Paypal refund to customer without asking them to return

AlphaFur
Contributor
Contributor

My customer bought $4500 metal legs from us and paid with credit card.  Since we used Paypal as our credit card processor. Then they claimed that these did not work. So they filed with Paypal saying these products were breaking. BTW, we sell many of these items each year with no problems.

But paypal just refunded the buyer in full without asking the buyer to return the products! So buyer did not even return the products! That we can still sell to the other customers.

We immediately disputed with paypal, but paypal would not do anything instead ask us to sue them in small claims court. The problem is the customer is not local. 

We think this is bad business with paypal. Paypal should be fair and protect our interest as well. If they are not sure, they should let customer file small claims... at least return all the goods to us. 

 

I think paypal made a lot of money off our account and should take some responsibility.

What do you suggest we do? How can we get our money back???  

 

Thank you for your concern.

 

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18 REPLIES 18

osoangryagain
Contributor
Contributor
When a chargeback is filed paypal throws up their hands and lets the process take its course without even allowing the seller to have any input. They don't allow you to have any say in the process and they give the money immediately back to the buyer right or wrong. If I were allowed to represent my merchandise myself it would have not gone that way they didn't have anybody professional to prove their case one way or another they just took the advice of the buyer so that's fine then I want my merchandise back why didn't they make sure it was returned why would he want to keep it if it were a knockoff it was a total scam
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DPCreations
Frequent Advisor
Frequent Advisor

One way to improve the chargeback issue is to have your own merchant account.  With a direct merchant account you would get a chance to argue your case directly to the data company.

PayPal here as the merchant account and, as such, is the party which deals with chargebacks.  PayPal members are only using PayPal's merchant account and then accepts PayPal policies.

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Whac-A-Mole
Frequent Advisor
Frequent Advisor

read both PAYPAL and Ebay and credit card rules,if an item is provento be counterfeit/knockoff,buyer will be asked to destroy the item,it would not be returned to the seller lest he could sell it again.

Your buyer must have provided proof that it is counterfeit.

Usually they go to manufacturer like Tiffany and get a statement or an expert who will certify it is fake. 

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osoangryagain
Contributor
Contributor
I just thought I'd share with you my experience, as this happened to me as well and as I read your post the anger swelled up again! I sold a $5k watch to a customer for 2k it was 100% authentic but the guy after having it 13 days claimed it was not authentic. So paypal yanks $2006.00 from my acct before even letting me know a thing. After requesting an appeal that I could not be involved in, and nobody asked for any more information, I was denied. They also did not make him send back my watch!! Instead told me to call police which I did and file in small claims! I was in CA and customer in N.Y. they offered NO help I called an ungodly amount of times for 2 years. They finally told me to forget it basically, they were not going to pay me back. I was a seller over 10 years. The buyer incidentally, was also a seller... OF WATCHES, so he knew it was no fake so he was up 5k in value for nothing but a good lie. He sent me emails with foul language threats and worse, he had the cash, the merchandise and a pat on the bum from paypal! I sure hope Your situation is handled better and you get what's yours returned! It's total BS, I know it's a drop in the bucket to them but it was a big chunk for me and the beginning of a long streak of domino effects because of their lack of protection for seller. They've turned into the Kmart service center where customer is always right, it's hogwash! Good luck to you!
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Whac-A-Mole
Frequent Advisor
Frequent Advisor

if it is a brand name watch and the buyer can prove it is a knockoff,he would be asked to destroy the watch,there is no return.

does this apply to your case?

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AlphaFur
Contributor
Contributor

No. The product is metal legs for furniture. This is not a brand name like the watch situation.

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osoangryagain
Contributor
Contributor
It was a Frank Mueller Casablanca, not a knock off. He sold WATCHES on eBay I'm pretty sure he would not buy a knock off. I sell designer handbags and I know a fake when I see one even in photos. He mailed it according to him but I was sent back so he said he wasn't going to send again. Another man in N.Y. sent me an empty box instead of a man's wedding ring which I paid insurance for (it was back when seller could require insurance) but when it arrived be did not purchase the insurance. EBay or pp did nothing in this case either. Buyers have found loopholes in the procedures. Before that even I purchased a computer for five hundred and something dollars and the man was custom making them he prolonged it past the feedback time for at least 30 customers that I was aware of and in contact with I even have my canceled check that he signed the back it was stamped by his bank and he cashed it for everybody he required personal checks and that was never resolved we were all out our money and nothing happened to him. Local police wouldn't touch it because it was internet FBI said it wasn't enough money it had to be over three million dollars so everybody was out their money. This kind of thing happens quite often actually
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Whac-A-Mole
Frequent Advisor
Frequent Advisor

well,thats why internet people use their credit card,not personal check.

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Whac-A-Mole
Frequent Advisor
Frequent Advisor

The saying-DONT SELL ANYTHING ON EBAY WHICH YOU CANNOT AFFORD TO LOSE.

Certain merchandise are just not suitable to be sold online or paid via PAYPAL or credit card or sold where return is on the seller.

 

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