Paypal Fraud - Bitcoins or digital products

[lordandy]

Dear all,

I received a chargeback a few days ago (I sold bitcoins on a trading platform). But the sending account was a hacked one, so the real user claimed an unauthorized access. I received all user details of the hacker (IP addresses, e-mail and so on), althoug it might be a VPN from Nigeria and a fake mail address.

The transaction reached me in the resolutions center, and even if I sent all the user information and details about the hack (the hacker even told me after asking that it was a hack on purpose, doing this for years, without having issues ever) it was just closed.

So it was closed and I will now transfer the money to fill funds again (it's about 200 Euro).

is there anyone I can ask about the details why this happened, why my justification was useless? The resolution center only has more option to verify with shipping details, shipping receipt and so on, which no one has on any digital products.

Sure, they might just say "hey, we don't like bitcoins so don't bother us", but this would have happened on any E-Book, Webdesign, Wordpress-Theme as well as a digital product never has anythink like a "shipping address" which is verified due to just creating hacked mail accounts.

Regards,

Andy

[adam2121]

I have the same problem

they have charged me $4000

writes an unauthorized transaction they received evidence that the buyer received BTC

just a question do I let paypal authorize collecting money without my consent paypal helps cheaters!!!

[Grandmstrbud]

I just recently had 3 charge-backs which I'm assuming the buyer on localbitcoins hacked Pay Pal accounts. The bitcoins were sent to the wallets so there's nothing I can do to get it back. I do not know the outcome of it but I'm going to be **bleep** if this comes against me. It may be near 3,000 between all 3 but I also have proof in the chat from localbitcoin. Localbicoins is awful and when you do a dispute it takes them days upon days to answer and they don't seem to care. So if you sell bitcoin make sure it's a long time user with a lot of feedback but that doesn't always help either one of them has been on localbitcoins for over a year with 80 plus feedback. So maybe someones LBC account was hacked who knows. In the end I shouldn't be responsible for someone else's account getting hacked. Isn't this what these companies have insurance for to protect us? I know it sucks we have to deal with this and I myself will not use LBC anymore because their support is worthless. Stick to safer methods such as moneygram or western union then you can have your money in had before releasing the bitcoin. 

[kernowlass]

@Grandmstrbud 

Paypal does have insurance ie seller protection but it doesn't cover virtual / digital sales.

Your best bet is to do as you said in your last sentence and use western union and not paypal, much safer.

[SamGrant]

Just had Paypal decide that my recent £5,000 sale was unauthorised so now I'm out of pocket.

It's absolutely absurd to me how unintuitive this appeals process is, and how little they seem to care that we're the ones who've been scammed here.

[PayPal_Callie]

Hello @SamGrant - 

Thanks for reaching out through the PayPal Community! I am sorry to hear about your recent sale. We'd want to take a closer look into this. To avoid sharing personal information over a public forum, I would recommend reaching out to our Customer Service support through either Facebook or Twitter. If you don't have a Facebook or Twitter account, you can always go to the bottom of any PayPal page and click "Help" or "Contact." 

- Callie 

[filoh89]

Hello,

It's unbelievable that PayPal permits this type of frauds.

How is it possible favorite the scammers and not the honest people ?

PayPal is not a small platform, and hasn't justification to keep going these types of things... 

[Grandmstrbud]

I would encourage everyone to file a complaint against Pay Pal https://www.ic3.gov/default.aspx Pay Pal doesn't care and does not care. They are still getting their fees plus overdraft charges as well.

[Mei2014]

I had the same problem, bad experience to sell Bitcoin .

And I highly suspect  group is working. As the owner of paypal account claim this unauthorized payment didn't happen immediately he Bitcoin trade happen  , she/he claim the lost when I went to sleep. Then when I woke up , the case had been closed without any right to claim/show the evidence.

I submit claim to paypal, but......

For those who will do bitcoin trade, please must be very very careful if you accept paypal !!