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What a train wreck.
Just so you understand what’s going on...PayPal can hold funds from seller for 21 days because and in order to release the funds sooner, the seller had to “ship” and provide tracking.
Let’s say the seller didn’t have bad intent and will ship the vinyl when it’s released, they can still ship you later. But on the other hand, it makes no sense for this seller to waste money on postage now to fake a shipment unless they included the cost in your total.
Doing this forced you to open a dispute, and since the seller had the tracking number, they used it to win the Item Not Received dispute.
What you do now is contact customer service to change your dispute to Significantly Not as Described claim to get your money back and forget about all this pre-order jive which never really works if you got a ding dong as a seller.
To make a request to change the type of claim you have:
Complain that the seller shipped a cord (be very descriptive of what you received) in order to get the funds released to them sooner when they were supposed to ship the preorder record and would like to change your dispute to Significantly Not as Described (which was the appropriate case you should have filed in the first place, not Item Not Received).