PayPal Negative Balance

Carrot007

GolfR12 wrote: »

My question is can this be reported to credit file agencies if I don’t pay?

Unlikely unless they went to small claims.

However expect to never be avble to use paypal again. This is your choice.

Brooker_Dave

GolfR12 wrote: »

My question is can this be reported to credit file agencies if I don’t pay?

In a word, no.

Paypal are a payment company, and you used your legal rights to get a refund for goods that were not delivered.

It's not for you to refund Paypal, they need to track down the person they paid the money to.

Brooker_Dave

marliepanda wrote: »

Yes. It’s a debt!

Of course it's not.

OP used his rights under UK law to reclaim the money under the DD guarantee scheme - for goods that were not recieved.

The fact that Paypal have lost out is not their problem.

Brooker_Dave

Arleen wrote: »

In reality you are out of that money.

How so?

They have got it back.

Arleen

Brooker_Dave wrote: »

Of course it's not.

OP used his rights under UK law to reclaim the money under the DD guarantee scheme - for goods that were not recieved.

The fact that Paypal have lost out is not their problem.

And for that you have to go to court, not complain to your bank or paypal for missing goods. Unlike normal paypal transactions which come with their protection, gift cards do not have it, it's that simple. So OP has to take the scammer to court for breach of contract as the goods were not delivered.

But that will be fruitless waste of time and money.

Arleen

Brooker_Dave wrote: »

How so?

They have got it back.

Paypal will take it back from the bank or will collect it from OP via court order of their own. Likely the former once bank and paypal have a heart to hear about it in few weeks and it turns out that the direct debit claim made by OP was wrong.

Thrugelmir

My question is can this be reported to credit file agencies if I don’t pay?

You wrote this earlier. Outcome seems predictable. If you fight the matter. Not only will you have a debt to settle but additional costs.

GolfR12 wrote: »

PayPal have advised that my account will be restricted and it will be passed on to a Debt Collection Agency.

Doubt that Paypal will wish to maintain a relationship with you either. Not good if you intend trading internationally in the future.

Carrot007

Arleen wrote: »

Paypal will take it back from the bank or will collect it from OP via court order of their own. Likely the former once bank and paypal have a heart to hear about it in few weeks and it turns out that the direct debit claim made by OP was wrong.

No if the OP has removed the details PAYPAL cannot take it back.

They won't do court either. They may sell to a third party that might on that ammount though.

The main point as Brooker Davenever says (he has a grudge) is that doing this will stop you from usuing paypal ever again.

Arleen

Carrot007 wrote: »

No if the OP has removed the details PAYPAL cannot take it back.

They won't do court either. They may sell to a third party that might on that ammount though.

The main point as Brooker Davenever says (he has a grudge) is that doing this will stop you from usuing paypal ever again.

That sadly is not correct. Direct Debit refunds are always given at-complaint and then investigated, and if found that the complain was invalid the bank will demand return of the money refunded. That's explained in the direct debit guaratnee https://www.directdebit.co.uk/DirectDebitExplained/Pages/DirectDebitGuarantee.aspx namely:

If an error is made in the payment of your Direct Debit, by the organisation or your bank or building society, you are entitled to a full and immediate refund of the amount paid from your bank or building society
If you receive a refund you are not entitled to, you must pay it back when the organisation asks you to

OP has no right to a refund from paypal, the claim is incorrect and likely paypal will get money that way.

cjmillsnun

Brooker_Dave wrote: »

Of course it's not.

OP used his rights under UK law to reclaim the money under the DD guarantee scheme - for goods that were not recieved.

The fact that Paypal have lost out is not their problem.

Paypal will argue that he sent a gift, and did not pay for goods and services.

OP used the gift option when sending payment so PP have a point.