Is there no way of selling intangible items?

[jedioncrk]

Sold a game key on eBay, after payment, I send the key over to the buyer.  Buyer then claims unauthorized payment, and opens up a Paypal case.  Not only do I lose the case, no key, no payment, and a chargeback fee.  WTF?!

Is the only way to avoid selling "intangible" items at all?

[kernowlass]

@jedioncrk

If its a chargeback done directly via the buyers credit card company then they make the decision and they are the ones that charge you their processing fee if they find in favour of their client.

HOWEVER if you met ALL the criteria of seller protection then paypal would reimburse you that loss.

BUT as there is no seller protection for intangible items then you are not covered so they don't reimburse you.

You can sell intangible items but at your own risk.

[jedioncrk]

Lovely.  So I should be on the buying end, is what you are saying.  Go on a buying spree of intangible items on eBay, get all the  software I want, and just file "Unauthorized payment" disputes and, viola!, free software.  

[kernowlass]

@jedioncrk

Whether you buy or sell is up to you, nothing to do with me.

I just gave you the facts as it stands and how paypal works.

Is that not what you asked?

[jedioncrk]

Yes, I didn't mean to address that to you.  This is a post to hopefully let others know of the mal-practice that Paypal and fradualent buyers and/or sellers are commiting.

Yes, you are also stating the facts, but that does not overlook the injustice that is done here.  I am trying to promote awareness and enough noise so that Paypal will take a stance on this, and by the looks over previous posters, it does not look like Paypal has a good track record.

[kernowlass]

@jedioncrk

As i said a chargeback is done directly via a buyers credit card company and not paypal.

Paypal have no say in the decision they have to comply with what the c.c. company says.

But they would compensate you with their insurance policy ie seller protection if you qualified.

But unfortunately intangible items don't qualify.

[Whac-A-Mole]

Before you decide to use PAYPAL as a payment processor,you ought to study what is buyer/seller protection,digital and virtual good are not protected,

however I understand professional seller of digital goods have ways of using Paypal to prove download as way of proving they have delivered the goods.

For physical goods,you need carrier tracking to show it has been delivered.

for digital goods,you can prove that buyer has downloaded the goods.

[sharpiemarker]

Should have written game key down on a thank you card, throw it in a priority mail flat rate envelope to mail with some chocolates to get tracking number. (Some restrictions may apply, see USPS.com)

[Whac-A-Mole]

first class 2 ounces is $2.60 with tracking ,cheaper than USPS priority flat rate.

But Paypal may not buy that,as it is digital,how can you ship digital.

It works for local pickup.   

[lancelotme]

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@sumiko wrote:

first class 2 ounces is $2.60 with tracking ,cheaper than USPS priority flat rate.

But Paypal may not buy that,as it is digital,how can you ship digital.

It works for local pickup.   

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well,Paypal robot cant tell the difference if it is tangible or digital,it sees the tracking and it sides with you.

of course the buyer can always appeal and point out it is digital,but if he is scamming,he may not appeal.

But Paypal does have a way for you to track using download feature,it is stated several times here with a link ,also Paypal now has a technical forum.

as for spending $2.60,depends on how much you sell your product for,it could wipeout your profit.

There is also PAYPAL micro payment for payment $10 or less,fee is 5 cents transaction and 5% discount rate.