Case Closed and Account Limited

[Sqyrrel14]

Recently purchased a sewing machine from a retailer where I was paying a 10% deposit and the rest was going on finance;machine cost £595.00 so the 10% deposit was £59.50. I paid the 10% through PayPal however due to a computer glitch on the sellers part I ended up being billed for £595.00 even though I only authorised the amount seen on screen £59.50. Seller contacted me straight away to advise of the error and was very apologetic and immediately sent a refund of £535.50 to try and counteract the transaction. A few days later paypal went into my bank account and lifted the £595.00 but did not refund the £535.50 to rectify the mistake, my bank account went into the red and the bank refused the payment. This is when a dispute was raised and my PayPal account was limited. This has been going on for 2 weeks. Throughout PayPal has asked me to resolve the issues on my account by verifying bank account etc. The dispute advised that they were waiting on the other parties answer. So yesterday I phoned the seller to tell them that PayPal was waiting for them to contact them and then about 7 minutes later I sign into PayPal to find the dispute has been closed, no explanation, nothing. My account is still limited and I'm feeling very wary about resolving the limitations as I haven't got a clue what the outcome was; are paypal going to try and bill me for the fictitious amount of £595.00 or the correct amount of £59.50 . I've tried phoning customer service but due to bad weather all I'm getting is an automated service advising me my balance is at zero. Please help, any advice would be much appreciated as I feel like I'm going round in circles.

[kernowlass]

@Sqyrrel14

Once you have authorised a payment from your bank account then paypal CREDIT the seller and then paypal take the wait for the funds to transfer from your funding source.

Once refunded the CREDITED funds are sent back to paypal but paypal have to wait for your processing funds to transfer to them and then your paypal balance is credited (those funds can't do a u-turn once authorised).

So then once they are in your balance you can withdraw them back to your bank account. Sorry but the mistake was the sellers and not Paypals as paypal payments are automated and have to follow a process.

You paid the larger sum of money and authorised paypal to pay it for you which they did so hopefully when the sellers refund has cleared the neg balance will be wiped.

[Sqyrrel14]

I didn't accept the larger sum or authorise £595.00 to be paid. The screen I paid had the amount of £59.50 and I have proof of that and a paper trail too. So what is going to happen if I resolve the limitations on my account are PayPal going to bill me for £595.00 and then refund me the £535.50 to rectify it, as at the moment my account balance is at zero (£0.00) and I've had no contact from PayPal at all asking me for any money.