Practical Ecommerce

Quick Query: PayPal Exec On Payment Disputes

Many ecommerce merchants allow customers to pay for their products using PayPal, the popular payment service that’s owned by eBay. But some of these merchants say PayPal unfairly sides with customers if the customers dispute legitimate purchases. We asked Colin Rule, PayPal’s Director of Online Dispute Resolution, about this assertion, and how, exactly, PayPal resolves disputes between ecommerce merchants and their customers.

PeC: If an ecommerce customer pays for a legitimate product using PayPal and then decides he doesn’t like it and complains to PayPal, what will PayPal do?

ALTRULE: In cases where the buyer is simply disappointed in the item, we would encourage the buyer to work directly with the seller. PayPal does offer buyer protection, but this protection covers buyers for items that they didn’t receive and for items that are significantly not as described. It does not cover cases where the buyer is merely disappointed with the item or where the item did not meet the buyer’s expectations.

PeC: What are a merchant’s options if a customer asks PayPal to hold payment?

RULE: If a merchant does get a chargeback, a couple pieces of information can be extremely helpful to dispute it. Proof of delivery, such as online tracking offered by both USPS and UPS, can be critical evidence in reversing the chargeback. A copy of the buyer’s signature confirming receipt can also be extremely effective. Finally, if a merchant did refund the buyer at any point in time, proof of the refund (and/or the shipment of a replacement item) is important.

PeC: What other options are available to merchants to address disputes?

RULE: Again, we always encourage buyers and sellers to first try to work through disputes together. To help with that, we’ve launched the dispute resolution center – a step-by-step system designed to facilitate communication between the buyer and the seller in order to get resolution of the issue. Since launching PayPal Dispute Resolution, buyer claims against sellers decreased by 50 percent, and seller losses on PayPal due to chargebacks decreased 20 percent.

If the dialogue with the seller fails to produce a satisfactory result, the buyer can then escalate the dispute into a claim, where our claims specialists gather information from both parties, examine the case and work with both parties to try to fairly and efficiently resolve the claim. In this process, PayPal will ask sellers for documentation that helps us determine that they shipped the item to the buyer and that the item was as described.

PeC: Why should an ecommerce merchant accept payments from PayPal?

RULE: It helps them increase sales and lower costs. PayPal has 141 million accounts worldwide and merchants therefore have access to a large, global base of buyers. At any given time, there is $3 billion stored in PayPal accounts, which turn over every two weeks. Many buyers view the money in their PayPal accounts as discretionary, so they are more willing to spend it, perhaps with an ecommerce merchant.

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  1. Legacy User April 8, 2008 Reply

    Well he's right…They do have a process. I recently had a chargeback which was initiated by PayPal. They suspected that the transaction was fraudulent, held the funds and initiated their "investigation". I responded that I could provide documentation that the product was shipped. They never asked to see it and since the customer never responded to their request for information, they reversed the transaction. I'm not sure based on feedback from other merchants that other payment processors are any better but I sure don't have any evidence that PayPal is looking out for MY interests.

    — *Rich Badaracco*

  2. Legacy User April 8, 2008 Reply

    I really don't have any trust in PayPal to look out for me as a seller. I both sell and buy on e-bay using paypal but if I am selling a high priced item and suspect a buyer might attempt to defraud me, I will insist on a cashiers check. I am even accepting personal checks for some of my items from buyers with good feedback. This also takes the paypal fees out of the equation. I cannot afford to have paypal tying up my money

    — *David Mason*

  3. Legacy User April 8, 2008 Reply

    Having accepted Paypal since the beginning, I can tell you Paypal is definitely not looking after the merchants interest! And that is based on a 100% upfront grading of how we have been treated on several instances. In talking with customers that use Paypal for their purchases, all the customer has to do is alter the real facts just slightly to get what they seek, the transacation reversed. For example, most savey Paypal users, should I say fraudsters, know that they never say "they are dissapointed" and instead always indicate "significantly not as desctribed" in which case Paypal always side with the customer. And if a merchant looking to use Paypal is expecting Paypal to examine the real documents or issues, your dreaming, it won't happen. Just consider your losses part of your operating expenses, which is how any card or Paypal transacation has to be considered as there is NO fair play for merchants. It is all hype in the merchant has any real power over anything involving this field of play.

    — *Dave*

  4. Legacy User April 8, 2008 Reply

    We sell electronic goods like books and videos in electronic form. PayPal's seller protection policy excludes electronic goods, which leaves every sale vulnerable to a chargeback, even if we can prove the customer downloaded the product.

    In one case PayPal, not the customer, initiated a chargeback. PayPal's so-called investigation apparently skipped the fact that the customer was happy with the products he bought from us. After I talked with the customer over the phone, it became clear to both of us that PayPal had become a terrible interference in the buyer-seller relationship.
    The customer is a great guy and voluntarily re-purchased the items from us….that was the only way to reverse the chargeback.

    One last thing…we now offer Google Checkout as an option to our buyers. They don't have a seller protection policy either for electronic goods, but at least their fees are lower (or free, in our case).

    — *Matt Thomas*

  5. Legacy User April 8, 2008 Reply

    I accept PayPal because it's almost the universal standard for eBay payments, which I'm sure was the whole idea behind eBay aquiring PayPal to start with. It's very difficult to operate on eBay without accepting it. Even though we have few disputes I must say that in every single case where a dispute arose about a product PayPal took the side of the buyer. In one case we had to threaten legal action to get OUR money back that a buyer fraudulently took. One gets the impression that no one at PayPal really listens, they only seem to follow their canned list of questions and responses. I have personally received 3 different answers to the same question when contacting PayPal for help. Oh, and we're not newbies, we have several thousand transactions with PayPal and eBay.

    — *Steve Ward*

  6. Legacy User April 8, 2008 Reply

    We have used Paypal since 1999 and we as other have stated had the same negative issues with Paypal siding with the customer. They have a guarantee but the merchant is the one that pays. we have lost over $1500.00 since 1999 and even after showing Paypal proof still lost money. I guess its no different then Visa or MasterCard which a customer can file a chargeback and you can respond. Then if they resubmit you have to pay there $400 fee for arbitration or just give up. I actually prefer Amex although the fees are higher, I have won many chargebacks without issue. Even once they returned the funds to the customer and gave us back our money. This kept both sides happy. We know that Paypal would never do that.

    — *Anon*

  7. Legacy User April 8, 2008 Reply

    I have recently stopped selling internationally through eBay. Very few international shipping options provide proof of delivery for international shipping. The PayPal payee has you EVERY time. The international buyer can get their product free everytime and they don't even have to pay for the shipping!

    The PayPal system is broken in this regard.

    — *Geoff P*

  8. Legacy User April 8, 2008 Reply

    I agree that PayPal does not have the merchants in their best interest, it's all about the customer. One thing PayPal is forgetting that we are a customer too. Without us as Merchants they wouldn't have gotten as big as they have. We had a chargeback come to us THREE months after the initial transaction saying it was fraudulent. When I contacted PayPal about it and asked why it took so long for them to realize that it was "Fraudulent" they told me that I had to go back to the Buyer. Tried that but the phone and the email address that the customer had given us were invalid or disconnected. Took this to my lawyer to address the customer and was told I couldn't do much else since PayPal was not willing to look into it any further. To say the least we are disappointed with PayPal and very wary about taking PayPal Payments that have been verified by PayPal.

    — *S Kadelbach*

  9. Legacy User April 8, 2008 Reply

    Paypal is not at all good for the merchants. There are so many instances when even when we had delivered the digital product and there was a proof of delivery, even then Paypal has fully refunded the amount. Its a big big cheating.

    — *Amit M.*

  10. Legacy User April 8, 2008 Reply

    Paypal is awful for sellers, as is eBay. We were accused of selling counterfeit items (which was false) by a buyer and instead examining the proof we had that the items we were selling were legitimate, both our eBay and Paypal accounts were instantly frozen. This was our business, our livelihood and they slammed the door with no evidence except what a buy told them. The result? The buyer got their money back and was never required to return the item. And eBay banned us for an entire year, while Paypal saw fit to ban us FOREVER! They kept the money in our account for 6 months and then told us okay, you can have your money, but you can NEVER have another Paypal account. We are NOT thieves, but if we had the money we would have sued them for defamation. They ruined our online business and our reputation and cause many sleepless nights. I urge sellers to find another way. This kind of thing must not be allowed to happened to innocent people.

    — *JB*

  11. Legacy User April 8, 2008 Reply

    Well, this is pretty scary. I have only a few eBay sales, and everything has worked okay so far. However, if I have a high-priced sale, I may consider other forms of payment instead of Paypal.

    I intended to use Paypal on my website, but now I have to stop and reconsider. I don't need more aggravation.

    — *Karen G*

  12. Legacy User April 8, 2008 Reply

    Many of us would be interested to know the numbers on chargebacks and disputes regarding service businesses, not just ecomm merchants. The burden of proof appears to lie with the seller (i.e. the "accused"). Is this fair?

    — *SVA*

  13. Legacy User April 8, 2008 Reply

    I have to agree with those above. I've used PayPal for my business since 2004 and they are great as long as you have no problems with the customer. I won one chargeback. Then, I had a customer who used a product and then said it didn't meet their needs. My return policy states that we don't accept returns on used merchandise. That should be enough for PayPal to say, "hey, customer, you should have read their return policy before you purchased…" What is our return policy for if nobody is going to abide by it? I lost that one, and luckily was able to get the $300 item back from the customer. With that chargeback, I got conflicting information back from PayPal, which makes me suspicious that nothing was done at all- they just gave it to the customer.

    — *Evie*

  14. Legacy User April 8, 2008 Reply

    PayPal definitely does not support the sellers, which is ridiculous since I pay thousands of dollars in fees every month. Their new 'expanded seller protection' is a joke. As a seller, you are 'guilty' until proven innocent and only then will PayPal help you. The one good note is that after 10 years I finally have a paypal account manager (although they have no real authority). I am going to challenge paypal's policies though. According to the terms of MY sale, buyers have the option of choosing Insurance or not and they have the option of choosing a Trackable shipping method. I make it clear that only Express and UPS offer real tracking. Now in the terms of my sale, I say that a buyer expressly agrees to relieve me of all claims if they do not choose a Insured Trackable shipping method. In other words, if an international buyer chooses First Class International mail without insurance (which is generally the cheapest method) they are expressly agreeing to hold me harmless against lost or damaged packages. Therefore if Paypal enables a buyer to do a chargeback, they are in violation of the terms of sale. It's all a little ridiculous because for the amount of chargebacks and problems, compared to the fees and profits they are making, it would be a wiser business decision for PayPal to 'insure' the sellers in these cases. As it stands, Paypal is rolling out the red carpet for a viable competitor.

    — *Jeff*

  15. Legacy User April 8, 2008 Reply

    I forgot to mention this. A few weeks ago, I learned a valuable lesson. When you sign up for PayPal, you see the tiered fees and the breaks you get at certain sales volume. I assumed that PayPal would adjust the fees accordingly as my sales went up. NOT! You have to go in and apply for "merchant rates" for your fee to go down. In a matter of 5 minutes, my rated dropped from 2.9% to 2.2%! Please research your fees and if you qualify, apply for merchant rates. This could save hundreds of dollars every month!

    — *Evie*

  16. Legacy User April 8, 2008 Reply

    Paypal protects itself first then buyers. At least with regular merchant accounts, you get more information on any dispute and you can actually talk to someone if need be. Paypal conducts super secret investigations and has never responded to any inquiries on a reversal. They do not want seller facts to interfere with their reversals.

    If your business life is in the hands of PayPal, your business life is on shaky ground. Any business requires real merchant accounts with V/MC, Amex and Discover. Paypal transactions should only be a tiny part of your sales or else, sooner or later, you will pay the price.

    — *JH*

  17. Legacy User April 8, 2008 Reply

    As a seller we had one chargeback experience with Paypal. We provided our info and had it reversed. While they did freeze the amount in question until they made a ruling, we felt like they actually did some evaluation and did not just automatically side with the buyer. They did charge $10 for some sort of Evaluation(?) Fee but that was better than we were treated by our credit card processor company the one time we had a similar situation. They did automatically side with the buyer and we never got our products back either.

    — *Gintautas*

  18. Legacy User April 8, 2008 Reply

    Based on comments here, it is obvious we as merchants, need to look for a better solution.
    How about readers posting reviews and comments on alternate providers. Is there a site which provides ratings for payment processing options ?
    Can Practical Ecommerce do a followup article covering the alternates..

    And by the way thank you for shining a light on this dark corner of ecommerce (at least for legitimate merchants).

    — *AM*

  19. Legacy User April 8, 2008 Reply

    I used PayPal for 2 years as an additional payment option for my customers. After two instances where PayPal reversed two charges and would not respond to my repeated attempts to find out why, I dropped them.

    PayPal is terrible for merchants. I have zero chargebacks with my regular merchant account, and will never use PayPal again as a payment option. I would urge any business to establish a merchant banking account and forget PayPal unless you want to give away money.

    — *Pete*

  20. Legacy User April 8, 2008 Reply

    As a buyer I once purchased a downloadable document template, needed it before the next morning as I was going out of the country. When the document didn't immediately download I sent an email to the seller saying that I needed it before the next morning and if I couldn't be delivered by then to cancel the order. Well, they emailed it the next afternoon – a time when I no longer neeeded it. They refused to refund the money so I contacted PayPal. PayPal said that since it was a downloadable purchase they couldn't offer a refund. I was really pissed at PayPal considering their reputation. Since I do spend a lot with them they eventually offered to refund me the money at their expense and not try to get it back from the seller. Well, the seller eventually refunded the money so I didn't need PayPal's one time refund.

    As a reseller I don't accept PayPal because of the horor stories I've heard. I've collected between $2 and $3 million using major credit cards and never had a problem with a delivery dispute or chargeback.

    — *Mark*

  21. Legacy User April 8, 2008 Reply

    I run a successful ecommerce website and would never dream of using PayPal as a payment option. I have had personal experience with PayPal treating a seller as "guilty until proven innocent" when a customer decided after they had used a kitchen appliance for almost a month that they just didn't need it anymore and filed a dispute with PayPal when I pointed out our return policy. They told PayPal that the item was "not as described" and PayPal automatically sided with the buyer.

    I think a better question for Colin Rule would have been "Are you aware of the current dissatisfaction merchants have with PayPal? If so, how does PayPal intend on addressing the issue… or will it be swept under the rug and be business as usual?"

    — *Erik S*

  22. Legacy User April 8, 2008 Reply

    Has anyone had any experience with Google Checkout as a viable alternative?

    — *Steve W*

  23. Legacy User April 8, 2008 Reply

    I buy and sell on Ebay – and I use paypal for all my online business dealings. I had a legit complaint when I purchased a $100 book and received some dinky little thing. Seller agreed as the book was still on her desk, hubby had packaged the wrong book. She was going to get the right book in the mail right away. Three weeks pass, no news from the seller. Filed a 'significantly not as described' with ebay/paypal on the last possible day.

    To make a long story short. I received $30 of the $100 back with NO possibility of getting the rest as the seller's acccount was tapped out. Where is MY purchase guarantee from Paypal???

    I will NEVER pay without a credit card anymore. THERE IS NO SECURITY FOR BUYERS EITHER when the seller has no money. They can deal with my credit card company.

    — *Gayle*

  24. Legacy User April 9, 2008 Reply

    Quoting some old Saturday Night Live show, "Were the phone company, we don't have to give a D***"

    Now, it should be "Were eBay/Paypal, we don't have to give a D***"

    — *Dave*

  25. Legacy User April 9, 2008 Reply

    What other c/c merchant intergrates through ebay?

    — *ray*

  26. Legacy User April 9, 2008 Reply

    I agree with the above, but what options would you recommend to the seller to help. Is someone offering a competitor we could try as merchants or at least a more secure system…. seems easy, but not heard of any??


    — *chris from miami*

  27. Legacy User April 9, 2008 Reply

    I have used PayPal for about 5 years now & never had a problem. Every dispute, which there have only been 3 or 4 has been won by me. It's not hard to prove your case. You don't need to pay the $30.00 customs fees for UPS for any other service. Just use the customs form (FREE) from the USPS for International orders. It's a US Federal Document that stands up in any court, therefore by law eBay & PayPal are REQUIRED to accept it as proof of shipment. Read the fine print, you only need proof that the item was shipped, not that the item actually reached it's final destination. YOU CANNOT BE HELD RESPONSIBLE FOR ANYTHING THAT GETS CAUGHT UP IN CUSTOMS. And remember, it doesn't get caught up in US Customs, it gets caught up in the Customs Agency of the DESTINATION COUNTRY. It is up to the customer to check with their customs office to find out what the disposition of the package is. It is up to the customer to pay any additional fees that may be associated with the shipment. NOT THE SELLER!

    Also, all you need for domestic orders is delivery confirmation. That costs approx 0.75 usd for your package. (0.65 usd for Priority Mail). If you print your postage online, then it's free. You don't need to prove the customer signed for it, you just need to prove that it was shipped to the address it was ordered at. That's all!

    However, a very viable alternative is Google Checkout. It works great with absolutely no problems! I now use Google Checkout & PayPal. I left eBay, because they are the main cause of problems & outrageous fees. Anyone looking for an alternative should go to They allow you to set up a store for FREE, Listings are FREE and PayPal & Google Checkout integrate with it with no problems at all. By the way, Google Checkout is also FREE to sign up for. And I beleive their rate is only 2.0% + 0.20 per transaction. (Not per item).

    And no, this is not an ad for any of the aforementioned places, I'm just voicing my experiences with these businesses. I also have stand alone websites that also accept PayPal & Google Checkout & have absolutely no problems with either one of them. Keep in mind, PayPal is out to protect buyers on eBay. When it comes to other sites, they are not as anal retentive. They are not truly unbiased.

    — *Chris*

  28. Legacy User April 9, 2008 Reply

    I had a horrible experience as a buyer with Ebay and Paypal. Bought a laptop and, after the transaction had been "completed" I received an email from Ebay saying that the seller was a fraud and had hacked into someone else's account. Ah that explains why seller wanted me to wire funds! No I'm not that dense – I insisted on Paypal with all their "protection."

    Well turns out Paypal held over $600 in their hands and wouldn't return it to me even after I offered to show them the proof from Ebay that the transaction was fraudulent! Their policy at the time – it stays in the sellers account for 31 days and if it isn't claimed by the seller you get it back…

    Yes, I waited 31 days to see if the hackers would be able to get into the Paypal account they told me to send funds to… 31 days!!! Lucky for me the money wasn't claimed.

    And, as the owner of a large web development company I NEVER worked with a customer who insisted on Paypal as method of payment. I just sent them to the internet and told them to search for Paypal reviews before making that decision. The web is ripe with instances of abuse on both sides of the story.

    — *Annique*

  29. Legacy User April 9, 2008 Reply

    Can this be forworded to Paypal? I would love to see a rebuttal in the next article.

    — *Jeremy*

  30. Legacy User April 9, 2008 Reply

    I had a problem with Paypal. Customer claims wrong side. She said she would need a contractor for adjustments to the cabinets. I said I would pay if she send me a copy of the estimate. Customer said no she won't send the estimate. She later said if I want a estimate,she will charge me $200.00 more. I said no, but still send me a copy of the estimate. She went to Paypal ,I told them I would pay with an estimate. Paypal gave her the money, no estimate.
    I quit Ebay.

    — *Michael*

  31. Legacy User April 9, 2008 Reply

    EBay is now forcing their UK sellers to accept Paypal and it won't be long before they try it with their US site. They have already banned the use of Google checkout to stifle any competiton to Paypal and are now forcing new sellers to accept Paypal. How is that legal? They are tying Paypal in with eBay, which is a violation of the Sherman Act. If a new seller does not have a valid Paypal account, they cannot sell on eBay. That's a tying arrangement, plain and simple. They are currently being sued for anti-trust violations, but they have been dragging that case out for over a year now. Hopefully, the judge hearing that case will realize what eBay is doing is illegal and put an end to it. Tying arrangements of any kind are illegal, period.

    — *Tim*

  32. Legacy User April 9, 2008 Reply

    We are in the middle of a chargeback dispute with Paypal now. We sent customers order on shrunk wrapped pallet- waybill shows weight. Customer Signs for pallet. Weeks later says the pallet was short over 100 pcs. Files dispute with PP. PP investigates and reverses the chargeback in our favor. Buyer then files dispute with CC company. PP reverses chargeback, and holds money. PP then closes case, saying we had lost the appeal with CC company. refunds buyer amount of missing product. We provide online proof of delivery. We are appealing to PP as our agent to provide us with documentation from for a copy of the buyer's police report for missing items ( as stated in PP policy) or other documentation that pallet was short. PP is supposed to act as the buyer's agent, but all We see is they only go thru the motions. If all else fails, we will ask PP for buyers credit card company and take it up a notch, or have to send a legal notice to PP, and Gov't agencies.

    — *Richard C*

  33. Legacy User April 12, 2008 Reply

    Ok. So don't use eBay.

    — *Me*

  34. Legacy User April 14, 2008 Reply

    The problem is paypal has to comply with all the laws of every state and the regulations set by credit card companies. They have to take a middle of the road approach to everything. This is what hurts the sellers because they have to error on the part of the buyer. Paypal and eBay both give more power to the buyers. For example look at eBays foolish system with the new feedback ratings. They decided that you can be a power seller if you have 4.5 in all the categories. Also, they state that you have to have at least 4.6 or 4.7 to qualify for listing discounts. What a joke. I had 4.7 on shipping charges since they started the program. Soon as they created thre discount policy my shipping charge rating falls to 4.5 thus disqualifying me. Soon buyers will be using negative feedback as blackmail. If a buyer can leave negative a seller should be allowed also. I can go on like all the others that posted above and telling you horror stories. I wish paypal would take a postal receipt as proof of shipping. As a buyer I love paypal, I outsmart them and use my credit card everytime. By using my credit card paypal has to play fair. My credit card company has told paypal where to go a couple of times. Paypal knows that and makes it more difficult to select that method of payment. Also, they don't make as much with me using my credit card. I will never ever get a paypal credit card!!

    I like the idea of shipping online with the US Postal service and getting free confirmation. But, I will never use that, because the postal service is also ripping us off. Confirmation should always be free. The system is computerized for Christ sake. Sorry, people its just fun to vent on eBay and Paypal. Hurry up competitors the market is ripe.

    Another issue is western union money orders. All of my listing say that is my preferred method of payment. eBay ended a couple of my recent listings sayint that is not a valid form of payment and that even mentioning western uinion will end my auctions. That is a bunch of bull. First, its been a couple of years since I even got a western union payment. I used to love the checks being mailed directly to me from them. eBay don't like western union because they don't make as much money with it. I can understand fraud coming into play but, lets face it, its more their greed than anything else.

    Thanks for letting me vent.

    — *fedupwiththem*

  35. Legacy User April 21, 2008 Reply

    PayPal has helped my business grow by leaps and bounds! I did have a merchant account and was accepting credit cards worldwide. I soon learned I could make more sells and sell auctions for higher amounts If I did indeed accept PayPal!
    I soon canceled my merchant account and have been using PayPal ever since.
    I feel PayPal has been very fair with the very few disputes I have had and I have received fast service with no problems.
    I highly recommend PayPal!
    Danna Crawford,

    — *Danna*

  36. Legacy User April 28, 2008 Reply

    As a buyer PayPal does nothing if the seller ships something and it is "not as described". PayPal then favors the seller no matter what is shown. Selllers an buyers need to boycott paypal.

    — *Paypalsuxs*

  37. Legacy User May 19, 2008 Reply

    PayPal WILL STEAL YOUR MONEY. There is no doubt about it. Just look at,, and All of those sites have hundreds, if not THOUSANDS of stories from buyers and sellers who were taken advantage of by PAYPAL.

    I, myself, lost over $4250.00 to PayPal's "limited account" status. By the way, a limited account is the death nail in ever seeing your money again. Go ahead and file a lawsuit, or kiss your cash/business goodbye.

    — *CharlieJ*

  38. Legacy User June 3, 2008 Reply

    I bought an item and paid for Priority Mail International. The seller shipped the item using First Class Mail. The item arrived badly damaged. No cushioning materials were used. He simply put the blame in the postal services and custom, and also me for not getting the optional insurance. And when I wanted to ecalatate this dispute, he told me that I will still be losing out as in the end, I need to pay for the return shipping. I went ahead but I really cannot understand why the buyer has to be penalised when the item was shipped using the cheaper method and now needs to share the costs with the seller. Now waiting for the PayPal specialists to look into the case.

    — *Val*

  39. Legacy User July 9, 2008 Reply

    There are no people at Paypal. This Colin Rule character that you've contacted is actually a super-intelligent heuristcal software program than can parse your question and reply with a better answer than most politicians can come up with.

    Paypal is run out of one guy's garage. All communication with them is highly discouraged and most attempts at communication are simply ignored.
    They are a joke, a disgrace, a blight on civilization. The fact that a company as bad as PayPal can exist and thrive in our society reflects badly on all of us.

    — *Vince*

  40. cana4u2 August 20, 2008 Reply

    Well if it makes any sellers feel any better, paypal has caused me to lose money too.

    A while back I bid on an item costing $150. but it did not show in the My Ebay as a win. Thinking someting wrong I clicked on it again. I contacted seller who understood the problem. Couldnt reach anyone from ebay nor paypal who understood anything. My bank account was not only overdrawn but monies held from sellers refund too.
    The overdrawn fees were such by the time the hold was released it was WAY more than the $150!

    Had a similar example happen recently while trying to ‘send’ $400. & got invoice for same amount – another big screw-up.

    And another in April for close to $100.

    The paypal customer representatives, usually, are poorly trained and rarely comprehend more than the script they appear to read for almost every response.

    Unfortunately – Ive learned to give paypal access to as little financial informration as possible becasue the more they have the more they tamper with leaving the abused with NO RECOURSE – other than licking ther paypal inflicted wounds.

    The grass looks geener on the other side;
    because the other side has more manure!

  41. lorilamb October 18, 2008 Reply

    Personally, I will never do business again on e-bay or paypal – I bought jewelry for $200 on e-bay from a company called preciouspieces4u and when it got to me it was completely different than the picture posted. I sent it back according to plan, insured it, and the post office had proof that it was delivered. The seller said they never got it – and said in an e-mail that they did not give phone numbers to people on e-bay! Their emails were repetitive generic or arrogant so I opened a dispute with PayPal and they did nothing. I faxed proof to both the seller and Paypal – nothing. I am now going through claims at the post office. What a nightmare…!

  42. Dennis Mitchell February 1, 2016 Reply

    I have worked with paypal for about 10 years. I sell accommodations and use paypal for some transactions.

    In the entire time I have used paypal I have never received a dispute returned in my favor. 100% of the time in 100% of the cases paypal has given the funds back to the buyer. I have provided non refundable booking confirmations, Signed documents and emails, passport copies of guest who stayed.

    It makes no difference, Paypal does not protect merchants for non tangible goods.