[CR]re: PayPal & Credit Card Chargebacks

Example: History

Date: Mon, 5 Nov 2007 09:02:50 -0800 (PST)
From: Kevin Moran <gridplan@yahoo.com>
To: classicrendezvous@bikelist.org
Subject: [CR]re: PayPal & Credit Card Chargebacks

It's been a couple of years since the following happened to me, so check with Paypal to see if the procedures have changed. Filing a complaint with both the credit card company and Paypal was not the way to go. I was told to file with Paypal alone. They'll be the ones issuing the refund, but only after getting the money from the credit card company.

I had to do a couple of things during the complaint process before Paypal could proceed. I had to call the seller in Japan (translator = $$$) and, because that failed to resolve anything, ship the item back at my expense. I then had to put all of this in writing, submit it to Paypal and wait.

But there's a wrinkle to this. What happens if the seller declines delivery of the returned item? Then the buyer has to arrange to have it shipped back. Why? Because Paypal may ask the buyer to ship the item back to the seller if they succeed in subsequent negotiations with him.

Paypal eventually refunded my money. But it was a pyrrhic victory for me. Between the cost of the Japanese translator, the costs of shipping it back to the seller and then back to me when he refused it, it would have been as cheap simply to accept the loss. YMMV.

You may also want to open a case with SquareTrade through eBay. SquareTrade is a service eBay offers for mediating disputes. Don't get your hopes up, though. As I found out, SquareTrade can't compel the seller to participate in dispute resolution.

Kevin Moran Bloomington, Indiana USA
> When dealing with a pricey eBay item that was not
> as described, the item was paid for by credit card,
> and the seller resists giving a refund, is it best
> to
> 1. write the credit card company to dispute the charge?
> 2. file a PayPal claim?
> 3. both of the above?
> From this information on credit-card chargebacks
> for items purchased with PayPal
> https://www.paypal.com/us/cgi-bin/webscr?cmd=xpt/seller/ChargebackRisk-outside
> it sounds like the credit card company will the be
> the most likely to help, but I'm assuming there's
> no downside to also filing a PayPal claim. I'd be
> interested to hear first-hand experiences with
> situations like this.
> I'm particularly interested to know what needs
> to happen with the item: do either the credit-card
> company or PayPal expect a buyer to return the
> item - even without agreement from the seller
> about the problem or agreement to issue a refund
> - before the buyer can receive a refund? I'd
> obviously like to avoid a situation where I have
> neither the item nor the refund!


Mitchell Gass
Berkeley, CA, USA