|Auction Arms Fees
Sellers: There are two types of fees for selling at Auction Arms - a Final Value Fee, and any fees associated with Special Services. The Final Value Fee is a percentage of the highest bid on a sold item, and Special Services Fee are for things like listing enhancements, or services allowing you to track how many people have viewed your auction. Unlike eBay, we don't charge sellers an 'insertion' fee for a Basic auction. Also, Sellers can upload multiple pictures and include HTML in their auction to give it more 'eye-popping' character, again - free of charge.
Buying or Bidding: For almost everyone, there are no fees associated with Buying or Bidding at Auction Arms. If you're a new user, you can bid on up to 10 concurrent auctions PLUS the number of Positive feedback you've received. So if you've got two Positive feedbacks, you can bid in twelve (12) concurrently running auctions. (Once an auction closes that you've bid on, it doesn't count toward your concurrently running total.) If you'd like to bid on more concurrently running auctions than your feedback allows, you can pay a small fee of $5 to become an Unlimited Bidder.
Final Value Fee: The Final Value Fee is only charged to the seller if the item sells, and is 5% of the first $25, 2.5% of the next $975, and 1.25% thereafter. So if an item sells for less than a $25, the Final Value Fee would be 5% of the final sale price. If an item sell for $650, the Final Value Fee is 5% of the first $25 - which is $1.25 - plus 2.5% of $625 which is $15.63 - for a grand total of $16.88. If the item were to sell for $1500, that's $1.25 plus $24.38 plus $6.25 - that's $500 times 1.25% - for a grand total of $31.88. (The Final Value Fees for Dutch auctions are 2.5%, regardless of how high the bidding goes.) The item is considered sold if the reserve is met in a Reserve auction, if the auction has just one bid in a Basic auction, or if the auction has any bids in a Dutch auction. If the auction has no bids in a Basic or Dutch auction, or if the Reserve hasn't been met in a Reserve auction, then the item isn't considered sold, and the seller isn't charged a Final Value Fee.
Dutch Auctions: The Final Value Fee for a Dutch auction is straightforward and easy to understand. If the number of items sold is equal or less than the quantity listed by the seller, the Final Value Fee is each bidder's quantity times the starting price times 2.5%. So if a seller lists 10 items with a starting price of $3, and two bidders bid on a quantity of 2 @ $3 each, and 4 @ $3.50 each respectively, that's:
That seller owes a Final Value Fee of $0.45.
If the number of items sold is more than the quantity listed by the seller, the Final Value Fee is: the seller's quantity offered times the lowest common bid time 2.5%. So if a seller lists 10 items with a starting price of $3, and two bidders bid on a quantity of 6 @ $4 each, and 8 @ $4.50 each respectively, that's:
That seller owes a Final Value Fee of $1.00.
Reserve Auctions: Unlike Basic or Dutch auctions which don't have any fees if the item doesn't sell, there is a No-Sale Reserve Fee of $.50 if a Reserve auction closes without selling. The fee is charged at the close of the auction, and is non-refundable. We charge this fee in order to encourage sellers to set realistic reserve prices for their items. If the item does sell, then the fee is not charged, but a Final Value Fee is charged based on the final high bid.
Special Services: Special Services are enhancements that can be made to an auction during it's creation that improves it's visibility in the listings and will give it a better chance of selling, or provide the seller with more information on it's progress. For example: we have Featured Auctions which are auctions that are listed first in all listings and Search Results to give the auction higher visibility. The seller pays a fee to have their auctions appear in the Featured listings.
The seller can also include a counter that increments every time someone looks at that item. The counter also appears in 'Manage My Auctions' so that the seller can get a summary of how his auctions are doing in one glance.
AutoExtension is a service provided to sellers free of charge! If an auction doesn't have any bids at it's close, and the seller chooses to autoextend the auction, the auction will not close and the auction will continually be extended for it's original duration until someone bids on it, or the seller removes the autoextension. The seller can only choose to autoextend an auction at the creation of that auction - not during the auction itself. If the seller selects any other Special Services, the seller will also be charged half-price for those Special Services during an autoextension. Example: A Highlighted Auction is normally $1.00 - during an autoextension the seller will be charged $0.50. The seller is charged half-price for those Special Services every time the auction is extended.
This provides the seller with an idea of how effective his style of auction is. To increase the visibility of the seller's listing, we also have BoldFace type, Highlighted Listings, and a variety of colored text the seller can choose from.
All these services are provided for a small fee, and any seller that wishes to use Special Services must list a credit card with us.
200 Auctions Exceeded Fee If you list more than 200 non-firearms auctions at Auction Arms, you'll have to pay a $0.25 fee for each subsequent non-firearms auction. Almost universally, we've found that sellers that list more than 200 non-firearms auctions are selling almost nothing - which makes us no money and frustrates our good buyers by cluttering up the site with multiple listings. It is far more important to us that whatever gets listed actually sells, rather than having lots of auctions that no one pays attention to. If you are listing at Auction Arms, please take care to list the things that will actually sell, and choose prices people are willing to pay.
Relist Credits: A Relist Credit is a credit issued to your account at Auction Arms intended to offset the expense of any auction where the bidder did not come through and complete the auction. Relist Credits are for use with future sales at Auction Arms and Relist Credits ARE NOT credited back to your credit card under any circumstances.
While Relist Credits are issued for Final Value Fees, Relist Credits are not issued for any Special Services used.
As a Seller, you'll occasionally run into the situation where a bidder turns out to be a Deadbeat, or the bidder returns a firearm for a refund. If the bidder is a Deadbeat, Auction Arms will happily issue a Relist Credit for any Final Value Fees charged for that auction, providing that the seller leaves Negative feedback on the bidder. (Negative Feedback for deadbeats is the only mechanism we have for getting rid of deadbeat bidders at Auction Arms - so we require that you leave feedback before we issue a Relist Credit for your fees.)
If a seller accepts a return, Auction Arms will again happily issue a Relist Credit for any Final Value Fees charged in the auction, as long as the seller actually issues a refund. You most post Neutral feedback on the buyer stating that the item was returned for a full refund. Again, Relist Credits are not issued for any Special Services used.
If you wish to have a Relist Credit issued, log in to Billing and click on the 'Request Relist Credit' link next to the auction fee in question. An email will be automatically generated and sent to us requesting a Relist Credit for the auction in question. Again, please make sure you've already left appropriate feedback if you want the Relist Credit.
Because you are responsible for any fees incurred while using Auction Arms, we only issue Relist Credits for auctions where feedback is left. If a buyer backs out of an auction where you feel you're at fault or an item is misrepresented, you're still responsible for the fees incurred.
Payment/Billing: We currently have one way of making a payment at Auction Arms. In order to create auctions, Seller's must first pay a $1 Sign-Up fee and list a credit card with us using our Secure Server, but that fee is refunded to your Auction Arms account as soon as your card is approved. After a credit card has been placed on file, that Seller's card will be billed on the 1st and 16th of the month for charges accumulated on the prior 1st through the 15th, and the prior 16th through the end of the month respectively. So if you're auction ends in a sale on the 3rd, you'll be charged on the 16th for that auction. If you utilize Special Services, even though the auction may not have ended by one of our billing dates, you'll be billed for any Special Services used on the very next billing date.
Paying By Check: You can now prepay your account by check. Use our Invoice Request Form to have an invoice emailed to you.