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3 Claim Disputes And 1 Only covered under Seller Protection

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3 Claim Disputes And 1 Only covered under Seller Protection

A buyer who made 3 separate purchases, all virtual items, claimed unauthorized transaction claims with their financial institution. After waiting nearly 90 days for all the cases to show a resolution, they came in at 89 days with a final verdict.

1 case was covered under seller protection

2 were "The case was closed in favor of the buyer, based on the info they provided"

 

These items were all the same, difference was price, they were all purchased within 24 hours, by the same buyer, and were all virtual items.

Where is the consistency? So far I've had 2 cases decided in my favor out of 5 total through PayPal. I was selling the exact same type of items, this doesn't make sense.

I know I am unable to appeal, and that the bank that did their "89 day internal investigation" won't share any information with PayPal on their findings. I don't understand that if they lose their buy protection by not opening a dispute with PayPal and going straight their own financial institution, why don't I still have seller protection like 33% of the time? Beyond frustrated I waited 3 months, and the buyer "based on info they provided" was allowed to **bleep** over the sell and waive Paypal's protection policies, and I can STILL LOSE MONEY. Can someone shed some light on this?

I know there's nothing I can do, but this really REALLY discourages sellers to sell anything if chargebacks can occur and the details of them are hidden and vague.

1 ACCEPTED SOLUTION

Accepted Solutions
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Esteemed Advisor

Re: 3 Claim Disputes And 1 Only covered under Seller Protection

@Misterpie 

 

Because in the US, digital goods/virtual items are not covered under PayPal seller protection so you are lucky to even win or be covered on any cases. So you should be "sneaking a laugh" as the saying goes in my culture. PayPal either hooked you up one time as a courtesy or buyer's Bank ruled against the buyer. Sell digital goods at your own risk. Successfully sell more than you lose. Take a percentage out of each sale towards self-insurance to cover occasional disputes.

 

https://www.paypal.com/us/webapps/mpp/ua/useragreement-full?locale.x=en_US#seller-protection

 

Ineligible items and transactions

Your sale is not eligible for coverage under PayPal’s Seller Protection program if:

  • It involves intangible, non-physical, items, including digital goods, and services. Digital goods are delivered and used in an electronic format, like a song delivered online or through a mobile application.
  • The buyer claims (either with us or their card issuer) that the item you sent isn’t what was ordered (referred to as a “Significantly Not as Described” claim).
  • It involves an item that PayPal determines, in its sole discretion, is a counterfeit item.
  • It involves an item that you deliver in person, including in connection with a payment made in your physical store.
  • It involves sales that are not processed either through a buyer’s PayPal account or a PayPal guest checkout transaction. For example, if the sale was made using the PayPal Payments Pro/VT product, PayPal business payments or using PayPal Here, then it is not eligible for coverage. 
  • It involves items equivalent to cash including gift cards.
  • It involves a donation.
  • It relates to the purchase of a financial product or investment of any kind.
  • It involves a payment sent using PayPal’s friends and family functionality.
  • It involves a payment made using PayPal Payouts and Mass Pay.
  • The item is a vehicle, including, but not limited to a motor vehicle, motorcycle, recreational vehicle, aircraft or boat.

Kudos & Solved are greatly appreciated. 🙂

View solution in original post

1 REPLY 1
Highlighted
Esteemed Advisor

Re: 3 Claim Disputes And 1 Only covered under Seller Protection

@Misterpie 

 

Because in the US, digital goods/virtual items are not covered under PayPal seller protection so you are lucky to even win or be covered on any cases. So you should be "sneaking a laugh" as the saying goes in my culture. PayPal either hooked you up one time as a courtesy or buyer's Bank ruled against the buyer. Sell digital goods at your own risk. Successfully sell more than you lose. Take a percentage out of each sale towards self-insurance to cover occasional disputes.

 

https://www.paypal.com/us/webapps/mpp/ua/useragreement-full?locale.x=en_US#seller-protection

 

Ineligible items and transactions

Your sale is not eligible for coverage under PayPal’s Seller Protection program if:

  • It involves intangible, non-physical, items, including digital goods, and services. Digital goods are delivered and used in an electronic format, like a song delivered online or through a mobile application.
  • The buyer claims (either with us or their card issuer) that the item you sent isn’t what was ordered (referred to as a “Significantly Not as Described” claim).
  • It involves an item that PayPal determines, in its sole discretion, is a counterfeit item.
  • It involves an item that you deliver in person, including in connection with a payment made in your physical store.
  • It involves sales that are not processed either through a buyer’s PayPal account or a PayPal guest checkout transaction. For example, if the sale was made using the PayPal Payments Pro/VT product, PayPal business payments or using PayPal Here, then it is not eligible for coverage. 
  • It involves items equivalent to cash including gift cards.
  • It involves a donation.
  • It relates to the purchase of a financial product or investment of any kind.
  • It involves a payment sent using PayPal’s friends and family functionality.
  • It involves a payment made using PayPal Payouts and Mass Pay.
  • The item is a vehicle, including, but not limited to a motor vehicle, motorcycle, recreational vehicle, aircraft or boat.

Kudos & Solved are greatly appreciated. 🙂

View solution in original post