Ebay question about listing items and fees

[searchdog]

Ok this is a stupid question that I have always wondered about. If you list an item with a starting bid of only $.01 and it sells for less than the cost of the amount you paid to list the item (usually under $2) are you just out the extra money or does ebay refund the difference? I hope this makes sense. Thanks in advance

[stillplayswithbarbies]

you are out the money. You are also out the Paypal fees. It's a gamble to start items that low.