Paypal sided with scammer!? Left me negative!

Mikej92

Hi, absolutely atrocious behaviour from Paypal.

background story, I sold a mobile phone via Facebook (fella paid on PayPal as goods and services), he was happy when he received the phone etc.

1 months into the transaction (1 day before his 30 day guarantee through PayPal), he filed a ‘unauthorised payment’ claim.

I provided PayPal with evidence of the conversation, the postage address he provided (matched with his PayPal payment), the proof of delivery, along with the weight of the item (through the Royal Mail weighing), and signature.

PayPal have sided with him, meaning I am now in a negative PayPal balance, and they’re charging me monthly!?

as I say, I have provided clear evidence of this transaction, along with the address, delivery, etc!

how on earth can they side with a clear evidential scammer!?

can I take them to small claims for this? 

DullGreyGuy

You'll find many schemes are weighted towards the buyer and against the merchant/seller; they don't tend to differentiate between corporations, small businesses and private individuals just selling their old stuff.

You can issue court proceedings but would need to send them a letter before action giving them a reasonable timescale in which to make payment to you before filing. 

Mikej92

DullGreyGuy said:

You'll find many schemes are weighted towards the buyer and against the merchant/seller; they don't tend to differentiate between corporations, small businesses and private individuals just selling their old stuff.

You can issue court proceedings but would need to send them a letter before action giving them a reasonable timescale in which to make payment to you before filing. 

Honestly, I’m an eBay seller and it’s the same!

this PayPal one has shocked me though, as there is so much clear evidence that he has scammed me.

user1977

Mikej92 said:

can I take them to small claims for this? 

You can take the buyer to small claims.

eddddy

Mikej92 said:

can I take them to small claims for this? 

Do you mean paypal? If so, you'd only succeed if they have breached their contact with you in some way. (But I suspect the terms in their contract allow them to do what they've done.)

But you can make a court claim against the buyer/scammer, if you have their name and address. It sounds like they gave you a name and address - but I guess they might have given you false details.


Paypal issues are often discussed on the 'Ebay, auctions, car boot sales, post & parcels' board - so you might get more input there. 
https://forums.moneysavingexpert.com/categories/ebay-auctions-car-boot-jumble-sales

Mikej92

eddddy said:

Mikej92 said:

can I take them to small claims for this? 

Do you mean paypal? If so, you'd only succeed if they have breached their contact with you in some way. (But I suspect the terms in their contract allow them to do what they've done.)

But you can make a court claim against the buyer/scammer, if you have their name and address. It sounds like they gave you a name and address - but I guess they might have given you false details.


Paypal issues are often discussed on the 'Ebay, auctions, car boot sales, post & parcels' board - so you might get more input there. 
https://forums.moneysavingexpert.com/categories/ebay-auctions-car-boot-jumble-sales

Yes I mean PayPal.

the fella has now got a £600 phone, along with me being in the negative balance of the same amount.

DullGreyGuy

Mikej92 said:

eddddy said:

Mikej92 said:

can I take them to small claims for this? 

Do you mean paypal? If so, you'd only succeed if they have breached their contact with you in some way. (But I suspect the terms in their contract allow them to do what they've done.)

But you can make a court claim against the buyer/scammer, if you have their name and address. It sounds like they gave you a name and address - but I guess they might have given you false details.


Paypal issues are often discussed on the 'Ebay, auctions, car boot sales, post & parcels' board - so you might get more input there. 
https://forums.moneysavingexpert.com/categories/ebay-auctions-car-boot-jumble-sales

Yes I mean PayPal.

the fella has now got a £600 phone, along with me being in the negative balance of the same amount.

No, you take the buyer to court for your money.


What would you want the outcome of a case against PayPal to be? It sounds like you may be wanting an injunction which is much more complex than simply claiming for damages via the small track of the county court.

Aylesbury_Duck

Sounds like a situation where you need to send your buyer a letter before action and threaten small claims court.  No need to send it registered/signed for, just get proof of postage and if he doesn't respond within 14 days, start the small claims process.

I hope the name and address you have for him is genuine.  If it isn't, your money and phone are long gone.

Mikej92

Aylesbury_Duck said:

Sounds like a situation where you need to send your buyer a letter before action and threaten small claims court.  No need to send it registered/signed for, just get proof of postage and if he doesn't respond within 14 days, start the small claims process.

I hope the name and address you have for him is genuine.  If it isn't, your money and phone are long gone.

Have tried my best to contact him, have had no luck, as I say, quite evidently a scammer

GadgetGuru

Do you have the phone details - IMEI number etc?
Maybe register it as stolen and have it blocked in the meantime, while you send a letter of action to the buyer......?

jlfrs01

This is a very unfortunate situation and seemingly a loophole in PayPal's business model because there are lots of examples of others who've been scammed in this way in their Community. As I understand it, there is only 90 days to pay the negative balance back after which time PayPal automatically passes over to debt collectors. What I'm unsure about is whether PayPal also adds interest to the negative balance too. If so, may be wise to settle pronto to avoid paying more than you're obliged to.