee. Not bad… Cuts out this. My wife said no stuff.  They want to play a game it will cost big time 

 

I have used them three times without issue

 

I must say you have to really be honest in pictures and write  up.  The discussion groups at the particular auction can be brutal.  Check it out for yourself 

Edited by grubin (see edit history)
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17 hours ago, John348 said:

 

Zimm63, 

After 40 years as a CPA I am sure you are a very good accountant but the information that you provided regarding 1099K's for 2021 differs a lot from the information Ebay provided.  I did not get a 1099 this year from Ebay, so I called them and they referred me to the page I posted below, the information you provided is slightly contradictory to that, or if I am just misunderstanding it? I would think Ebay/PayPal is regulated by the IRS and not arbitrarily winging this as was insinuated in an earlier post.    

 

Last year I had gotten a 1099K from PayPal, and my accountant just "zeroed it out" what ever that means, so I am sure you know what to do being a CPA, so I really don't know what the big problem is?  Why is there a big problem with PayPal getting your SSN? they are just another financial institution, no different then any other bank or a credit card company you do business with. I am sure any company can get hacked but giving them your SSN is not like you are giving it to a Nigerian Prince. Am I missing something? please share if there is. 

 

 

Scan_20220212.jpg

The above may be what they referred you to, but that is not what is happening in my case.  They sent me threatening emails demanding my social security number.  They sent me a 1099K with some random tax ID number I do not recognize.  While I know how to deal with that on my tax return, and actually have receipts for many of the parts sold, the average person will not.  Nor will they be familiar with the hobby loss rules.   They will have to pay more for tax preparation.  If ignored, they will have to deal with IRS notices which is beyond the capabilities of most of the population.  

 

You should also be aware the EBay has pretty much taken over payments from PayPal.   I was not happy with that change when it went into effect a year ago, as they hold your $$ while the buyer is expecting prompt shipping.  

 

My point is not the possible taxation of the proceeds, its the number of small sellers who will drop out, and the decreased access to parts.  Many of the bits I sold last year were "hens teeth" that people were glad to find.    As I said, I can deal with the hassle.  Many cannot, or will not.  

 

EBay has been a useful source of parts for me.  It remains to be seen if that will be true in the future.  

 

 

 

 

 

 

 

 

 

PayPal and EBay are not "regulated" by the IRS, but have to follow the reporting rules.  

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I like grubin's comment about taking the buyer's fee from the auction winner's credit card as soon as the auction closes (provided when the buyer would need to register to participate in the auction).   

 

Maybe other auction sites need buyers to post a refundable deposit based on an estimated percentage of the car's closing/hammer price.   Or a minimum flat rate deposit that is applied to the purchase price and buyer's fees.

 

A pay to play policy might weed out the "scheisters".    Unless there are financial penalties,  I don't think we can totally rely on people's honor to do the right thing.  It would make people accountable and remove the uninterested or malicious people.

 

I hate the buyer's fee concept regardless ,  to me it's double dipping.   But if it would be a way to ensure serious participation it might have merit.   But then lower it for both buyer and seller and remove the optics of "gouging".

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......to add to the above post.   That policy doesn't prevent shill bidding unless those involved are willing to "pay the price" of participation if they are the final bidder.    Not sure how to prevent being "run up" and paying more if you were winning bidder than would otherwise be the case.   A three-way bidding war to near the end would likely mean there was at least on other serious buyer.  A two-way battle leaves questions.    

 

Auctions are interesting processes that can create hype and a sense of urgency.   Exercise discipline.

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2 hours ago, 1937McBuick said:

Auctions are interesting processes that can create hype and a sense of urgency.   Exercise discipline.

A couple memories that always make me smile are from a small collector auction about 25 years ago near Ithaca. It was put on by a very entertaining auctioneer who figured out I was their coaching my friend Vince. " Come on Vince, Bernie gave you the OK". Then, a while later, a woman got into bidding on a first generation Monte Carlo. The auctioneer got right down on one knee in front of the opposing male bidder and implored him with "Are you going to let this WOMAN take your Monte Carlo from you?"

It was the greatest show going. We bought a couple of cars. One was a later model Buick I thought my wife would drive. She informed me that it was the ugliest car I ever bought and "No" she didn't want it. I think she was driving a '69 Fleetwood at the time.

 

The woman taking the cars car away with her bid was the best. I remember employing that technique in reverse on a car sale a couple of years ago.

 

To the topic of taxes and 1099's, how many of you guys are filling up on a reservation and using the gas elsewhere? OBD3 might catch you on that one if the digital dollar doesn't get you first.

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12 hours ago, Zimm63 said:

The above may be what they referred you to, but that is not what is happening in my case.  They sent me threatening emails demanding my social security number.  They sent me a 1099K with some random tax ID number I do not recognize.  While I know how to deal with that on my tax return, and actually have receipts for many of the parts sold, the average person will not.  Nor will they be familiar with the hobby loss rules.   They will have to pay more for tax preparation.  If ignored, they will have to deal with IRS notices which is beyond the capabilities of most of the population.  

 

You should also be aware the EBay has pretty much taken over payments from PayPal.   I was not happy with that change when it went into effect a year ago, as they hold your $$ while the buyer is expecting prompt shipping.  

 

My point is not the possible taxation of the proceeds, its the number of small sellers who will drop out, and the decreased access to parts.  Many of the bits I sold last year were "hens teeth" that people were glad to find.    As I said, I can deal with the hassle.  Many cannot, or will not.  

 

EBay has been a useful source of parts for me.  It remains to be seen if that will be true in the future.  

 

 

 

 

 

 

 

 

 

PayPal and EBay are not "regulated" by the IRS, but have to follow the reporting rules.  

 

Zimm63.

Being your a CPA. and having knowledge of the tax laws Is the information published on Ebay's website correct for the minimum threshold for 2021 and 2022?

 

Did the request for your SSN happen for 2022? Because that had happened to me in the second week of January of this year I had sold a really nice part that pushed me well over $600, and I was sent a notice that I had to update my information to receive that payout and any further payouts.

 

I would not underestimate the capabilities of most of the population, I am sure they all get 1099's and know what to do with them, and they all have paid income taxes by now

 

I must apologize I meant to say Ebay/PayPal were required and not regulated by the IRS. Either way they are just following the law that was imposed upon them. 

Edited by John348 (see edit history)
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Yes 60FlatTop,

 

It's extra dangerous at live auctions if the Auctioneer is both a good salesman and entertainer.

You're likely to spend more money happy than angry and sad.   So if he can appeal to your sense of humor....

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35 minutes ago, 60FlatTop said:

A couple memories that always make me smile are from a small collector auction about 25 years ago near Ithaca. It was put on by a very entertaining auctioneer who figured out I was their coaching my friend Vince. " Come on Vince, Bernie gave you the OK". Then, a while later, a woman got into bidding on a first generation Monte Carlo. The auctioneer got right down on one knee in front of the opposing male bidder and implored him with "Are you going to let this WOMAN take your Monte Carlo from you?"

 

Was the auctioneer Rex Accurso by any chance?  He would always get a chuckle out of the crowd one way or another.

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