Change in Transaction Fees Coming August 2011
The payment transaction fees charged to Freelancers will change. Please see the charts below to review the current and new transaction fees.
Current Transaction Fees
Presently, the following transaction fees are charged to Freelancers.
| Transaction Fee Type |
Fee Charged to Invoice/Escrow Amount |
| Project Fee |
Guru and Guru Vendor members: 5%
Basic members: 10% |
| Escrow Fee |
2% charged only when an escrow is created |
| Employer Payment Method Fee |
If an Employer pays a Freelancer by:
Credit card: Pay up to 4%
PayPal: Pay 2.5%
|
New Transaction Fees
Starting August 2011, the following transaction fees will be charged to Freelancers.
Changes from the current fees are highlighted in yellow.
| Transaction Fee Type |
Fee Charged to Invoice/Escrow Amount |
| Project Fee |
Guru and Guru Vendor members: 4.5%
Basic members: 9% |
| Collection Fee |
2.95% charged on every invoice/escrow amount
This fee covers any costs Guru.com incurs from: (1) Credit card companies and PayPal, (2) Escrows created that do not result in a dispute, and (3) Cash Discounts of up to 2% given to Employers to encourage the use of checks, e-checks, wire transfers or SafePay Account funds. |
| Dispute Resolution Fee |
5% charged only if an Escrow goes to Mediation or Arbitration
Minimum dispute resolution fee: $25 |
Why are we changing transaction fees?
Currently, Freelancers are unsure how much they will incur in fees, making it difficult to know how much to charge Employers for their services.
The fees charged to Freelancers range from:
-
5 to 11 percent for subscribing Guru and Guru Vendor members.
-
10 to 16 percent for Basic Members.
With the new fee structure, Freelancers know how much they will incur in fees, making it easier for them to accurately charge Employers.
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Subscribing Guru and Guru Vendor members will always pay 7.45 percent.
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Basic members will always pay 11.95 percent.
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A 5 percent dispute resolution fee is charged only if a Freelancer or Employer requests our Dispute Resolution services..
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Lower fees for Freelancers who use the escrow service responsibly.
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Increased cash discounts offered to Employers for using check, e-check, wire transfers and SafePay Account funds as a method of payment.
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Reduced credit card usage will mean greater protection for our Freelancers from the risk of charge-backs and reversals.
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