TM introduces buyer protection

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TM have announced a new buyer protection scheme. It sounds good on the surface, for buyers at least. If a trade goes wrong TM will refund the buyer up to the value of $2,500. But it may not be so kind to sellers.

For a start, the scheme only applies to trades paid using TM's Pay Now credit card system.

In upcoming changes to the Pay Now T&C Trade Me can reverse a card transaction if they feel it’s appropriate under their Buyer Protection policy. And if they reverse a transaction like this, sellers are liable for return shipping. TM say they can refer a seller to a debt collector if they fail to pay any outstanding amounts. Nice.

Keep in mind that on top of the usual success fees, sellers who use Pay Now already have to pay an extra 1.95% of the total purchase price, including shipping.

The new service begins 21st February.