Does PayPal Fraud Protection extend to Frnds & Family when not buying?

[TSU3]

Hello,

Asking whether PayPal Fraud Protection extends to "Family and Friends" transactions. The transaction does not involve goods or services, but is an initial deposit towards a new rental and Landlord's existing PayPal account. I only know this new Landlord through some some early interviews but he has an existing PayPal account. Should the person somehow be impersonating someone else (I have no current suspicion of this) or otherwise attempt to defraud me, would PayPal back the terms of the transaction which is a pretty ordinary rental agreement or is this something not covered?

TIA.

[kernowlass]

@TSU3 

A friends / family (or gift payment) is intended as a transfer of funds from family or friends to one another. For this reason, there is no processing fee when payment is made with bank or PayPal balance.
However as it is a gift payment, there is also no buyer protection as no goods or services should have been exchanged.

If he was not a close mate or family member you should never use that option as it enables the seller to evade paying his Paypal fees and negates your buyer protection at the same time.

You would also not be able to open a dispute (apart from one citing an unauthorised transaction), which would be automatically closed as you did authorise the initial payment.

Be careful as using that option for purchasing goods is against Paypal rules and can lead to account limitation.