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Hi All,
I came across this forum whilst searching for some advice on my situation. I've used the search function and can see that there are some similar topics, but none i could see were exactly the same as mine or came to conclusions. I'm based in the UK, apologies if this is in the wrong forum - thought I'd posted it in the debt section.
I've been using Paypal for years and until about a week ago, wasn't aware of the charge back "feature" (scam). I sold some Crypto currency (similar to bitcoin) via a reputable website and the buyers used Paypal to pay. All seemed good at first, the money came through and i withdrew to my bank account (mostly without issue, though one transaction was delayed whilst Paypal apparently checked it). The trades over the last couple of weeks total about £4500 and I've just noticed most came through as personal payments. Since the new year I've had a few cases raised against me with the buyer claiming fraudulent activity on their account, Paypal have decided in the buyers favor and so far I'm in negative balance at £1800, which Paypals collection team are now chasing me for. These cases we're decided in the buyers favor despite me providing evidence of the trade that took place including screenshots from the reputable website (similar to localbitcoins) showing i sent the cryptocurrency to the buyers wallet. Paypal just keep saying I'm not elligable for seller protection as its not a tangible item that was sold, which is news to me despite using it for years.
What appears to be happening is that the buyers are simply "claiming" fraudulent activity on their account because they know how to work the system, Paypal have not asked the Cryptotrading website for any connection IP addresses or any information that might show this as being a genuine transaction, nor will they give me any information on how they came to their conclusion.
So as it stands, I'm in negative £1800 balance on my Paypal account, potentially £4500 if the other transactions get charged back too (which is highly likely). As soon as i was aware Paypal could be charged back i stopped trading with it.
So in summary, can anyone offer any advice on what my options are here? I genuinely wasn't aware Paypal was this high risk despite using it for years. For example did you know if you sell an item on eBay, the buyer pays with Paypal and collects the item locally (which is a valid option on eBay), you aren't covered by seller protection? Can i take Paypal to court? My opinion has always been that if i shouldn't be doing something on a system, the system should have measures in place to restrict me from doing it. Yet if you receive payments on Paypal you aren't given an address to post goods to by default. So even if i wanted to post something to the buyers address, i can't because all i have is an email address.
Brenning
I came across this forum whilst searching for some advice on my situation. I've used the search function and can see that there are some similar topics, but none i could see were exactly the same as mine or came to conclusions. I'm based in the UK, apologies if this is in the wrong forum - thought I'd posted it in the debt section.
I've been using Paypal for years and until about a week ago, wasn't aware of the charge back "feature" (scam). I sold some Crypto currency (similar to bitcoin) via a reputable website and the buyers used Paypal to pay. All seemed good at first, the money came through and i withdrew to my bank account (mostly without issue, though one transaction was delayed whilst Paypal apparently checked it). The trades over the last couple of weeks total about £4500 and I've just noticed most came through as personal payments. Since the new year I've had a few cases raised against me with the buyer claiming fraudulent activity on their account, Paypal have decided in the buyers favor and so far I'm in negative balance at £1800, which Paypals collection team are now chasing me for. These cases we're decided in the buyers favor despite me providing evidence of the trade that took place including screenshots from the reputable website (similar to localbitcoins) showing i sent the cryptocurrency to the buyers wallet. Paypal just keep saying I'm not elligable for seller protection as its not a tangible item that was sold, which is news to me despite using it for years.
What appears to be happening is that the buyers are simply "claiming" fraudulent activity on their account because they know how to work the system, Paypal have not asked the Cryptotrading website for any connection IP addresses or any information that might show this as being a genuine transaction, nor will they give me any information on how they came to their conclusion.
So as it stands, I'm in negative £1800 balance on my Paypal account, potentially £4500 if the other transactions get charged back too (which is highly likely). As soon as i was aware Paypal could be charged back i stopped trading with it.
So in summary, can anyone offer any advice on what my options are here? I genuinely wasn't aware Paypal was this high risk despite using it for years. For example did you know if you sell an item on eBay, the buyer pays with Paypal and collects the item locally (which is a valid option on eBay), you aren't covered by seller protection? Can i take Paypal to court? My opinion has always been that if i shouldn't be doing something on a system, the system should have measures in place to restrict me from doing it. Yet if you receive payments on Paypal you aren't given an address to post goods to by default. So even if i wanted to post something to the buyers address, i can't because all i have is an email address.
Brenning
