Last September I took an order from a client (I did not know him) for a custom art glass piece. My work is not cheap and the order was for $2850. My policy is 50% up front with the balance due upon completion. The client opted to pay the entire amount in advance. I made the work and shipped it to him within two weeks. He received it and declared that he was very happy. In November, I suddenly had a negative $2850 balance in my paypal account. Looking into it, I saw that the client had issued a chargeback claiming to have never ordered the piece. The initial discussion/negotiation took place on social media, but when I looked for it I discovered the client had blocked me preventing me from retrieving it. Fortunately, I had my paypal invoice which the client had used to make payment. Also, I had proof of delivery from FedEx stating that the client himself had signed for the package. When I contacted paypal, they assured me that I was protected by seller protection and that all I had to do was to provide them with proof of delivery, which I immediately did. A few days later, my paypal balance was restored and I thought that was the end of it. Silly me. In mid-January, the $2850 negative balance reappeared. When I checked into it again, I discovered that the client had disputed the charge with his bank and that his bank had found in his favor. They charged paypal who then charged me. Upon contacting paypal, they again told me that I was protected under seller protection and that I should provide them with proof of delivery. I did so for the second time, and waited for two weeks expecting them to restore my account as they had the first time. I checked back with them after two weeks and, to my shock, they said I provided the proof too late and that the bank's decision was final and that paypal had closed the case leaving me no recourse! Last week, I reluctantly paid the $2850 out of my pocket to restore my paypal balance. In short, paypal and the client's bank assisted this professional thief in perpetrating fraud on me. They manipulated their "rules" to pass the cost back to me. They did everything to protect the thief and nothing to protect me. I have extensive proof, including photographs from social media and correspondence from other buyers that this person did indeed possess the piece he stole from me. I have his name, home address, phone numbers, emails, and social media accounts. In my dogged pursuit of him he has changed them all and blocked me on all social media. No one cares. Paypal will not even give me the name of his bank so I can appeal to them. My only remaining option is to report him to the authorities, which I am in the process of doing. I am only telling this story here to let everyone know that they are not as safe with paypal as they might think. Chargeback fraud is rampant and common and there is literally nothing you can really do to protect yourself except restrict your clients to using direct deposit as the only way to transfer money. No paypal, no credit cards, no venmo, no cashapp, no nothing. You would think that this would concern paypal. Maybe it does, but not enough for them to life a finger to help me.
... View more