Anytime I sell something (usually on ebay) I only accept payment by PayPal or money order. If it is an expensive item though I never withdraw the money from the account until I know the buyer is satisfied. As for doing the C.O.D. thing and going thru that hassle I guess it depends on how bad you need the money and how big of a hurry you are to sell. It's to big of a pain for me to have to worry about though.
Just my 2 cents.
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I may be fat but I'm slow enough to make up for it.