How to Avoid Overpaying for Shipping at EBay, FedEx and USPS

There's a lot of ways you can prepare shipments online these days, especially if you are an eBay seller or retail business owner. No longer do you have to painstakingly handwrite index cards and return labels yourself, and you can get an idea for handling rates before ever shipping the package. Things like owning a FedEx account and being an eBay seller can go hand-in-hand, for instance, but there's caveats of working with both of them.

The past few months have hosted a number of problems for me, most of them having to do with shipping. Both on eBay and on FedEx, I have had issues with "default" settings that never used to be the default, resulting in overcharged shipments, faulty shipping details on eBay listings, and more. If you're considering owning a FedEx account for shipping, this is a great idea, especially if you sell on eBay. However, there's some nuances about both you should know about before you list your next item or ship your next package.

EBay will intentionally try to require the seller to pay the shipping costs. How do I know this? Try selling an item on eBay. Navigate down to the shipping category and select your shipping method. Then input a handling fee. Did you notice anything? The "free shipping" box on the right of the services drop-down menu is automatically filled in. This is a relatively new detail that I was not aware of when I listed my last item, and it resulted in a little "free shipping" icon gracing the cover of my listing, which I wasn't even able to see until actually listing it. (I don't recall ever seeing it in the preview.)

Thankfully, I had an understanding buyer who paid the shipping anyway. However, missing this one tiny detail can turn a profitable eBay sale into a broke deal for you if the buyer does not want the item enough to pay the shipping. Double-check your listings every time to make sure you didn't accidentally leave the check mark filled in.

I'm guessing eBay started this routine because they are desperately in need of money. They started a new routine of letting sellers list the first 5 items each month for free. They never used to be this generous, but their generosity comes with a price. By snookering buyers into paying the shipping, buying on eBay will look more attractive to buyers, and eBay will stay afloat - at your expense.

Owning a FedEx account can get you discounts and save a lot of time filling out forms at FedEx locations. However, I just found out this morning that one small detail online can cost you a $13 charge you had no idea you could even incur.

When you go to fill in a shipping label on FedEx, always, always, always be sure to check "drop off at a FedEx location" under the Pickup and Dropoff shipping options. It will say "optional" on the box, but it's only optional if you want to receive a $13 fee!!

You can set your package up such that a FedEx driver will come to your house and pick up the box, but that will cost you the same amount, as this is what the fee covers. Even if you set up the label this way and then go to a FedEx location to drop it off anyway, it will still be charged to your account when the barcode is scanned.

Alternate shipping through USPS: FedEx is usually the route I take if I'm shipping larger packages. However, smaller packages and books cost less at the Post Office if I pay for Media Mail, Parcel Post, or even First Class.

When you're considering your options, always check with the clerk to make sure there's not a better option. Oftentimes, I will go in with a package expecting to pay the least with Parcel Post when she tells me that First Class will cost me $2 less. This isn't always the case, though, but just keep this option in mind in the event that it is.

And don't let them weasel you into paying for Priority Mail. One gal once had the gall to tell us that Priority would cost less than Parcel Post (there was about a $5 discrepancy if we had done that!) I don't know what kind of fools she took as to be, but I bet a few customers fall for it.

Keeping these shipping tips in mind will save you a lot of money in the long run. Just remember these companies have their own interests in mind first, and will often "default" to the choices that are most lucrative for them and most expensive for you.