How do you pay? Why?

I buy everything in person and pay cash. I turn up for the transaction wearing dark glasses and a turban.

pW

03-28-07: Punkawalla
I buy everything in person and pay cash. I turn up for the transaction wearing dark glasses and a turban.

That WAS you! You're a clever rascal, pW...

:)

My payment perspective is somewhat limited by having always been a buyer and never a seller on AudiogoN and by not using Paypal. As a buyer I have, with one exception, used cashier's checks. To reassure the seller, I always state in my e-mail that I have no problem with delaying shipment until funds have cleard because I'm not in a huge rush to get the item (true). I think the seller can also be reassured by the substance and style of your communication.

As mentioned by several posters above, the remaining negative for a cashier's check and any other form of payment, compared to Paypay, is the seller's uncertainty until the payment arrives as to whether the deal will actually go through. If I use mail, I tell the seller I will mail payment no later than the day after the deal is made. I have also used express mail or one of the private overnight delivery companies when the extra cost of the service is relatively small compared to the amount of the purchase.

The cashier's checks of BofA, which I use, have a statement printed on the back of the check that information about the check can be had by calling a given 800 number. I called myself to test it out - the service verifies the check's authenticity and its payment once that has occurred. It's a nice feature because the seller doesn't have to spend time looking up the contact information for the bank and incurs no cost for the call. As to Blindjim's concern that the telephone number might be just another part of a scam, it's not likely a small time scammer will spend the time and money and disclose the information needed to establish an 800 number.

The one time I did not use a cashier's check, I deposited directly into the seller's BofA bank account, as mentioned by Ckorody above. No fees and it is fast. The seller had on-line banking and saw the deposit hit his account within an hour after I made the deposit. As to any risk that BofA might later unwind the deposit, I believe the Bank requires that the deposit be covered by cleared funds in the account of the person making the deposit. I don't know who would bear the loss if those supposedly cleared funds were later determined not to be good.

As a buyer, the one feature of Paypal that appeals is ability to challenge a payment when it is made by credit card. However, I have seen ads that specify Paypal payment be made by a means other than credit card, probably for this very reason. I've been lucky so far that all the items I've bought have been truthfully represented and not damaged or lost in transit, so I haven't had to seek a refund. If that happens, I may start using Paypay.

Most of these posts seem to be by sellers eager to protect themselves from buyers. As a buyer, who with one exception has paid by BoA cashiers check, I recognize that the risk is entirely with me. If the seller cashes the check and sends nothing or a defective unit, I have no practical recourse. As I understand it, PayPal acts as an escrow.

So far, every purchase I've made has been an exemplary experience. I thank all those on Audiogon who continually seek the holy grail of audiodom, thus making nice used equipment available at reasonable cost to the rest of us. My next purchase will by an Ayre C-5xe, and Esoteric AV 60, or a Sony XA-9000ES. Hope I don't get screwed.

db

03-28-07: Dbphd
As I understand it, PayPal acts as an escrow.

I'd be careful about making that assumption. Paypal is nothing like an escrow. They don't hold the funds until the buyer approves the product and OKs the release of the funds, which is how escrow works.

As a buyer, your best protection is to make your Paypal payment with a credit card. Then, you have the credit card dispute process to back you up.

I once made a Paypal payment by mistake to an unintended account. I did this simply by making one wrong keystroke. I contacted the other party and requested a refund. No refund. I opened a Paypal dispute process. No refund. Essentially, all Paypal did was contect the other party via email and request a refund, but they had no power to force a refund. After three months, Paypal said the other party never responded to their requests, and therefore the dispute was closed.

If you consider Paypal a safe method because of its buyer protection process, then I think you are flying without a net. This is why I always pay with a credit card when using Paypal. I know I can rely on my credit card company to help in the event of a problem.

IMO. FWIW.