listing fees are the cost for listing your item. they always apply to items with a start price over $.99 (unless there is a special promotion) or to items with a reserve price. in certain cases, ebay may waive the listing fee (for example, if an item is relisted after it failed to sell). listing fees are charged when you list the item. think of it as being like the cost of a listing in the classifieds.

if your item sells, you will also be charged a "final" fee, usually calculated as a percentage of the winning bid.

Paypal will always take out fees for any transaction immediately when it is processed. However, if a payment is reversed or disputed then paypal will refund the fee and leave you right back where you started.