ScrapCATapp Mailbox Question 4B - How do I get Paid?

I have heard about ScrapCATapp.com and how Sellers can auction their converters to multiple Buyers, but I don’t understand exactly how it works.
Can you walk me through a sample transaction?
Most importantly, how do I get paid??

MB:

That would be great, can you tell me how you “guarantee” payment?

CG:

Let me list out the steps in a standard/common Unit Bid transaction (where Material is sold by Unit and not by Assay), then we will go into a bit of detail on a few of the steps as needed. I will cover how we guarantee payment in step 8.

Seller Inventories their Units with ScrapCATapp Software/Samsung Tablet/Converter Photo Stand.

Seller, at their discretion, create a LOT (A group of Units) to sell, with their specific Transaction terms, then post this LOT on the ScrapCATapp.com Online Auction Marketplace.

(Click here to read more information/detail on recommended LOT sizes)

Once a LOT is posted, ScrapCATapp notifies all the Buyers in our network that a LOT is for sale. Buyers are only given the LOT zip-code, LOT size, LOT pictures, and LOT due date. The name of the Seller is not disclosed to the Buyers.

The morning after the due date, the Seller accepts the Bid of their choosing and awards the LOT to a Buyer (Usually the LOT is awarded to the highest price bidder, but not always).

Winning Buyer/Seller are instantly notified via email and sent transaction contracts that they sign and return to ScrapCATapp. The full information of the Buyer and Seller is disclosed at this time.

Losing Buyers are emailed that they did not win. They are notified of the winning Bid amount, but not of the winning Buyer, nor the Seller.

Buyer makes FULL payment to ScrapCATApp and makes shipping arrangements (BL).

ScrapCATapp confirms to the Seller that FULL payment has been received from the Buyer by ScrapCATapp and that the BL has been received and reviewed. ScrapCATapp then authorizes Seller it is OK to ship LOT.

This is a very important step, ScrapCATapp has received FULL payment BEFORE the Seller ships the Units!

Seller ships LOT per Buyer’s BL instructions and sends ScrapCATapp the properly signed and dated BL immediately after LOT has shipped.

10.

ScrapCATapp confirms BL and then makes 80% payment to the Seller (Often this happens on the same day that LOT ships).

11.

Buyer receives LOT and has 3 business days to inspect and make a claim.

12.

If there is no claim after 3 days, the Seller is sent the 20% balance payment.

13.

Transaction Complete/Final

SV:

It is worth noting that in Step 2, the Seller controls all the variables in the transaction when they post the LOT for sale on ScrapCATapp.com. They decide the day the auction starts, the day it will be awarded, they indicate if they want an Assay Bid and/or a Unit Bid, they indicate who is responsible for paying for the shipping, the desired pick-up time and any specific notes or conditions. Sellers even have the ability to put in a reserve amount if desired.

MB:

OK, so now I understand how payment is Guaranteed. Can you explain a bit more about how I choose a Bid and ship the LOT?

CG:

On the morning after the day that the Seller designates bids are due, the Seller reviews all the Bids received (both Assay and Unit), the Seller reviews any Buyer terms and notes, then with all this information, they choose the Bid that is best for their company.

Once the Bid is awarded a couple of things happen. Both the winning Buyer and the Seller are notified of the awarded transaction by email along with a Transaction Agreement and a Packing List for the LOT. Once the Transaction agreements are signed, then the shipping of the LOT is arranged. The Buyers who bid, but did not win, are also notified via email that they did not win. While the winning Buyer and Seller names are not disclosed, the Winning Bid is disclosed. We do this to help Buyers understand where the market is and hope they will be more competitive for their next bid.

SV:

In this example, the Seller has indicated in his Seller Terms that the Buyer is responsible for the shipping, so after they receive the signed agreement from the Seller, they will make FULL payment to ScrapCATapp AND arrange the shipping and send the blank/pending BL.

CG:

Once we receive the full payment and approve the BL, we give the Seller authorization to ship the LOT when the Buyer’s truck arrives. When the Units are picked up, the Seller ensures the BL is filled out properly with names/signatures/product description and then forwards that Signed BL (Executed Bill of Lading) to ScrapCATapp.

In this example the Seller has chosen the standard 80/20 split, which means that the Seller is paid 80% of the Sales amount immediately after the LOT is shipped. Then 20% after the Units are received and inspected by the Buyer.

MB:

What does “immediately” mean, wait, am I shipping the Units without receiving any money first?

SV:

In most cases, if the Executed BL is received by 1 pm Pacific Time, the payment goes out the same day and is in the Seller’s bank account the next morning. This means if you close the auction on Monday, award the bid on Tuesday, ship the Units on Wednesday, you will have money in your account on Thursday morning.

CG:

But keep in mind, the Seller DOES NOT ship anything until the FULL amount has been paid to ScrapCATapp BEFORE you ship the Units.

MB:

What does “both Assay and Unit” Bids mean? I can sell by Assay on ScrapCATapp? Which is the better way to sell?

CG:

Sellers can request that Buyer’s bid by Assay or by Unit.

A Unit Bid on a LOT is a one price bid for all the Units. That amount is paid for all the Units. While the Buyer has the right to inspect the Units and ensure they are as posted and file a claim, the amount paid is the guaranteed full amount the Seller will receive for the LOT. Seller will receive 80% at the time of shipping and 20% 4 days after the Buyer receives the LOT.

An Assay Bid on a LOT is where a Buyer gives you two bids. The first bid is a Guaranteed Pre-Payment. This is the amount that you receive when you ship the LOT to the Buyer. This amount is guaranteed and non-refundable (Unless there is a substantiated Buyer claim that what you sent does not match what is represented.). The second bid is an estimated Final Balance Payment. This is the amount the Buyer estimates that they will be able to pay you AFTER they process the Units. This amount is just an estimate and may be more or less depending upon the actual results of the Assay/Refining.

SV:

To answer your question of which is better, Selling by Assay or Selling by Unit, please read this ScrapCATapp Mailbox response:

(Click here to learn about Selling your Catalytic Converters via Assay or by Unit.)

If you are a Seller that is interested in getting multiple bids and the highest possible price for your converters via an extremely easy, transparent, and safe transaction, please sign up for an account using this link:

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