More Reasons to Why Fiverr is a Scam

by Lukas
23 replies
$5 - for 5 bucks you get a service done, albeit low quality OR you need to order multiple gigs to hopefully get good service. noah it sucks.
Q: So what's the problem kimosabe?
A: We cna agree that quality trumps everything. You know and I know the quality at fiverr is subpar.

As a result, Fiverr started charging a processing fee for something that costs them nothing to do. They already keep 20% of the $5 for sellers.They only net $4. Now they are charging another 5-10% on top of that. Well, tonto, sure it's quarters we're talking essentially about a tip ( or a scam)

So, how about paying a tip for an order you cancel? Yes, that's right they are now keeping the processing fee on all orders you make that are cancelled for whatever reason. It adds up when your order is $50 or $200. They did nothing at all. The same as Paypal, MasterCard or Visa. You get the whole charged amount $100, $200...refunded back in full as expected.Otherwsie, you have a company that is scamming you or a ripoff. Funny how fiverr only allows you to pay for a gig by funding your account.

I know there will be a group here that won't wine about nickels and dimes but to me it is just bad business practice to charge a processing fee when nothing was delivered or performed. Imagine a realtor or local chain restaurant doing that.

I am not paying for fiverr's time. There is no apponitment, no consultation with an attorney, doctor, CPA, tech programmer, or other valued professional who is paid for their time. It is simple electronic processing. They snuck this into their terms of service when you question it.

Is it legal? I don't think so or MasterCard, Visa, Discover, Ebay and our large national Banks would have done this by now. Perhaps they should have charged a membership fee? who knows. It's better to stick with Odesk, Freelancer, or fiverr alternatives.
#fiverr #reasons #scam #sucks
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  • Profile picture of the author Tyler Pratt
    Originally Posted by Lukas View Post


    Is it legal? I don't think so or MasterCard, Visa, Discover, Ebay and our large national Banks would have done this by now. Perhaps they should have charged a membership fee? who knows. It's better to stick with Odesk, Freelancer, or fiverr alternatives.
    Its a business and they can charge what every they want. Credit cards and fiverr are not the same thing.

    If fiverr wants to take 95% of the fee they can, no one would use there service, but they can do it.
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    • Profile picture of the author Lukas
      Originally Posted by Tyler Pratt View Post

      Its a business and they can charge what every they want. Credit cards and fiverr are not the same thing.

      If fiverr wants to take 95% of the fee they can, no one would use there service, but they can do it.
      There is this national agency called the FTC among others which prevent online abuse by U.S. based companies. They cannot charge whatever when there is no service, no transaction, and simply a refund.
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      • Profile picture of the author ksmusselman
        Originally Posted by Lukas View Post

        There is this national agency called the FTC among others which prevent online abuse by U.S. based companies. They cannot charge whatever when there is no service, no transaction, and simply a refund.
        What you seem to be missing is this - they ARE providing a service. The owners of fiverr:

        1. Set up the website
        2. Maintain the website
        3. Take care of all of the programming
        4. Maintain a server
        5. Maintain their payment gateway

        And I'm sure there are many other things that need to be taken care of behind the scenes to keep that website working!

        What, do you think all of that is free for them? They're the "middle guy;" the broker, and they're supposed to do that for free? They're not supposed to get paid for the services they're providing for their members?

        I'd rather pay $1 out of every gig sale than, say, a monthly membership fee that I'd have to pay whether I make a sale or not, which is what you have to do over at elance.com if you want to set up your provider profile so that somebody can see it and so you can bid on jobs.

        Is elance a scam then too?
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  • Profile picture of the author ksmusselman
    Well, like eBay, a lot of people use fiverr as an alternative to setting up their own blogs, or they're using it to build a following and reputation while launching a new business.

    Once they get enough testimonials and solid feedback, the good ones may move their services over to their own sites, which is what I did with a couple of my services.

    To each his own, but I've always had better luck with fiverr than oDesk, both in purchasing gigs and in providing services.
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  • Profile picture of the author Lukas
    So the fact they charge you for a cancellation is OK?

    Would you use a writing service that did that?

    I agree about Odesk being arodn the same level as Fiverr . Freelancer is a step above.
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  • Profile picture of the author agmccall
    Originally Posted by Lukas View Post


    I am not paying for fiverr's time. There is no apponitment, no consultation with an attorney, doctor, CPA, tech programmer, or other valued professional who is paid for their time. It is simple electronic processing. They snuck this into their terms of service when you question it.
    guess what. The same applies to anyone on your list that gets a promotional email from you. You are getting sometimes 100% commission for something that you, What? sending out an email. Furthermore, you would not promote that product unless your commission is 50 to75%

    So unless you are totally altruistic and don't take more that a 1% commission on a affiliate product or sell your own products for pennies, then you are probably being pretty hypocritical.

    al
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  • Profile picture of the author moneymagneto
    Fiverr is not a Scam. I've used it a lot. Some people do not perform services that's about it.
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    • Profile picture of the author ThomasHere
      Originally Posted by moneymagneto View Post

      Fiverr is not a Scam. I've used it a lot. Some people do not perform services that's about it.
      +1

      Not all seller's are created equal, and not all gig's are created equal either. I think they have it set up now to really protect the buyer, as they are the ones responsible for the bulk of Fiverr's income.

      I keep a close eye on all the comments on the buyer's review list and that there pretty much tells me whether the seller/gig is worth trying or not.

      Not a scam, but its not push button printed money either.
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  • Profile picture of the author robo916
    Fiverr is a business. They can charge whatever they want to charge. As a customer, you have the option to pay what they charge, or go somewhere else. Simple as that. Doesn't make them a scam. People use that word way too loosely these days and it has lost all meaning. Basically if they don't like the fees a company charges, they call it a scam
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  • Profile picture of the author Joseph Then
    There are just this group of people who loves to call anything, anyone, any business who doesn't work they way they want, a scam.
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  • Profile picture of the author Melody
    I have 25 years in the payment processing industry - and I can tell you that once the payment is processed, the payment processor (which is NOT Visa, MC etc - that's the brand, not the company actually processing the payment) is not going to refund the fee to process the payment.

    Transactions are NOT processed free of charge - it is a company's personal business decision as to whether they refund that fee or not - it is NOT mandated by the card associations.

    Fiverr's core service is the platform that allows you to find these service providers, NOT the selling of the service itself. That service was accomplished whether the service you contracted for was completed or not.

    Sorry but if you don't like the service - don't use it. It is not a scam and they are doing nothing illegal or against any rules of MC, Visa, etc

    Melody

    PS - as to quality? I have had some AMAZING work done on Fiverr - stuff I sure would not have done for $5!!
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  • Profile picture of the author SandraGenJobs
    I think your definition of a scam is a bit flawed. I too very much don't like Fiverr, in fact I don't like it at all, but that doesn't mean it's a scam. A scam is when some aspects of ones business seem illegal or dirty in a way, and probably are. Fiverr definitely isn't a scam, although their way of charging and their whole payment system serves no one else but them. But, If you don't like it, nobody is forcing you to use it.
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    • Profile picture of the author IndianaJones
      I have lost a lot of money on fiverr, but I would not call fiverr a scam.

      It is the individuals working on there who may or may not scam you by not doing a good job for you.
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  • Profile picture of the author TJShipnite
    I agree on the overwhelming overuse of the word "scam". Seriously, what is the deal with throwing around that word on everything from "not making a profit" "overcharging" or whatever?!?

    The word scam in 2015 has completely lost all its potency in my honest opinion.

    Maybe the best definition for the word scam right now is "run for cover, RUN RUN" lol
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  • Profile picture of the author entrepreneurjay
    I love Fiverr it comes in very handy for stuff that I do not want to do myself.

    Just look at the reviews on the gigs that you order and make sure the majority of them are positive and the majority of the time you will have a good experience.

    As far as the transaction fees I agree with the comments above they are a business and in the end they have to make a profit to stay in business.
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  • Profile picture of the author Jamaican2011
    Sometimes people rant and rage over "nothing"

    Business is business.

    I totally agree with what Melody says.
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  • Profile picture of the author TrafficFlow
    As s fiver buyer you should be more worried about the fact that I recently received notice from Fiverr that they will be rolling out a new program that will allow select Fiverr sellers to charge $25 or $50 for their basic gig. So if you have a favorite gig that you are paying $5 for that is worth a lot more you may want to order it now rather than later.

    If you are a Fiverr seller you should be delighted.
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  • Profile picture of the author morg2k2
    Well,
    I am using Fiverr a lot more like a seller then a buyer. I can tell you this Fiverr is not a Scam in any way, sure they charge you what they have defined in their ToS so you can accept it or not.

    Secondly they give the buyer an impressive amount of of power that in some cases it conducts to manipulate the sellers to provide what is not included in the gig or else they will report Fiverr and Fiverr will cancel the order ASAP. So if you are scammed by a seller , you can always be refunded.


    On my end I offer a stellar support service and also excellent GIGs, thats why people buy a lot from me without any marketing techniques. But to me the client is first of everything, even when the buyer does not have any reason , i will give him allt the reason


    Fiverr is one of those places where you LOVE it or HATE it, but i cannot say the Fiverr company is a scammer, to me they paid me always on time some nice amounts of money and their support is great to say the least.

    For last but not least you can get awesome deals for just $5 bucks. There is an specific gig that i buy for $5 and sell it easily for $50 so the perceived value is HUGE.

    Morg
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    • Profile picture of the author IndianaJones
      Even though I have lost some money before on fiverr due to getting the wrong people, I have a writer on fiverr.com working for me now and he is great !!!!!!!!!!!!!!!

      Fiverr is not a scam
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  • Profile picture of the author OliviasDad
    Fiverr is basically a jobs board where people buy and sell jobs and work. The quality of the jobs is based on the providers and NOT on fiverr.com

    I myself have been selling gigs on Fiverr now for 4 months, and I've ramped up my own work to the tune of about $600 net income per month on average with my hourly rate probably anywhere between $30 - $50 for what I do.

    I also buy gigs on Fiverr, and when I've worked with people whose work has sucked, I've pretty much told them and asked them cancel the gig and refund the money. As long as I've communicated respectfully with people things have always worked out.

    Yes, there are a lot of people just trying to make a quick buck on Fiverr, and you really do have to do your due diligence, reading people's bios and their gig descriptions. There's an art to vetting a Fiverr seller you've never worked with. But if you figure it out, you can make it around the potholes that exist there on Fiverr.
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  • Profile picture of the author johnapuna
    Honestly, what I use fiverr for is to find long term partners. What I mean by that is for $5, i can test out someone's integrity, communication, work ethic, and of course quality of work. If it doesnt work out, it was $5 lost....if it does, i might have just found a long term article writer or logo designer
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