Why do eBay demand Direct debit authority under false pretences?

[acatcalledsweep]

As part of eBay's attempts to exclude Paypal, I'm getting increasingly threatening messages that my "seller privileges" will be restricted if I don't "update my financial information", and that this is needed to comply with identity rules.  Except that eBay aren't after "information", they want a direct debit authority against my bank account.

So why do these corporate clowns want this?  They DON'T need a DD mandate to verify my identity.  Under their new payment scheme they intend to deduct seller fees from my payments, so again they DON'T need direct debit authority.  And if they do have a DD mandate, any mistake they make, or if they get hacked and lose my data resulting in fraudulent purchases, then it's MY bank account that's hit.

It's bad enough that eBay are now an expensive selling platform.  It's bad enough that the web site is dreadfully dated, under-invested, messy and complicated.  It's bad enough that "support" is the usual combination US tech companies love of poor quality automation and offshore garbage.  It's bad enough that eBay's legal-but-immoral tax avoidance continues, putting other businesses at a disadvantage.  But now, as part of some childish corporate battle with Paypal you want me to give your creaking systems and faceless organisation direct access to my bank account?

Hopefully this move will crack open the market a bit more for the alternative selling platforms.

And finally, I'm aware that this is a "community forum" and eBay engagement will vary between minimal and nil.  I'm aware of the direct debit guarantee (fat lot of good if your bank account is raided and a whole load of real DD payments get bounced).  And I'm sure plenty of regular users think the sun shines out of eBay's fundament and don't mind this at all.  But as I hope is clear, I'm deeply unimpressed by this heavy handed and dishonest attempt to get direct debits access to customer's bank accounts.  You crooks.

[papso22]

The answer to your question in the title of your post, is that they need to be able to recover refunds from you if they have already transferred all your sales income (less fees) to your bank.  This is done by using the direct debit mandate and is why you can't sell on here if you don't agree. 

With Paypal, if there were insufficient funds in your paypal account to pay a refund then they used your funding source, often your bank account, as agreed by you.  

No real difference.

[john1297576]

Unless you supply the information requested ten you won't be able to sell.

The DD is needed for other things apart from fees which as you say are mostly collected from  money received, but there are other fees which are payable as soon as you list ( not very likely but for example Reserves) and also making refunds if necessary.

Direct Debits cannot be used by just anyone, the Companies using them have to give an Indemnity that protects the Bank Account Holder against misuse. Most Bank Account holders have numerous Direct Debits every month which cause no problems, I rarely have any need to write a cheque now and am quite happy for all the household bills to be paid monthly by DD.

Why you have to call Ebay "Crooks" I cannot imagine, it is their site, they make the rules, members either go along with the system that ebay operates or give up selling on ebay. Don't you already have any DDs on your Account, or have you called  all the Companies that get paid that way "Crooks" as well.