Paying for Goods and Services

[Tumma]

I've always wondered, I'm a digital artist and I know a lot of others use paypal as a form of payment. I've read a lot of things over the years so I want a direct answer. I work with digital goods. Example a person pays me to draw a wolf and I give them a digital copy [ not physical in the sense you can touch it]. Now I know digital goods such as this are not protected under your pay for goods and services. 

So my question is, do I even really need to have my customers pay using the " pay for goods and services" if its not even covered under your protection? Because I'm paying a fee that doesn't even protect me. In many disputes I've seen over digital goods, your very reluctent to help the artist from a scammer. You won't do anything untill this peson has scammed about 5 people or more. These artists loosing hundreds of dollars because the scammer back charges it from the bank. And since its digital goods you can't "protect" them. So I wonder why I'm paying this fee to begin with if its not reconized or protected?

[DPCreations · Accepted solution]

According to PayPal policies you must use the goods/services option for payment for goods and services.  You are selling a service, therefore, you must use goods/services and PayPal takes a fee.

Correct, you have no seller protection and you sell at your own risk.

You can minimize your risk by sending a tracked letter for each service completed to show delivery.  It won't protect against a not as described claim.

If somone pays as family/friends/gift you risk having your account limited for violating PayPal policies.

PayPal is not a good payment service for virtual items and servicies.

[Tumma]

That's the thing that I'm confused by. I've read a few disputes made public by other artists that tried to prove it as a service, paypal didn't reconise what they do as a service either.  [ A few tried to sell digital art as a service instead of a "good".]  A lot of scammers won their charge backs because of that. Or have things changed that they reconise it as a service? Sorry I just want calrification. 

[DPCreations]

No tracking means no proof of delivery and buyer can win a dispute of non-delivery.    Goods/services requires delivery.

[Tumma]

Hmm, than how is it considered a service? It can't be delivered in the phyical tangible sense so is it truely a service? 

[DPCreations]

It's a service so it is subject to the goods/services fee.

It is an intangible item and no physical delivery; therefore, no seller protection for non-delivery claims.

Check PayPal polcies for details; click on "legal agreements" at the bottom of the page.

[Tumma]

Thank you anyways for the help. I think you've answered my questions.