Paypal chargebacks 😡

Staceyn29

Hey looking for some advice, I recently helped a so called friend out by requesting money through PayPal from them as they didn't have online banking then lifting it out and giving it to them, this happened 3 times. now several months later they have claimed chargebacks through their bank and I now have a -665 negative balance on paypal 😡 I contacted them and was advised (by phone) that they won't attempt to take it from my bank account it was only my PayPal balance that's affected and when I explained that I was worried about my credit rating he stated it wouldn't be affected? Does any one know if this is the case? Paypal have been less than helpful despite me responding to their info requests and phoning them to explain the situation and I have worked hard to keep a good credit rating I would hate for this to be affected

chanz4

They will take your to debt collectors, I would report your friend to the police

soolin

Staceyn29 wrote: »

Hey looking for some advice, I recently helped a so called friend out by requesting money through PayPal from them as they didn't have online banking then lifting it out and giving it to them, this happened 3 times. now several months later they have claimed chargebacks through their bank and I now have a -665 negative balance on paypal 😡 I contacted them and was advised (by phone) that they won't attempt to take it from my bank account it was only my PayPal balance that's affected and when I explained that I was worried about my credit rating he stated it wouldn't be affected? Does any one know if this is the case? Paypal have been less than helpful despite me responding to their info requests and phoning them to explain the situation and I have worked hard to keep a good credit rating I would hate for this to be affected

As PayPal said, this will be taken from your balance, however what they didn't say is that you will be expected to deal with the negative balance or else get chased by debt collectors. That means the next time you use your PayPal account to take money for any reason the money you take will just be used to clear the balance.

It cannot affect your credit score though as PayPal never seem to use the courts to recover the debt.

Staceyn29

Thanks for the replies. I don't think they have investigated this in the slightest to be honest as obviously the payment had to be approved and sent...theyve also charged me a £14 fee for each chargeback! Anyway I wasn't sure if it being referred to the debt collectors meant my credit rating would be affected, I'm not bothered about them unless it does tbh

pappa_golf

what was the reason for the chargebacks , and the correct timespan

Ben8282

This is all very odd.
As I understand it, because your friend does not have access to internet banking, instead of doing what anybody else would have done and going himself to an ATM and using his debit card to withdraw funds instead he used his debit card to pay you through paypal at which point you then presumably went out to an ATM and used your own debit card to withdraw cash and hand it over.
Several months later he disputed the transactions and they were charged back.
Your friend must have given a reason to his bank to instigate the chargebacks. This reason must have been communicated. Paypal would have given you the opportunity to defend the chargeback before simply debiting your account.

DCFC79

Staceyn29 wrote: »

Thanks for the replies. I don't think they have investigated this in the slightest to be honest as obviously the payment had to be approved and sent...theyve also charged me a £14 fee for each chargeback! Anyway I wasn't sure if it being referred to the debt collectors meant my credit rating would be affected, I'm not bothered about them unless it does tbh

Yes your credit rating will be affected but no 1 but you sees your score.

Staceyn29

Ben the person did not have their card on them at the time and as I said I did try to defend myself but paypal didn't bother to investigate properly, they said it was an unauthorised transaction, what do you mean by only me will see my score? Will this affect my chances of securing any credit? This is all very confusing to me!

pappa_golf

3 unauthorised transactions in a row?


what were the items they sold?

soolin

Staceyn29 wrote: »

Ben the person did not have their card on them at the time and as I said I did try to defend myself but paypal didn't bother to investigate properly, they said it was an unauthorised transaction, what do you mean by only me will see my score? Will this affect my chances of securing any credit? This is all very confusing to me!

This sounds like a claim via a bank for unauthorised use of a card- ie a fraudulent payment chargeback. That means your 'friend' has gone to the bank and said that the payments were made without their knowledge, and the bank will be forced to refund them unless paypal defend the charge using any evidence you have to dispute it. Unfortunately I can't think of any way for you to defend this as you effectively laundered the money through your account on behalf of a third party. There is also the possibility - and it all depends on how dodgy you think this friend is, that this really was not their card to use, and the correct owner of the account has now done a legitimate claim for fraud and recovered their losses. The latter suggestion might be why the friend was unable to get the money direct, and had to find an account to launder it through.

If you are never going to use ebay or paypal again then realistically there is nothing paypal will do to recover this debt from you. However, do not ever be tempted to try using ebay or paypal again even with new clean accounts as once linked they will recover the debt through any associated account, even a partner or other family member with enough linked info may be at risk.

As for the debt, paypal often use some rather aggressive collection techniques, so make sure you check on the other boards to find out what debt collectors can and can't do. Don't let anyone into your home, don't confirm anything on the telephone and warn anyone you share your home with to be careful who they open the door to. They will get bored eventually, but it might be a bumpy few months.

pappa_golf wrote: »

3 unauthorised transactions in a row?


what were the items they sold?

I'm not sure anyone sold anything

pappa_golf

apologies , I can see now that the OPs "friend" has just used paypal to obtain money