Here is a scenario:
A few days ago, someone purchased a few items that we sell. These were only $20 each. They paid via paypal and we were told the money was in the bank... so we boxed and shipped the items. Then about 5 days later, we get an email from Paypal stating that the payment was refused as a bad payment, in other words, it was a scam. The product is out in shipping and we have lost the money in the cost of goods plus the shipping... how are we as a business able to recoup this kind of theft? Purchasers are given a gaurantee, so what about the sellers?
Just for your info, we recently sold such items from Ebay, and my ebay department head researched the buyer. Come to find out, that address was told via a google search as a bad scam. People lost items such as a playstation, stereos, computers and more. The person buying and stealing these items used a email address in new york, but the postage was diverted to the middle east. So we are in the process of stopping the sale of such items.
What is there to avoid this?? What is paypal's recourse for the business on a positive note???
