I just experience that should not use paypal to purchase anything at all, they stand on seller side and the buyer had no protection at all. Seller told Paypal they have a tracking number on the Item I bought, but who can proof that I received it. Please do not use paypal, and I believed that Paypal should not put those words on the website that purchase protection.
I had the same problem. My tracking number was UPS. I called them and asked if the package was delivered to me at my address. The seller sent a tracking number that was not for a package to my address. UPS said to have PayPal call them and they would let them know that the package was not for me. I received the refund after PayPal contacted UPS. I don't know how the seller found a legit tracking number that was similar to my location and used it to try to commit fraud. I have UPS My Choice so whenever a package is sent to my address, I am notified when it will deliver (free of charge and quite nice to have). I never received any information on a package the day the one the seller said it was supposed to be delivered so I thought it was not legit.
