PayPal friends and family dispute? Unauthorized Transaction

[Campfires]

So I sold a guy a pair of headphones, he said he could pay me through F&F if I drove over to his house and handed them to him. So I did. I gave them to him, and sent a request. Even put in a little: 4 dollars for delivery. Now there's a PayPal "Unauthorized transaction" dispute. How do I resolve this?

[idan_ro]

Maybe this will help:

If the unauthorized transaction involves your PayPal Debit MasterCard®:

1. Go to the Resolution Center at the bottom of the page.
2. Click Report a Problem.
3. Select the transaction you want to dispute, and click Continue.
4. Select “I want to report unauthorized activity.”
5. Click Continue.

[Campfires]

No, I'm the seller. It's also a friends and family transaction. 

[idan_ro]

Have you seen this page:

https://www.paypal.com/us/webapps/mpp/security/seller-protection

[kernowlass · Accepted solution]

@Campfires 

You made 2 mistakes, firstly accepting paypal for an item that was delivered rendering you no seller protection but also..............

Its against Paypal rules to accept a family / friends payment for selling goods and you risk your Paypal account being limited if you do so.

A buyer would not be able to open a Paypal dispute for 'non-receipt' OR 'not as described' as they would have no Paypal buyer protection.
However they can still open an 'unauthorised transaction' OR do a 'chargeback' (via their card issuer) and you may well lose as you would have no Paypal seller protection.

@idan_ro 

There is no seller protection for friends/family payments.

[Campfires]

So... I'm **bleep**?

[kernowlass]

@Campfires 

Depends, paypal may decide the payment was not unauthorised as an unauthorised dispute is telling paypal that their account was hacked and that the transaction was made without their consent.

Paypal check IP addys and devices and make a judgement call.

If they find they were NOT hacked then you would win.

If they found that they were hacked (or made it look as if they were) then as you had no seller protection you would lose.

BUT also you may find your account limited if paypal realise that you are using the friends / family option to sell goods/services to evade paying your paypal fee. 

[Campfires]

Oh that's fine. I'm pretty sure the guy who paid me made the account like the hour before. I show his activity log, it was his first transaction. So they can see that the device is his, and wasn't hacked?

[RoryJGN77]

I have THE EXACT SAME PROBLEM DID U WIN THE CASE? Pls let me know ASAP

[nazeefv]

Running into a similar issue with a scammer claiming an unauthorized transaction on a friends and family payment. Was wondering if paypal sided with you?

If not, I might as well get a head start with the police report

@RoryJGN77