A system and method in which a buyer registers for a buyer's shipping account and uses the shipping account to pay shipping costs associated with purchases made over the Internet. When a buyer purchases merchandise over the Internet from either a retailer's website or from an individual through an online auction, the buyer is capable of controlling the shipping process by logging on to their buyer's shipping account. Among other things, the buyer can use their shipping account to select the desired type of shipping service (overnight air or ground) and populate a shipping label with shipping information such as delivery address, return address, and preferred delivery time windows. Once the shipping label has been populated and verified, the shipping label is electronically transferred to the seller for use in shipping the package. The system and methods of the present invention allow the buyer greater control over the shipping process. In many cases, the present invention will also help buyers/receivers control costs by eliminating the shipper's shipping and handling fee.