Hello, @bimmer328xi. Thanks for taking the time to share your concern here on the PayPal Community Forum. What you have described is certainly not the kind of experience PayPal wants for customers!
While there can be a problem with a buyer who submits a dispute without proper cause to PayPal or to their financial institution, it's not possible for a buyer to cancel a PayPal payment. If someone sends a payment via PayPal, it can't be cancelled, but it could be placed on hold if the transaction is disputed. Placing a payment on hold does not mean PayPal is going to issue a refund. It only means the money needs to be set aside if it turns out a refund is needed later.
On the other hand, fraudsters may see a listing on eBay (or another marketplace) and send a fake email to a seller saying a payment has been sent, but it's necessary for the seller to ship the item first before the payment can be released to the seller's PayPal account. Sellers can avoid this scam by knowing two things - 1. A transaction will appear in a seller's PayPal account Activity if anyone has sent a payment for an eBay item or any other payment; and 2. PayPal does not require sellers to ship an item and provide tracking via email in order for a payment or transaction to appear in their account.
Another way sellers can protect themselves is to always use the shipping address provided by PayPal (or eBay) and obtain a tracking number so delivery of an item can be confirmed. Adding a tracking number to a transaction occurs automatically if a shipping label is purchased via eBay or PayPal. or tracking may be added to a transaction manually.
Either way, obtaining a tracking number for a shipment sent to the address provided by PayPal or eBay is one of the best and easiest ways for sellers to protect themselves from fraud.
As far as reporting someone, you can forward any fake/suspicious email to spoof@paypal.com and our Security Team will take a look at it. Information we obtain from fake emails helps us combat this kind of fraud. If the situation involves a payment you actually received into your PayPal account, there's no need for you to report the buyer to PayPal since we have all the information for both parties and disputes are reviewed regularly so action can be taken to address any problems.
I hope this helps to clarify things. Thanks for your input and thanks for being a part of the PayPal Community!
Sincerely,
Michael
PayPal_Michael
