Buyer of Online classifieds is out of state and wants to pay through paypal

[jfield]

I recently posted some furniture on a local online classifed site.  I had someone reply that they would pay full price but were working out of state so would not be able to pay in cash or pick up.  But they would transfer the full amount plus the cost of the shipping company (since they did not take paypal) to my paypal and I would then pay the shippers with the extra money.  They assured me it was safe since they are a verified paypal account.  I search and search and saw many people saying it would be fine since it was paypal.  But I am not sure due to my findings below.

First of all, if the offer is too good to be true, there’s something wrong. Nobody in their right mind is going to willingly add an extra $100 upfront for shipping. People using Craigslist and Kijiji are universally cheap and will offer pennies on the dollar for your merchandise, or worse yet try to “trade” you. I have never had anyone offer full price for something sight unseen.  If you see an offer that comes in for more than you’re asking for, or adds an exorbitant amount for inconvenience, you’re getting greedy and stupid.

Second, nothing is ever final with PayPal. There are countless horror stories online, but let’s just be clear for people who think PayPal offers any seller peace of mind:

• If you sell an item and use PayPal for the transaction, and don’t ship with a tracking number, the buyer can just claim they never received the merchandise. PayPal will always side with the buyer and return the funds from your account to theirs.
• If you do use a tracking number, the buyer can lodge a complaint and claim that the item is not as described. Supposedly they are required to return the item to you, but PayPal will just return the funds to their account.
• In the event of any issue with the transaction, the buyer always wins.

Oh, wait, you say. But what if I immediately withdraw the funds from my account once the buyer has paid me? Then PayPal can’t do anything?

Actually, they can. PayPal will put your account into a negative balance and any funds you add or receive will first go towards that negative amount. If you keep a negative balance for over 30 days, they will send you to collections and close your account. This will  eventually appear on your credit report and you will be constantly hounded to repay the negative balance. It doesn’t matter that you were scammed out of your money; you’ll have to dispute the payment and likely take the matter to court to have it resolved.

PayPal is not as seller-friendly as many people think and I do not want anyone to be defrauded by these scams.

[DPCreations]

Why would you even think of trusting a stranger who states that it's safe everthing suggested is fine?  It's time to educate yourself about online sales.

This is such an obvious scam.

[lancelotme]

if they pay you via paypal for local pickup,you cannot prove online viewable tracking to show it has been delivered so you will lose.

unless it is a legit trucking company which issues you a tracking number which you can track online at their site,but Paypal robot may not go to that site to check,it goes to USPS,UPS,DHL,Fed eXP,

But then you can appeal and give them the website.

But I would guess if they ever make payment,the ones who come to pick up the furniture would just be themselves or some sleazy friends of theirs.

they could also ask to use your bathroom and steal something.

some will even steal a roll of stamps if they see it lying around on your desk.  

[sharpiemarker]

---

@jfield wrote:

I recently posted some furniture on a local online classifed site.  I had someone reply that they would pay full price but were working out of state so would not be able to pay in cash or pick up.  But they would transfer the full amount plus the cost of the shipping company (since they did not take paypal) to my paypal and I would then pay the shippers with the extra money.  They assured me it was safe since they are a verified paypal account.  I search and search and saw many people saying it would be fine since it was paypal.  But I am not sure due to my findings below.

First of all, if the offer is too good to be true, there’s something wrong. Nobody in their right mind is going to willingly add an extra $100 upfront for shipping. People using Craigslist and Kijiji are universally cheap and will offer pennies on the dollar for your merchandise, or worse yet try to “trade” you. I have never had anyone offer full price for something sight unseen.  If you see an offer that comes in for more than you’re asking for, or adds an exorbitant amount for inconvenience, you’re getting greedy and stupid.

Second, nothing is ever final with PayPal. There are countless horror stories online, but let’s just be clear for people who think PayPal offers any seller peace of mind:

• If you sell an item and use PayPal for the transaction, and don’t ship with a tracking number, the buyer can just claim they never received the merchandise. PayPal will always side with the buyer and return the funds from your account to theirs.
• If you do use a tracking number, the buyer can lodge a complaint and claim that the item is not as described. Supposedly they are required to return the item to you, but PayPal will just return the funds to their account.
• In the event of any issue with the transaction, the buyer always wins.

Oh, wait, you say. But what if I immediately withdraw the funds from my account once the buyer has paid me? Then PayPal can’t do anything?

Actually, they can. PayPal will put your account into a negative balance and any funds you add or receive will first go towards that negative amount. If you keep a negative balance for over 30 days, they will send you to collections and close your account. This will  eventually appear on your credit report and you will be constantly hounded to repay the negative balance. It doesn’t matter that you were scammed out of your money; you’ll have to dispute the payment and likely take the matter to court to have it resolved.

PayPal is not as seller-friendly as many people think and I do not want anyone to be defrauded by these scams.

---

Yeah, yeah, sure, sure.  Working out of state...and my dog ate my homework.  Total scam.  Cash (and carry) is king with Craigslist.