No More Payday Loans for eBay | Economy Silences Online Auction

eBay loses its hype

A few years ago, it might not have been surprising to find out that a friend took out payday loans to pay for some must-have item from eBay.

Yes, a few years ago, “Antiques Road Show” and the novelty of the newly discovered online auction were all the rage. Things are different now.

eBay and the economy

A few years ago, the economy was in great shape. People didn’t think twice about using credit to buy whatever they wanted. Thus, it was common for people to use payday loans and other types of credit to pay for items they “won” in online auctions.

Now, people aren’t even spending money they do have, let alone money they don’t have, on discretionary items.

Novelty wears off

For one thing, eBay isn’t so “trendy” anymore. As Fortune Magazine points out:

When is the last time you heard someone all breathless about bidding on some tatty piece of furniture?

The article goes on to point out that people have a lot more options for finding what they want at reasonable prices. Many people just aren’t willing to deal with the hassle of online auctions anymore.

eBay’s money troubles

eBay’s stock prices have fallen 56 percent in the last year. I found that a bit surprising because I have read so may articles about how to make money on eBay lately. There are tons of tips and publications out there with instructions on how you can use eBay to run your own business. Problem is, everyone is looking to make money. Not many are looking to spend it. ... click here to read the rest of the article titled "No More Payday Loans for eBay | Economy Silences Online Auction"