In your Payment account, you may see a delivery transaction fee under Recent activities if you charge postage for items in your shop. The delivery transaction fee is a 5% transaction fee on the cost of postage, which we introduced on 1st July 2018. This is similar to the 5% transaction fee on the item price.
Applying the transaction fee to postage is a standard practice in e-commerce marketplaces. The delivery transaction fee ensures that the standard 5% transaction fee applies to the entire price that you charge to the buyer. It also helps to remove any incentive to have disproportionate postage prices.
For example: You sell an item on Etsy that costs 30 GBP, and 5 GBP for postage. You’ll pay 5% of the transaction cost and 5% of the delivery transaction cost. This is the same as the 5% transaction fee on a 35 GBP item with free delivery.