Refund loophole scam? Seller's refund was declined and PayPal declined my claim???

[katannamariee]

On Feb 18th I purchased 2 items for $324.72 USD from a seller on a forum and never heard from them again after several attempts for shipping/tracking updates on my item. A week later the seller issued a refund out of the blue.  I was notified via email from PayPal that the refund was declined, twice over the next two weeks (I assume due to the seller not having funds to satisfy the refund in their bank account) so today I decided to open up a claim with PayPal to get my money back.

PayPal declined my case immediately stating "We have reviewed this transaction(s) and are denying your case(s). This decision was made because a credit for this transaction has already posted to your account."

There was never any credit posted to my account.  It clearly says on the page for the refund transaction that it was declined.  

Is this some new type of scam I was unaware of?  How can PayPal decline a claim when it is clear I did not receive my money back?  What should I do???

[kernowlass · Accepted solution]

@katannamariee 

Appeal.................

Click on the words "Help / Contact" at the bottom of paypals pages and use the phone option in the blue band at the top OR very bottom of page dependent on what country you are in. Scroll down past the list of help questions and click on 'Call us' bottom of that page. Log in and get the code.

OR

have you considered contacting Customer Service via Facebook or Twitter?
You can send them a personal message from their facebook or twitter pages.
It's: https://www.facebook.com/PayPal and @AskPayPal for Twitter.

[totes32]

Paypal brilliant at taking money awful when it comes to refunding it, my refund is nowhere to be seen and they shut down the claim saying it was refunded. So angry as the website is all automated bollocks sending you round in circles.