Re: [AGA-sc] Contest Awards -- Prizes and costs to contestants

[Kathy Olson <kathy@thekrib.com>]

What about paypal??  I think this is a good option for them rather than 
have us absorbing the costs.  How many countries don't ahve paypal.

K

On Fri, 24 Nov 2006, Karen Randall wrote:

> I think that until we think of a better solution, AGA should absorb the 
> transaction costs.
>
> Karen
>
>  ----- Original Message -----
>  From: S. Hieber
>  To: aga-sc@thekrib.com
>  Sent: Friday, November 24, 2006 11:42 AM
>  Subject: [AGA-sc] Contest Awards -- Prizes and costs to contestants
>
>
>  Foreign winners in the Aquascaping Contest can face substantial transaction 
> fees of about $20 or so to process a foreign check. They would like to avoid 
> these costs, especially when the prize is only $25. These transaction fees 
> are the result of the prices banks charge for dealing with out-of-country 
> checks.
>
>  We didn't adequately consider the transaction costs when we decided to offer 
> prizes. We committed that oversight when we were going to use vendor donated 
> items and then came upon the shipping costs and related problems. We did it 
> again when we switched to "cash". This is a Victorian "we;" as the money guy, 
> the transaction costs are something I should have thought about and brought 
> up way back when. My apologies to the group.
>
>  So, in belated restitution let me offer the following options for 
> consideration.
>
>  I think there are four ways to deal with this:
>
>  Whistle-past-the-graveyard options:
>  1) Advise prospective contestants that prizes will be award by check drawn 
> upon a USA bank and winners might
>      incur transaction charges when they process prize checks  (no added 
> costs to AGA)
>  2) do as we have been, offering Paypal or mailed cash;    (no added costs 
> beyond what we pay now, i.e. paypal);
>
>  Bite the bullet options:
>  2) getting a credit card and using Western Union; or         (added AGA 
> costs for card and WU -- about $20-25
>      per transaction)
>  3) Going to the bank and purchasing cashier checks.        (added AGA costs 
> for cashier checks--about $20-$25
>      per transaction)
>
>  None of these will eliminate all transaction costs for all overseas 
> contestants but the last two will mitigate for nearly all and eliminate for 
> many. The latter two options would basically mean that the AGA eats about $20 
> in additional costs per transaction.
>
>  I don't think it would unreasonable for the AGA to take on an additional 
> $360-$450 in contest costs to try to absorb most of the transaction fees. I 
> know contest participation isn't about the money, but sending someone a prize 
> that is virtually consumed by the winner's acceptance of it, well, it just 
> doesn't look like our best foot forward.
>
>  sh
>
>
> ------------------------------------------------------------------------------
>
>
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