Thinking about selling something on the Facebook Marketplace? Then, you’ll be glad to find out about the fees that Facebook charges.
These are the current Facebook Marketplace charges:
- Flat fee ($0.4 for shipments under $8)
- Selling fee (5% for shipments over $8)
- Chargeback fees (if the customer asks for their money back, the transaction amount is held in escrow until the dispute is resolved)
That’s all. There’s no listing fee or subscription. Moreover, the flat fee and selling fee don’t apply per product sold but for every shipment.
But I’ll go into more details below, so if you want to learn more about Facebook Marketplace fees, keep reading!
How Do Flat and Selling Fees Work?
To help you understand this, I’ll give you a practical example:
- I’m selling a product for $125
- The product reaches the customer, and they pay me $125
- Facebook takes 5% off that ($6.25)
- I receive $118.75
Since the product cost more than $8, then the 5% selling fee applied, but if the product cost $6, for instance, Facebook would take $0.4, leaving me with a $5.6 profit.
Let’s see how this logic applies when you’re fulfilling a single order that requires multiple shipments:
- I’m selling 3 products for a total of $125 (product A is worth $106, product B is worth $12, and product C is worth $7)
- I send three shipments to the customer, each holding a different product
- The shipments reach the customer, and they pay $106 for product A, $12 for product B, and $7 for product C
- For product A, Facebook will apply a 5% selling fee ($5.3), leaving me with a $100.7 profit (originally $106)
- For product B, Facebook applies a 5% selling fee ($0.6), leaving me with a $11.4 profit (originally $12)
- For product C, Facebook applies a $0.4 flat fee, leaving me with a $6.6 profit (originally $7)
I hope this makes sense (it should) and that you now understand how the fee system works in the Marketplace.
As for the chargeback fees, there aren’t any. It’s just that Facebook considers the money that the buyer sends to you as the “chargeback fee” if they decide to return the product and get their money back.
That sum will be held by Facebook until the dispute (between you and the buyer) is resolved. If it’s decided that the seller is entitled to their money back, that sum is released and sent to them.
Any fees that you may have to pay during this holding time are supported by you as the seller.
No Listing Fees and No Subscription
The Facebook Marketplace is free to use, meaning you don’t have to pay a subscription fee to buy or sell items.
Creating a product listing (selling ad) is also free, and Facebook doesn’t charge you for selling the product itself. The only fee you may encounter is for shipping. So, if you choose to hand the item to the buyer in person, you won’t be charged any fees.
To summarize, Facebook generally has two types of fees: a flat fee and a selling fee, depending on the value of your product.
If you have any more questions or need clarification about the buying or selling process on Facebook Marketplace, feel free to leave a comment below!
