eBay takes a cut of aid auctions

Internet auction site eBay is taking a share of donations aimed at helping Asian tsunami victims.

It subtracts a five per cent fee from gifts intended for Oxfam and other aid agencies. eBay advertises the charity auctions on its homepage to ensure they are seen by as many as possible of its seven million UK customers. But the fees are the same as those for ordinary users.

One outraged eBay customer told an online discussion group: "I will NOT contribute to corporate greed while trying to help those in need."

One "auction" on eBay asks for a ?100 donation to Oxfam to feed four families for a month. Most buyers do not realise eBay will take ?5.86 from each ?100 - the price of one family's food for a week.

When the Evening Standard asked eBay how it could justify charging on emergency appeal donations, a spokesman said: "To maintain an equal playing field, eBay.co.uk charges minimal fees for all auctions.

"This includes charity auctions where the fee not only covers operational costs but also ensures other benefits so that a charity can raise the maximum amount."

Its charitable arm, the eBay Foundation, has donated ?156,000 to tsunami victims.

Shamed banks have already repaid ?300,000 in fees on credit card donations to the disaster appeal.