Paypal Fraud and Debt collection agencies

Steve1234567_2

Hi, here is my story.

I sold an item on ebay and, was paid £400 through paypal. Transaction went smoothly until about 5 weeks later when some form of payback occured and the £4oo was removed from my account and given back to the buyer. I phoned paypal and they told me this is a common occurance and is a form of fraud used on paypal. They then went on to inform me that because the seller didnt have a confirmed address, I was not covered by their much advertised seller protection scheme and was liable for the -£400 balance on my account.

Given the fact that paypal have effectively been an aid to this fraud, I have refused to pay them the money back in. Only thing is that they have now sent this onto a debt collection agency who keep ringing me.

Paypal and the debt collection agency have my old address and im about to move yet again from my current address (which they dont have), into yet another new address.

I wondered if someone can answer the following questions:

Do I have any rights here?
What would happen if I simply ignored their calls and didnt pay?
Can they trace me to my addresses which they dont have?

I would normally learn a lesson from this and just pay up but im a student so physically dont have £400 to give. It makes me so mad how paypal actually help these criminals rip off innocent people like me and anyone else.

Thanks

Steve1234567_2

Just thought id bump this up as I really need somoe advice.

natters_2

Maybe someone on the ebay boards will know
http://forums.moneysavingexpert.com/forumdisplay.html?f=40

HardleyLisa

Hi Steve. Sorry to hear about this. This makes me a bit wary about selling on Ebay because I also thought you were covered by PayPal. As Natters says (with link) perhaps someone on the Ebay boards will be able to help. Keep us informed.

natters_2

The only thing paypal covers is their own backsides unfortunatley - having been bitten as both a buyer and seller I avoid them like the plauge

dweezil_2

Hi Steve,
Like you, and countless others, I am being asked for money by Paypal, because, they say, I didn't qualify for 'Seller Protection.' Like you, and countless others, I have no intention of giving them anything back, in fact I am in the process of complaining to Office of Fair Trading, due to the murkiness of their Terms and Conditions, which they hide behind. Also, the stranglehold they have on ebay, which does make it harder to sell and buy if not using Paypal. That is only because PP and Ebay try brainwash everybody into believing PP is the only 'safe, secure way to buy and sell'. It's not until a problem like a chargeback occurs that sellers realise what a sham this 'safe, secure' mantra is.
See following links regarding other folks experiences with Paypal/NCO etc, nice to know we aren't alone!.
PLEASE DO NOT GIVE PAYPAL THEIR MONEY BACK!

http://www.consumeractiongroup.co.uk/forum/debt-collectors-debt-collection/58678-paypal-debt-collection.html

http://www.paypalsucks.com/forums/showthread.php?fid=17&tid=11254&old_block=0