Power Sellers Unite

elgato · Joined: 24 Feb 2005 Posts: 17235 Location: Texas

"You won't find another online financial institution that's better at protecting its sellers than PayPal," boasts its website. Jale Avcil sheltered under this cheering promise when she used the services of the online money transfer company to sell an iPod via its sister company, the online auction house eBay.

The successful buyer bid £265 and Avcil sent the item by special delivery. However, the buyer claimed the item never arrived, which was odd since Royal Mail's tracking service showed that someone of the same name had signed for it. Months later, Avcil discovered that the buyer had claimed a refund via his credit card issuer and that PayPal had sanctioned a chargeback. Avcil then discovered another eBay seller who had had an identical experience with the same buyer, but PayPal was unmoved.

"I don't believe eBay or PayPal read their messages, and anytime I contact them I get fobbed off with generic answers obviously read off a computer screen from somewhere overseas," says Avcil.

The curious part is that PayPal had recently amended its protection policy. The new rules apply to chargebacks made after 30 September 2008 and reimburse sellers who meet certain criteria. Avcil's case clearly meets all of these and, although she sold the iPod before the cutoff date, the chargeback was filed after 30 September. None the less, Paypal's press office tells me that as the actual transaction predated this, she does not qualify for a refund. It will, it says magnanimously, offer her the £265, but merely as a goodwill gesture to make up for its poor communication skills.
more.. link to news article

diesel_parts · Joined: 23 Jul 2006 Posts: 723

I never expect paypal to keep their word or to protect sellers. Like ebay they are very deceptive and will take the path that cost them the least money. That usually means siding with the buyer.

As a buyer I am not that confident using paypal either. They will short anyone that they can.

Merchant accounts work much differently and are much more secure for the seller. I hope in the near future to be able to use my merchant account for all credit transactions.

HowardH · Joined: 26 Jan 2006 Posts: 159

I keep my PayPal account double-swept. I don't keep any money in the PayPal account, and I sweep the bank account that they have access to on a regular basis.

They act like a bank, but they are not regulated like a bank. However, 15% of all commerce in the US is now going through them, so you can't completely ignore them.

I am going to look into a CC merchant account. I'm getting more and more requests to take CC and debit cards.

elgato · Joined: 24 Feb 2005 Posts: 17235 Location: Texas

HH "I keep my PayPal account double-swept. I don't keep any money in the PayPal account, and I sweep the bank account that they have access to on a regular basis."

I do the same thing Howard! I never keep very much $$ in my PP account due to the fact they may seize YOUR $$ whenever some NPB get's upset and makes a complaint to PP. :roll:

xppman · Joined: 15 Feb 2005 Posts: 1145

PP = wanna be mob.

Believe it. It's true.

sciencefare · Posted: Wed May 27, 2009 7:19 pm Post subject:

xppman wrote (View Post): › docWrite("quote")PP = wanna be mob.

Believe it. It's true.Wannabe? It seems that PayPal is already there.

Patty00 · Joined: 13 Dec 2005 Posts: 1018

How could anybody trust what Paypal says. They're owned by Ebay....isn't that enough to tell people they can't be trusted?

withavengeance · Joined: 27 Apr 2008 Posts: 160

HowardH wrote (View Post): › docWrite("quote")I keep my PayPal account double-swept. I don't keep any money in the PayPal account, and I sweep the bank account that they have access to on a regular basis.

They act like a bank, but they are not regulated like a bank. However, 15% of all commerce in the US is now going through them, so you can't completely ignore them.

I am going to look into a CC merchant account. I'm getting more and more requests to take CC and debit cards.

We do it one better with no active checking account connected to our PayPal account.

We read on PSU someone else had closed the account connected to PayPal and use just the debit card to charge out or withdraw using the debit card and we tried it.

It's immediate and PayPal has no account to hit. Plus we get our 1.5% back on debit purchases.

sciencefare · Posted: Wed May 27, 2009 8:48 pm Post subject:

withavengeance wrote (View Post): › docWrite("quote")We do it one better with no active checking account connected to our PayPal account.

We read on PSU someone else had closed the account connected to PayPal and use just the debit card to charge out or withdraw using the debit card and we tried it.

It's immediate and PayPal has no account to hit. Plus we get our 1.5% back on debit purchases.That's how I use PayPal lately, and it's quite doable, and works well.

sciencefare · Posted: Wed May 27, 2009 8:48 pm Post subject:

withavengeance wrote (View Post): › docWrite("quote")We do it one better with no active checking account connected to our PayPal account.

We read on PSU someone else had closed the account connected to PayPal and use just the debit card to charge out or withdraw using the debit card and we tried it.

It's immediate and PayPal has no account to hit. Plus we get our 1.5% back on debit purchases.That's how I use PayPal lately, and it's quite doable, and works well.

DaLizardsLair · Joined: 15 Feb 2009 Posts: 4780

Quote: › docWrite("quote")Merchant accounts work much differently and are much more secure for the seller.

I know quite a few people who would argue that one with you. They all have Merchant Accounts and lost disputes with buyers.

Unlike Paypal, Merchant Accounts don't accept Delivery Confirmation as proof of delivery, since no street address is shown. They DEMAND signature confirmation on ALL packages.

And if the pacakge gets lost in the mail, they say..."Thay's why YOU should have insured the package".

DaLizardsLair · Joined: 15 Feb 2009 Posts: 4780

withavengeance wrote (View Post): › docWrite("quote")We do it one better with no active checking account connected to our PayPal account.

We read on PSU someone else had closed the account connected to PayPal and use just the debit card to charge out or withdraw using the debit card and we tried it.

It's immediate and PayPal has no account to hit. Plus we get our 1.5% back on debit purchases.

And when they try and hit your "closed" account, they can instead file criminal charges against you.

xppman · Joined: 15 Feb 2005 Posts: 1145

Quote: › docWrite("quote")Unlike Paypal, Merchant Accounts don't accept Delivery Confirmation as proof of delivery, since no street address is shown. They DEMAND signature confirmation on ALL packages.

And if the pacakge gets lost in the mail, they say..."Thay's why YOU should have insured the package".

That is incorrect.

diesel_parts · Joined: 23 Jul 2006 Posts: 723

First, if I ship a pkg it is insured thru UPS and I have a good recovery rate thru them. I seldom use USPS because they won't pay a claim if they lose or damage a pkg.

I can deal with my merchant account as I can talk to them on the phone. No canned responses. They tell me that they side with seller 75% of the time. We will see.

PP sides with the buyer 100% of the time. I have lost every paypal dispute that I was in.

DaLizardsLair · Joined: 15 Feb 2009 Posts: 4780

Quote: › docWrite("quote")PP sides with the buyer 100% of the time. I have lost every paypal dispute that I was in

Not true.

As a seller on eBay, I won EVERY dispute filed against me.

All two of them.

One INR & one SNAD