Paypal chargebacks

[geneshifter]

Got a quick question for you ebay guys. I just sold a game and sent it by usps. Buyer paid with paypal. I then got a message from paypal and a chargeback had been applied. The buyer was claiming some fraudulent use of his account or something but now I don't have my money. I replied to their email with all the information I have including a tracking number.

My question: has this happened to any of you? If so, is the buyer protected more than the seller in these cases? I am getting pretty nervus about using paypal after this and I may sqitch to all cashier's checks.

I fact, I'm thinking of selling my xbox 360 since I just do not like the thing. Now, I'm not sure about using paypal in my ebay auctions when I sell it. Any tips for a relative noob to this?

[The Shawn]

Switch to Money Orders and hope like hell they've been signed. (private joke)

[geneshifter]

Switch to Money Orders and hope like hell they've been signed. (private joke)

Awwwww, ha hah hahaha. That was funny dude. I am an idiot sometimes.

[zemmix]

I have a question for you, how long had their money been sitting in your paypal account before you shipped the item? Or how long before they took it back? I've heard that these chargebacks usually occur within 24 hours of deposit. Just checking...

[Aus Mega]

quote="zemmix"]I have a question for you, how long had their money been sitting in your paypal account before you shipped the item? Or how long before they took it back? I've heard that these chargebacks usually occur within 24 hours of deposit. Just checking...[/quote]

A: (Quoted from paypal website)
[b]Why do some chargebacks occur so long after a seller receives the payment?[/b]
Certain laws and credit card issuer policies usually allow buyers to issue chargebacks weeks or sometimes months after the initial transaction occurs. If a buyer waits to file a chargeback, a seller may encounter a temporary hold on funds in their PayPal account for a transaction that occurred weeks or months ago.

In answer to the original problem I use paypal regularly ands have not had any trouble with them (in fact recieved a refund from a fraudulent seller through thier buyer protection program.)

Also I hope this helps (all below quoted from paypal web site)

How can a seller recover funds when a chargeback occurs?

"When a chargeback occurs, the money that is subject to the chargeback is deducted from PayPal's bank account. In turn, PayPal places a temporary hold on the same amount in the seller's PayPal balance (i.e., the funds related to the transaction are frozen).

The seller and PayPal can work together to investigate the chargeback with the buyer's credit card company. While the chargeback is being investigated, PayPal will debit the seller for the amount in question. If the investigation is resolved in favor of the seller with the credit card company, the credit card company will reimburse PayPal for the chargeback and PayPal will transfer the recovered funds back to the seller. Depending on the credit card company involved, the process may take up to 75 calendar days. In a dispute over a chargeback, the decision is ultimately made by the credit card company and PayPal cannot control the outcome."


[b]What are some best practices for avoiding chargeback losses?[/b]

["Follow the Seller Protection Policy guidelines by retaining proof of postage that can be tracked online and delivering to the buyer's address listed on the Transaction Details page.

Keep as much information as you can about the transaction and your customer, including any emails or other correspondence.

[b]What information can a seller provide to increase the chances of winning a chargeback dispute?[/b]

Some types of information that sellers can provide to PayPal to increase the chances of winning a chargeback include:


Proof of postage or delivery, such as online tracking numbers


Copies of the original item description or auction description, including any photos


Proof that the buyer was already refunded


Proof that the buyer was provided with a replacement product


Correspondence with the buyer or feedback from the buyer


Any agreements signed or accepted by the buyer at time of purchase


Any returns policy that was communicated to the buyer




I hope this helps you and I hope you recieve your money back.

Matt.

[Vroomfunkel]

OK, what Paypal doesn't tell you:

If you withdraw all your money from your Paypal account on a regular basis, ensuring that your balance stays at nil, then you don't have to lose any money. If the chargeback is successful, Paypal will give your account a negative balance and you will be unable to use it again without uploading funds to cover this - however providing you have another email address and another credit card then you can set up a new Paypal account.

I've just had to do this, due to someone attempting to scam me with a false chargeback. Frustrating, but at least I didn't lose my money.

Vroomfunkel

[16-bit]

OK, what Paypal doesn't tell you:

If you withdraw all your money from your Paypal account on a regular basis, ensuring that your balance stays at nil, then you don't have to lose any money. If the chargeback is successful, Paypal will give your account a negative balance and you will be unable to use it again without uploading funds to cover this - however providing you have another email address and another credit card then you can set up a new Paypal account.

I've just had to do this, due to someone attempting to scam me with a false chargeback. Frustrating, but at least I didn't lose my money.

Vroomfunkel

Doesn't work if they have your SSN#. I'll take a chargeback over a lowered credit score and a mark that will remain on the report for 7 years.