PPC Submitter : Monday, August 22, 2011, 11:22
Absolute the worst in seller protection
Paypal seller protection is a myth. Actually, I should say it’s a lie.
I sold 2 professional pan tilt zoom security cameras to this guy for nearly $2,000. This guy actually had his 16-year old daughter try to hook them up and she broke everything. When I was told he was going to have his daughter hook it up, I was worried and asked him to have her call me so I could walk her through. They didn’t do this, but only called when everything was already broken. It took me hours on the phone to try and diagnose the problems (I personally tested the cameras before I shipped out so I knew they worked). The kid managed to burn through 2 AC adapters, unplugged one of the cables and burned up an expensive camera.
I still agreed to take it back since I didn’t want to deal with them and told them that I would return the money after verifying the returned content. They shipped it back and the dome broke during shipping. I told them I would refund the money subtracting the broken items.
This guys called his credit card company, who in turn put a chargeback against me through Paypal. Guess what happened next? Paypayl put *EVERYTHING* on my back even after I explained the whole situation, sent pictures, and all the email proof needed. They put every charge, including the chargeback fee and the original commission on me, even though the whole amount was taken back from my account.
I basically ended up with no money and had to pay for the original commission + the chargeback fee.
I talked to their rep and got the most useless answers I could have gotten. I’ve done so much business through Paypal and Ebay and these people had no problem sticking it to me, the seller.
I will be looking at Google Checkout and other services to see if there is a better alternative. This is BS. I will also be emailing their customercare@paypal.com
Submitted By:: Jonathan
Location: Seattle
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Hello Jonathan, sorry to hear about your situation. The unfortunate part of this particular kind of buyer fraud is that PayPal indeed provides no protection to the seller. Below is the section from PayPal’s user agreement explaining this-
If a buyer initiates a chargeback through his or her credit card company, stating that the item is “significantly not as described”, PayPal is under no obligation to protect you.
Many buyers are well aware of this “loophole” and exploit it often. The only thing you can do is pursue them directly through legal avenues outside of PayPal, which of course is usually impracticable for a seller to do.