(yet another) Gunbroker fee grab

[peachhead]

For those of you who sell on Gunbroker (or buy, I'm sure this will affect you too)-

if you were not aware, Gunbroker has partnered with MasterFFL "as part of a cooperative effort to improve efficiency and reduce friction in the firearms transfer process for buyers, sellers, and receiving dealers."

Beginning April 2, 2026:

• $5 per sold item transfer – Licensed FFL dealers (standard FFL transfers)
• $10 per sold item transfer – NFA / SOT transfers
• $7 per sold item transfer – Non-licensed FFL sellers

I asked GB who was responsible for these fees. They answered me today- the SELLER. They said they are collecting "feedback" for the first month before the fees hit.

I am afraid I was not very nice with my feedback.

 

[golferboy426]

I have not received any notification about this. I also do not use their check out system. Ever.

 

[Ale-8(1)]

Out of curiosity, what is a "Non-licensed FFL seller"?

 

[Hawk-in-Wi]

Out of curiosity, what is a "Non-licensed FFL seller"?

anyone that does NOT have a FFL and sells on gunbroker , a private person can sell on Gunbroker, all they have to do is make sure the shipping and that the transfer of a firearm is legal, which pretty much means, make sure that a firearm is shipped direct to a FFL in the buyers state and that FFL will do the transfer, Gunbroker even has a link to ATF FFL EZ check where anyone can go on line and if you have the first 3 and the last 5 numbers of a FFL you can check to see if it's up to date and if all the info is correct

 

[Yaworski]

They already hit us with a "compliance fee" to help dealers deal with compliance issues.

 

[thinckley]

to help dealers deal with compliance issues.

If you believe that, I have a bridge to sell you.

 

[Yaworski]

If you believe that, I have a bridge to sell you.

They say that they pass that directly to the dealer.

 

[NikA]

They already hit us with a "compliance fee" to help dealers deal with compliance issues.

The compliance fee is related to their compliance with state and local sales tax collection if I understood their legalese correctly. Seems like an illegal charge for their business model to me, but whatever, just reduces my bid by the corresponding amount.

 

[Yaworski]

The compliance fee is related to their compliance with state and local sales tax collection if I understood their legalese correctly.

Interesting. I remember a number of years back they said it was to help the dealers and that it was passed on. Now they claim it is to offset processing of sales tax.

I find it interesting that the Congress mandates that on line business collect sales tax for fifty states but expect the merchant to eat that expense.

 

[badguybuster]

My state does.not charge sales tax on firearms and ammo. I sent a copy of the law to GB, they still charge the tax....wanna bet it ends up in their pockets

Interesting. I remember a number of years back they said it was to help the dealers and that it was passed on. Now they claim it is to offset processing of sales tax.

I find it interesting that the Congress mandates that on line business collect sales tax for fifty states but expect the merchant to eat that expense.

 

[hittman]

My state does.not charge sales tax on firearms and ammo. I sent a copy of the law to GB, they still charge the tax....wanna bet it ends up in their pockets

Your state charges tax on internet purchases. Has nothing to do with guns or ammo.
So not only does GB get bashed on the internet by the uninformed, they’ve got the burden of collecting it for the government; working for free. Regulators and politicians always told us business owners it’s an “unfunded mandate” LOL. ……… Like somehow a fancy description would make everything okay.

 

[peachhead]

Your state charges tax on internet purchases. Has nothing to do with guns or ammo.
So not only does GB get bashed on the internet by the uninformed, they’ve got the burden of collecting it for the government; working for free. Regulators and politicians always told us business owners it’s an “unfunded mandate” LOL. ……… Like somehow a fancy description would make everything okay.

that is what I thought too. internet = sales tax
Personally it makes my life easier that they collect it and I don't have to, but I could do it if necessary.

 

[golferboy426]

They already hit us with a "compliance fee" to help dealers deal with compliance issues.

nope.. the compliance fees is to recoup the cost of tracking collecting and then paying the State sales tax which is now required by law

 

[Sam Summey]

As an FFL, I tried to "register" with "Master FFL". GB has already been using this "service" just haven't been charging a fee. I reached this conclusion when I was told someone had already registered my FFL. Checking the profile the info was correct for my FFL. The truth if it is costing them for this "service" and have already been paying for it, now this "multi-million dollar" operation is wanting to squeeze more money out of the seller and buyer. I call this "Gun Broker Greed" on this fee.

 

[protoolman]

So can anyone give me an example of what a gun that bids up to 500 dollars say, costs each party involved these days?

 

[cleg]

One thing I can say about gunbroker, is the ability for individuals to rack up outrageous prices on some items that are not worth the price they want. To each there own i guess.

 

[peachhead]

One thing I can say about gunbroker, is the ability for individuals to rack up outrageous prices on some items that are not worth the price they want. To each there own i guess.

It's not worth it to you, but to somebody it is, or they wouldn't be selling.
Auctions seem to bring out the frenzy sometimes.

 

[peachhead]

So can anyone give me an example of what a gun that bids up to 500 dollars say, costs each party involved these days?

Say I sell a handgun for 500.
Shipping 25
Tax say 7% 35
Compliance fee 5 is usually added to tax

Buyer pays 565
Plus possible card fee 3%

Seller has to pay a final value fee. Roughly 30
Seller pays any "upgrade" fees on the ad. Could be zero, could be 15-30
These are billed monthly. If the ad has run multiple times then that costs more. These are strictly optional, the seller does not have to put any upgrades on the ad at all. Listings are generally free.
Soon seller will have the master ffl fee, 5
Seller is billed for sales tax 35
So seller actually makes about 450-465
The seller pays cc processing fees. Hopefully no more than 3% but who knows

I don't think I missed anything...

Then buyer of course pays the transfer fee to get it from his FFL.

 

[GasGuzzler]

Don't use them then. They're offering a service and charging for it because it's a business. Prices are very high there overall because people can't stop trying to one-up each other. I want the prices there to continue to go up, especially the fees. Maybe at some point local sales will come back that way. Gun shows are dead because of internet sales. Prices are high for the same reason ... and the worthlessness of the dollar.

 

[peachhead]

Auctions can get crazy. Not just online though.
Gun shows are not dead, just different. Generational shift.
Online buying is the thing now everywhere. Wishing GB dead is not going to change that. Actually, take a look at the vendors on GB and you will see... local shops, searching for a wider audience.

 

[bigbillyboy]

Yeah ,I attend lots of " live " auctions and see it all the time . Newer guns like Henry's for example , selling for more than the cost of a brand new one in the box. Bidding can turn into a competition . ... . However , occasionally there are some deals ....

 

[golferboy426]

Say I sell a handgun for 500.
Shipping 25
Tax say 7% 35
Compliance fee 5 is usually added to tax

Buyer pays 565
Plus possible card fee 3%

Seller has to pay a final value fee. Roughly 30
Seller pays any "upgrade" fees on the ad. Could be zero, could be 15-30
These are billed monthly. If the ad has run multiple times then that costs more. These are strictly optional, the seller does not have to put any upgrades on the ad at all. Listings are generally free.
Soon seller will have the master ffl fee, 5
Seller is billed for sales tax 35
So seller actually makes about 450-465
The seller pays cc processing fees. Hopefully no more than 3% but who knows

I don't think I missed anything...

Then buyer of course pays the transfer fee to get it from his FFL.

The seller is billed and pays the sales tax but the buyer pays the tax to the seller along with the 1% fee. The buyer could also be paying the credit card fee unless the seller decides to eat it

 

[cleg]

It's not worth it to you, but to somebody it is, or they wouldn't be selling.
Auctions seem to bring out the frenzy sometimes.

Oh I agree but when a marlin 781 .22lr goes fot 700-1000. You are correct its not worth it to me. Thats ok someday I'll stumble across one and possibly win an auction for reasable.

 

[reuben_j_cogburn]

Guns International...... tons more listings..... direct dealer to customer contact.. Just deal directly with the seller...no one watching over your shoulder.. no fee's or even a user agreement... I met a number of really great small shop owners this year.... no dud's... It took me weeks just to get accepted on GB..... but what purchases I've made have all been on G.I, and you don't even need to join......

 

[Yaworski]

Auctions and online shopping get people excited and willing to overpay.

My boss was selling off excess inventory on Amazon. It was amazing, people would pay $1500 plus shipping for something they could buy in any appliance store for $1,200 with no shipping charges.

 

[willk]

Gun Broker. What a bunch. Buyer stiffs me by never paying for completed auction (despite all efforts to establish contact arrange to receive payment). So, I have the rifle, and I AM CHARGED by GB for a completed sale. No refunds, Just keep my money.

I quit using the sorry devils. Yet every month they send me a statement, all but BRAGGING that they HAVE MY MONEY, and I don’t owe them anything.

When I make a sale, I try to price it right, make sure its right or in one case when I was in the wrong, do my best to make it right, or make a full refund whichever (happened once, I believe the purchaser was satisfied with the result)

 

[golferboy426]

Gun Broker. What a bunch. Buyer stiffs me by never paying for completed auction (despite all efforts to establish contact arrange to receive payment). So, I have the rifle, and I AM CHARGED by GB for a completed sale. No refunds, Just keep my money.

I quit using the sorry devils. Yet every month they send me a statement, all but BRAGGING that they HAVE MY MONEY, and I don’t owe them anything.

When I make a sale, I try to price it right, make sure its right or in one case when I was in the wrong, do my best to make it right, or make a full refund whichever (happened once, I believe the purchaser was satisfied with the result)

GB will refund all the fees if you ask. Speaking from experience

 

[willk]

Actually, I did ask. They collected sales tax and never returned it even thought there was no actual sale. Yet they hold on to it. $60.00 bucks