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Accept Payment By PayPal For Your Band's Gig?

Discussion in 'Band Management [BG]' started by JohnnyNelson, Aug 15, 2007.


  1. My jazz group is occasionally asked if we accept credit cards for payment. I've always said no - cash or check only. Now I'm starting to wonder about the possibility of accepting cc payment through paypal. I know an unscrupulous client could chargeback the payment through their cc company as late as several months later - but maybe more gigs...

    Any thoughts?
     
  2. Stegre

    Stegre

    Aug 14, 2007
    I do a lot of business with Paypal, and it is really handy for deposits, and payments. Never had a single chargeback or problem.

    Make certain you use an agreement when you play and do exactly what you say you will do.

    Stefan
    coverbandbook.com
     
  3. Do you charge the client the 3% paypal fee?

    And yes I always use a contract and highly recommend using them..

    Thanks!
     
  4. Stegre

    Stegre

    Aug 14, 2007
    Just build it into your fee, if you are making enough, you should have room.

    Stefan coverbandbook.com
     
  5. JansenW

    JansenW

    Nov 14, 2005
    Cambridge, MA
    Do you charge your band mates PayPal fees to cash out their shares of PayPal dollars?
     
  6. scootron

    scootron Supporting Member

    Jul 17, 2007
    Moved to Texas
    As Stefan says, having a written agreement is very important, even if the owner/venue is a 'friend'. Performance contracts are simple to draw up or to customize for your band. It shouldn't be too hard to find a local attorney to do it for you, since many of us are music fans and band members ourselves. You could probably find one to do it 'pro bono' in return for good seats at a show, a few drinks and maybe a song dedication. Don't let them on stage though, and by no means should they be allowed anywhere near the mic.
     
  7. the only thing that would make me nervous about paypal is that I don't want to leave the venue until I have money in my pocket...I know there are plenty of bar owners up here who will try every trick in the book to not pay up, and paypal would be really easy for them...however if there was a way to guaruntee the money, i'd be ok with it.
     
  8. bassbrock

    bassbrock

    Feb 20, 2007
    Callahan, FL
    I'd say no. It is just way too easy for a buyer/payer to get their money back without your authorization. I've personally been involved in about three different disputes and all ended with the buyer getting their money back and keeping my gear to boot. :bawl:
     
  9. Stegre

    Stegre

    Aug 14, 2007
    I don't think I'd do it for a bar gig either, for the same reason you guys said. For me, bars were always cash on the barrel at the time. I guess maybe that is a lack of trust on my part.

    I can tell you that if you work weddings or corporate gigs a lot, it is common procedure to be paid by credit card. I always take a substantial deposit (at least 20%) and the remainder is due at least 2 weeks BEFORE the wedding. It is very common among wedding vendors to get completely paid in advance. Couples know to expect it as well.

    And.. it works well for them because they almost always get a pile of cash as wedding gifts and can pay off the cards.

    The key to winning a Paypal dispute is to keep accurate records to substantiate your position. I've done hundreds of transactions, never a problem.

    Stefan
    coverbandbook.com
     
  10. bassbrock

    bassbrock

    Feb 20, 2007
    Callahan, FL
    There is no key to winning a PayPal dispute. Unfortunately it is entirely arbitrary and up to a "Dispute Resolution Team" at PayPal. I've had disputes go both ways, and I've always kept complete and accurate records.

    PayPal is my least preferred payment method when I'm the seller or the vendor. If I'm the buyer, I know that it's pretty darn easy to get my money back in the event I'm not satisfied, so I like to use it.

    I had one situation where a buyer (eBay) disputed an item about 45 days after he had purchased it. It died on him (or so he says) but I sold it as is and without warranty.

    Long story short, PayPal decided in my favor and let me keep the money. Well, the day that PayPal rendered the decision, the buyer called up his credit card company and filed a chargeback with Visa. PayPal snatched the money right out of my account to pay the Visa chargeback *and* charged me a $15 "chargeback fee."

    Again, if a buyer is determined to fraud you, they can do it. Especially if they pay with a credit card.
     
  11. kellz123

    kellz123

    Aug 17, 2007
    You can use paypal but I would recommend a merchant account. I use cardservicesales.com for my credit card processing and it works great on my site. You can find many companies that offer these services I believe some local banks may too.
     
  12. Busker

    Busker

    Jan 22, 2007
    +1

    And Paypal is not exactly a credit card either. It's simply a payment method. With a regular credit card, you can get customer service over the phone if necessary, talk to a rep, and get their supervisor on the phone, too. Just try and reach Paypal by phone. You have a better chance of winning the lottery.

    I do use Paypal. I accept it for ebay sales. Never a serious problem with using it, on ebay. But I'm not sure I would accept it for "services rendered".
     

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