It's official : eBay Australia goes PayPal only

It’s official: as reported in the press earlier this week, eBay Australia is to go PayPal only. From 21st May, all listings must offer PayPal, and from 17th June, PayPal is the only permitted payment method for most transactions, the only real exceptions being cash for items collected in person, and cars, boats and real estate.

eBay justify their decision on safety grounds for buyers, but also emphasise that PayPal may cut down on unpaid items for sellers:

We believe buyers will be more confident shopping on eBay if only the safest payment methods are permitted. In 2007 on those who paid with PayPal were much less likely to enter a dispute. In fact those using PayPal were almost four times less likely to have a dispute over their purchase than people who paid with bank deposit. Plus, PayPal sellers were almost half as likely to experience an unpaid item as sellers who did not accept PayPal.

With all eBay UK sellers, and new or risky .com sellers forced to offer PayPal, though permitted other payment methods, sellers in other parts of the world should probably be prepared for similar changes, though eBay are obviously working on a country-by-country basis (in France, for example, it would be illegal to force all buyers to use PayPal). How long before becomes PayPal-only?

eBay Australia forums are already seeing seller protests at this new policy, with many sellers threatening to move their listings to eBay-competitor Oztion. I know we have some Australian readers (Bonni, where are you?); I suspect I know what the reaction will be, but please do leave us a comment.