I sent money to a friend. My friend received the exact amount and I was correctly charged what I sent my friend plus a service charge. The following day my credit card was charged again for another 20.59 and it was listed as "cash equivalent transaction fee". I immediately called the credit card company and clarify the charge. It was attached to the charge from PayPal for the day priors transaction. Worse yet I can't dispute that charge without it disputing the money I sent to my friend.
II contacted PayPal and their auto program sent an email saying "no unauthorized use, based on the review we found this transaction is consistent with my PayPal history" They didn't ever address the secondary charge
They debited my friends account for a return of the money and that is still pending as I write this a day later.
I have been trying to contact PayPal but haven't heard from them.
It is looking like someone at PayPal is charging a secondary fee, attaching that to the original transaction, and pocketing the extra money.
Has anyone experienced this with PayPal before and if so what was your recourse?