Localbitcoins looting the money

[Reid]

Hi, today i sent 0.00238 btc from my electrum wallet to my localbitcoins account.I have already paid transaction fee.I have received only 0.00154 btc in my localbitcoins account.So they have taken 0.0008 btc as incoming fee.So,dear all be careful while using localbitcoins.com for selling your hard earned btc.Just wanted to make you all alert of this loot.

I think someone already post about this kind of mess about localbitcoin. So, as of now it is not fixed.
That incoming transaction fee should not be there considering they already have the outgoing fees.
This service of them should be bombarded with support ticket so that they will recognize the people who are having problems with the fees.
If not, them they should just shut it down. This is clearly a robbery for the users.

[Xavofat]

To everyone complaining about local bitcoins,like your solution is obvious, don't use them. Use a competitor, if none exist make one.

This is an extremely dumb point.  The post is a warning to others about the fact that LocalBitcoins is charging an incoming fee, and a show of distaste for LocalBitcoins' action.
However, I do think that trading with dust like this is pointless.  LocalBitcoins is trying to prevent you from wasting your money using dust by incentivising you not to send them microtransactions.  Xapo now does the same.

[Slark]

I found something interesting:

"When sending to LocalBitcoins wallet, a bitcoin network fee is deducted from the deposit. The fee varies on how congested the Bitcoin Network is.
If your deposit amount is smaller than the bitcoin deposit fee, the deposit will not be processed.
The current sending fee is visible on the wallet page under the heading Incoming transactions and fees."

More info:https://localbitcoins.com/fees

So it would mean that Localbitcoins is collecting their own transaction fees? So, in fact, you are charged 2 times for your tx fee? Am I getting this right?

[just_Alice]

Hi, today i sent 0.00238 btc from my electrum wallet to my localbitcoins account.I have already paid transaction fee.I have received only 0.00154 btc in my localbitcoins account.So they have taken 0.0008 btc as incoming fee.So,dear all be careful while using localbitcoins.com for selling your hard earned btc.Just wanted to make you all alert of this loot.

I never use Localbitcoins anyway. They always have bad rates compared to other local exchages. Also normally when using Localbitcoins you have to arrange a meeitng somewhere for which I have no time. I use an exchange where they transfer money directly to my Credit Card.

[pearlmen]

Hi, today i sent 0.00238 btc from my electrum wallet to my localbitcoins account.I have already paid transaction fee.I have received only 0.00154 btc in my localbitcoins account.So they have taken 0.0008 btc as incoming fee.So,dear all be careful while using localbitcoins.com for selling your hard earned btc.Just wanted to make you all alert of this loot.

Its actually not looting money but payment for services they are offering which is even as a result of the increase in the price of miners fee in recent times as an explanation for the high payment they are charging. If still feel its still ok to pay them that and have a smooth transactions than to fall in the hands of scammers in the process of converting to fiat which is mostly what happens when one wants to avoid the payment of fees. Also, if its something you cannot afford, start looking for alternative means.

[Xavofat]

To everyone complaining about local bitcoins,like your solution is obvious, don't use them. Use a competitor, if none exist make one.

This is an extremely dumb point.  The post is a warning to others about the fact that LocalBitcoins is charging an incoming fee, and a show of distaste for LocalBitcoins' action.
However, I do think that trading with dust like this is pointless.  LocalBitcoins is trying to prevent you from wasting your money using dust by incentivising you not to send them microtransactions.  Xapo now does the same.

How is it a "dumb point" it's not the Bitcoin protocol but a company the complaints are about, don't like it? Great, don't use it and use a competitor no one is forcing local bitcoins services

That's why this thread was created - to argue that people should start using a competitor, and that they would be better off doing so.

You have contributed absolutely no useful information whatsoever.

[Xavofat]

To everyone complaining about local bitcoins,like your solution is obvious, don't use them. Use a competitor, if none exist make one.

This is an extremely dumb point.  The post is a warning to others about the fact that LocalBitcoins is charging an incoming fee, and a show of distaste for LocalBitcoins' action.
However, I do think that trading with dust like this is pointless.  LocalBitcoins is trying to prevent you from wasting your money using dust by incentivising you not to send them microtransactions.  Xapo now does the same.

How is it a "dumb point" it's not the Bitcoin protocol but a company the complaints are about, don't like it? Great, don't use it and use a competitor no one is forcing local bitcoins services

That's why this thread was created - to argue that people should start using a competitor, and that they would be better off doing so.

You have contributed absolutely no useful information whatsoever.

This was meant to put pressure on lbc to stop their charging of deposit fee, it wasn't a thread saying we need a competitor.

So then my point still applies, with a pedantic correction from you?

"Just use another service" has never been a good argument against complaints.  The most important thing in a capitalist society is for companies to be held accountable for their actions, if you like the society to be functional.

[gentlemand]

This is one of quite a few services that have done this. Now the fee spamming is over these charges aren't necessary in the slightest. I wonder whether they'll nix these fees. Something tells me they may not.

[JL421]

This is some really old news they have introduce some new weird rules which doesn't make any sense to me. The reason why they charged you is because when you eill buy a small amount of bitcoins and when you withdraw those you will have to pay a 0.001 btc fees so now as you have been charged when you will withdraw they may not charge any fees

[hubballi]

This is some really old news they have introduce some new weird rules which doesn't make any sense to me. The reason why they charged you is because when you eill buy a small amount of bitcoins and when you withdraw those you will have to pay a 0.001 btc fees so now as you have been charged when you will withdraw they may not charge any fees

They are charging on you outgoing and incoming transaction fees and even if you are trading you are paying commission so now they are earning by all ways from the users. Just like how banks are taking money from users slowly in all ways.

[Theb]

I think that is how they make money in the first place. Mind you that this is a business but what I don't get is why there is an incoming fee which is irregular thing to had. Because you are like depositing them your Bitcoin which is part of the steps in order for you to use their system. With that being said I think that they are abusing their power in having several fees in order to make money out of the customers.

[MingLee]

Hi, today i sent 0.00238 btc from my electrum wallet to my localbitcoins account.I have already paid transaction fee.I have received only 0.00154 btc in my localbitcoins account.So they have taken 0.0008 btc as incoming fee.So,dear all be careful while using localbitcoins.com for selling your hard earned btc.Just wanted to make you all alert of this loot.

I wouldn't call that looting, more something like pilfering or thieving the money, assuming that they don't have any sort of incoming fee information on their website or within their ToS. It's surprising that they would take $2 from users who are putting funds into their website, and it is incredibly surprising that they are trying to take that much from users. It doesn't cost that much to run the site, assuming that they're making money off of other things they have within their business model. Then again, I haven't really used the site all that much so I wouldn't be able to know.

[IamHigh]

I don't really care if localbitcoins is looting money but I will never use it again!

There are tons of scammers and they scammed my friend so bad. We contacted their team but they said the seller sent them proofs which are ps made.

[dollarday]

Localbitcoin has an internal tumbler and I believe that with the increasing transaction fees, the incoming bitcoin fee was added to mitigate the losses that they suffer transferring between their internal wallets. I was shocked when first added, but it isn't as much of a factor on larger transactions as it is on smaller transactions.

[cjmoles]

Hi, today i sent 0.00238 btc from my electrum wallet to my localbitcoins account.I have already paid transaction fee.I have received only 0.00154 btc in my localbitcoins account.So they have taken 0.0008 btc as incoming fee.So,dear all be careful while using localbitcoins.com for selling your hard earned btc.Just wanted to make you all alert of this loot.

That's surprising, if they do have an incoming fee then it should be a lot lower than something like that, that's just too much. Maybe 0.0001 BTC (since they have to maintain their website somehow) but if they're taking that much (about $2 USD) for each incoming transaction then someone is looking to make a lot more money than they would be earning through "normal" means.

Might open up the doors for a competitor should the fees get bad enough.

Hmmm....I wouldn't use them, but I'm wondering how else are they going to make money?  If the fee isn't part of their terms, then I would say they are cheating, but if the fee was part of their terms, then it's up to the user to decide if those terms are acceptable.  Read the terms and if you don't like the terms, then use a different service.

[mikecgn]

It happened to me, too recently. If you open their fees page it is not really clear, that you have to pay a deposit fee. There is a link to the wallet page but it sounds like the normal transaction fee when you withdraw. At least for me this is very misleading and even if it isn't much (especially when you deposit larger amounts there) it is not ok. At least I would expect, that you find that deposit fee on their fees page. Then you can decide, if you want to pay it or not. That they charge it at all, is not really my problem. But how they do it. This is black hat style for me.

I never had problems with localbitcoins as a buyer, and surely I will survive the deposit fee. But I certainly don't like to trust a page, that operates likes this. Imho it says a lot about the mindset behind it.

[FasTroy]

Hi, today i sent 0.00238 btc from my electrum wallet to my localbitcoins account.I have already paid transaction fee.I have received only 0.00154 btc in my localbitcoins account.So they have taken 0.0008 btc as incoming fee.So,dear all be careful while using localbitcoins.com for selling your hard earned btc.Just wanted to make you all alert of this loot.

That's surprising, if they do have an incoming fee then it should be a lot lower than something like that, that's just too much. Maybe 0.0001 BTC (since they have to maintain their website somehow) but if they're taking that much (about $2 USD) for each incoming transaction then someone is looking to make a lot more money than they would be earning through "normal" means.

Might open up the doors for a competitor should the fees get bad enough.

Hmmm....I wouldn't use them, but I'm wondering how else are they going to make money?  If the the fee isn't part of their terms, then I would say they are cheating, but if the fee was part of their terms, then it's up to the user to decide if those terms are acceptable.  Read the terms and if you don't like the terms, then use a different service.

0.0008 btc it's too high fees for each incoming transaction. It's too bad if each transactions you made you lost around 2$ by localbitcoins. Anyways if you reason to buy/sell bitcoins. you should just use this forum, exactly in Currency exchange which you can set your own fees and make good deals there without paying high fees.

[The_Dark_Knight]

Hi, today i sent 0.00238 btc from my electrum wallet to my localbitcoins account.I have already paid transaction fee.I have received only 0.00154 btc in my localbitcoins account.So they have taken 0.0008 btc as incoming fee.So,dear all be careful while using localbitcoins.com for selling your hard earned btc.Just wanted to make you all alert of this loot.

Unbelievable, it's really too big. I never heard about incoming fee. It sounds silly, the recipient does not take any fees, that is the rule for performing bitcoin transactions. Clearly they are scams.

This is surprising I did not knew about this, stop using those centralized services they are becoming just like banks, the fact they are charging you for something that is free is outrageous, ditch them and never use their services ever again since this is completely ridiculous.

[zeze18]

I agree with you, though currently bitcoin is growing very rapidly, but to me still leaves a question mark whether the future of bitcoin will be very bright or vice versa, but surely all hope bitcoin progress will continue to increase until it reaches its peak and can become official payment instrument.

[Hui8]

This is too much, the increasing transaction fee is causing a negative impact on the bitcoin users which may lead to the decrease in the number of users in the near future if this continues.

It's not like that people are getting impacted in negative way, it's the frustration about the fees that are killing small transaction now a days. The OP wanted to say he was willing to send very less amount through the transaction but the fees are being incurred from both sides which is not worth paying because whatever he is left with after deduction is big time loss. Hope that we will get some recovery options soon.