I had the exact same thing happen to me! Exact same scenario with the exact same steps taken. I contacted the seller via email, files a dispute with PayPal, called my bank to file a dispute...literally the exact same thing! PayPal sent me a notification that since I am disputing it with my bank, they will no longer be involved with this issue. The ad was for $99, NOT $233!!! The dispute with my bank is not over however I feel defeated because there is no way to contact the company to see if I can resolve this. Very frustrating!!
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