Auction Information

Hurricane Katrina Donations Could be Many Millions More - EBay Sellers Try in Vain to Help


Yesterday I saw a mention in someone's email ezine about a kind person who had an eBay auction with the proceeds going 100% to help victims of the horrible Hurricane Katrina.

It struck a chord with me because I had wanted to set up something similar, but found that the "eBay Giving Works" charity program seems to be terribly flawed for us small sellers. I had researched it the day before, eBay goes through Mission Fish to handle the administrative tasks and distribution.

Here in a nutshell is how I understand it works. You set up an eBay auction and pledge a percentage of the proceeds to go to a charity. You pick the one you like. If the auction sells, the buyer pays you, and Mission Fish charges your credit card, taking out $3.00 per transaction for their fees, plus 3% to cover credit card fees. That's reasonable, they need to cover their overhead and payroll expenses. Then Mission Fish sends the balance to the charity.

The minimum donation per item has to be $10.00. Again, so far so good, I can understand that.

Now, I noticed in the auction that I visited that the seller had set up a dutch auction, with 1000 "lots" available, each for $1.00 each, with the proceeds going 100% to her favorite charity that would get food to the Katrina victims. I was about to place a bid for several $1.00 lots (a dutch auction lets you "win" as many of the item as you like, all at the same price).

Then it hit me, why couldn't I do the same kind of dutch auction, maybe she had found the way to get around the $10.00 per item restriction, and found that it was a minimum $10.00 per auction. It would only make sense that it would work that way, since Mission Fish charges the seller's credit card, if all 1000 lots sold, that would be $1000 for the charity, Mission Fish would take $3.00 plus 3%, the seller would collect (hopefully) the $1000 from the buyers, and all she would be on the hook for would be the eBay fees. Those fees, plus her hard work, would be her personal contribution.

So I went back to eBay and Mission Fish and researched the deal again. I found out that sure enough, in a multiple item auction, Mission Fish requires a $10.00 donation from the seller for EVERY ITEM that sells in a multiple-item auction (dutch auction).

So, if the seller had 1000 lots at $1.00 each, and they all sold, Mission Fish would have charged her credit card on file for $10.00 for each lot, a total of $10,000.00! And they would have taken their $3.00 + 3% fee for each of those 1000 lots, more than $3,000.00 for their trouble!

At that point, I realized the seller either had deep pockets and was matching contributions 10 to 1, or she misunderstood what would happen to her. I sent her an email, and to end a long story, she indeed misunderstood, was obviously fairly upset at the prospect of paying $10,000, and ended the auction early.

Now, I'd like my readers to do one of two things. If you think that eBay and Mission Fish are mishandling the charity program, as I do, please contact one or both and point them to this blog entry, or just write your own letter with your thoughts.

You can contact Mission Fish here:
http://www.missionfish.org/Help/contactus.jsp

eBay is always more difficult to contact, but you can try starting here:
http://pages.ebay.com/help/contact_us/_base/index.html

The other thing you could do is support the eBay seller's cause, she had to end the auction but she took the trouble to set up a web page for donations, you can access and support it here:
http://www.flipidy.com/secondharvest.htm

Perhaps with enough pressure on Mission Fish, they'll get together with eBay and allow dutch auctions to be counted as a single donation, instead of multiple individual items, and encourage more charity in the future.

For those with homes, families, relatives or friends in the devasted area, my hearts and prayers go out to you. I hope this information will in some small way help someone somewhere.

Dennis Becker is author of a regular blog about different ways of earning money on the Internet, titled appropriately enough "Success On The Internet".


MORE RESOURCES:

Staten Island Advance - SILive.com

The Slot-Auction Saga Continues
Wall Street Journal Blogs, NY - Oct 10, 2008
The slots would then be put up for auction and claimed by the highest bidder. Federal regulators are hoping to force airlines to use larger planes hauling ...
US Completes Its Plan to Auction Slots at Airports New York Times
Auctions of Airport Landing Slots Set ; Port Authority Will Seek ... RedOrbit
DOT Expands NYC Air Auction Plans Despite Mounting Opposition Business Travel News
The Associated Press - RedOrbit
all 511 news articles


Vintage and Modern Posters - Bloomsbury Auctions New York on 22 ...
MarketWatch - 18 hours ago
Bloomsbury Auctions New York is proud to announce for sale a spectacular collection of 282 posters nostalgically capturing the evolving zeitgeist of the ...


China Daily

Lehman Credit-Default Swap Payout Could Climb as High as $365 Billion
Washington Post, United States - 11 hours ago
Auctions earlier this month to unwind Fannie Mae and Freddie Mac credit derivatives resulted in much lower settlement amounts, south of 10 cents on the ...
Lehman Bondholders Get Little Insight on Price From CDS Auction Bloomberg
FACTBOX-Lehman CDS settlement auction timeline Reuters
Lehman derivatives auction described as 'smooth' MarketWatch
Wall Street & Technology - TheStreet.com
all 232 news articles


TopNews

Mexico auctions off more foreign reserves for peso
The Associated Press - Oct 10, 2008
MEXICO CITY (AP) — Mexico's central bank has auctioned off another US$3 billion in foreign reserves, its third auction of the day in an increasingly ...
Mexico sells more foreign reserves to boost peso Forbes
Mexico's central bank sells $6.4 bln to boost currency Xinhua
RPT-Mexico spends tenth of foreign reserves to aid peso Reuters
France24 - The Associated Press
all 195 news articles


BoE says to conduct 2 1-wk dollar auctions each week
Forbes, NY - Oct 10, 2008
LONDON, Oct 10 (Reuters) - The Bank of England said on Friday it would conduct two $30 billion one-week auctions every week until further notice. ...


Bloomsbury Auctions New York Celebrates the Flora and Fauna of ...
SYS-CON Media, NJ - 18 hours ago
The auction will begin promptly at 2:00pm on Tuesday 11 November. Bloomsbury Auctions is the world's leading auction house for rare books and works on paper ...


The Oregonian - OregonLive.com

Joe Weston, the economy and auctions
The Oregonian - OregonLive.com, OR - 6 hours ago
Storage units: Weston says defaults are rising on his storage units in nine locations in Oregon and Washington, forcing his companies to auction off the ...


Treasurys Slide Ahead of Auctions
Wall Street Journal - Oct 9, 2008
By MICHAEL S. DERBY NEW YORK -- Treasurys were off to a mostly negative start Thursday, with a big wave of government debt auctions ahead. ...
Treasury Trade Choppy Amid Turmoil Wall Street Journal
all 4 news articles


More auctions for foreclosed homes
York Daily Record, PA - 22 hours ago
With many foreclosed homes, more public auctions will take place, county officials said. (www.cnbc.com) So far this year, the number of properties that have ...


Reuters

Sales Underwhelm at Art Auctions
New York Times, United States - Oct 8, 2008
Adding to speculation about how the worldwide economic downturn will affect next month’s big auctions in New York, two sales abroad drew disappointing ...
Pop Goes the Bubble in Chinese & Indian Art BusinessWeek
Sotheby's Shares Drop After Disappointing Asian Sales ARTINFO
Sotheby's Hong Kong Art Sale Misses Target Amid Slump (Update1) Bloomberg
Artnet - Reuters
all 89 news articles

Auctions - Google News

home | site map
© 2006