Please vote yes for this guide so we can help others!
PayPal HORROR stories continued. Sellers need to be extra CAUTIOUS when accepting PayPal or any online payment service.
This guide is directed towards the eBay sellers that use PayPal's services. Please feel free to rate this guide at the end if it was helpful in anyway.
I used to accept PayPal with all my auctions. PayPal is an awesome way to receive instant payment, especially for items that sell for under $100.
For larger sales... the 3% fee quickly "adds up quickly" IE $1000 sale = $30.85 to Pay Pal.
Don't fool yourself, there are other "hidden" potential costs involved.
These costs are "charge backs"
These are scary words for all sellers that accept PayPal.
There are "bad" buyers out there... as well as "bad" sellers.
Pay Pal tends to favor the buyer good or bad.
If you sell a expensive coins or anything of value for that matter, you NEED to use delivery confirmation on all your packages shipped within the USA.
We generally use signature confirmation for items valued above $100 & registered mail for anything above $200
This .65 cent "investment" for delivery confirmation will save you heartache in the future if there is a charge back from PayPal.
Most charge backs result when the buyer files a complaint for an alleged package never received.
The first thing PayPal does... is suspend payment to the seller, and asks for proof of delivery!
Your receipt from the Post Office, FedEx, UPS, etc. are completely worthless as evidence that you shipped the item.
PayPal insists that you provide delivery confirmation/tracking for the item in question.
PayPal does not seem to communicate with eBay and compare notes?!
As a subsidiary of eBay.... one would assume they speak with one another to resolve issues?
Never assume anything folks, this happend to us, we got burned July 2006 for over $2500 on two different transactions 3 days apart
Needless to say that was the end of my relationship with paypal and every online payment option I had.
Here's how the "bad buyer" does it. (I like to refer to them as fraudsters..,)
A buyer can even say... "I received the package" and leave you great feedback. A week later... the buyer then can say... "I don't want this anymore... and want a refund."
If the buyer doesn't "get their way"... the buyer can actually "fabricate a story" that the item was never received when they contact PayPal... and you will be REQUIRED to PROVE with tracking the package was sent!
If you don't have tracking.... YOU LOSE YOUR MONEY AND THE MERCHANDISE!!
YES... you may even have the buyers e-mails, and feedback on your eBay profile that the package was received.
BUT, you are still out of luck! NO KIDDING!
When it comes to overseas sales with Pay Pal..... most sellers recommend EMS Mail.
Express Mail costs more.... but, it does provide the tracking that PayPal requires for Seller Protection.
Hold on to your receipts for at least 90 days!
You'll be surprised how many people try the PayPal scam right on the 60th day and beyond!
In summary.... regardless of what you sell.... coins, jewelry, clothes, electronics and so-on......... you might want to use delivery confirmation to protect yourself from possible charge backs.
Or better yet say no to paypal altogether!
It's hard enough to make money in a competitive marketplace like eBay... especially with ever increasing fees. But, to receive a charge back can be devastating to any seller.
And there you have it. If you've enjoyed reading my guide, and haven't put you off the idea of trading on eBay.
Being aware of the tricks that scammers use is half the battle, and knowledge will help keep you safe. If you found my guide useful, and appreciate the fact that I didn't try to sell you anything (I did promise), then please give me the thumbs up by voting YES below. Thank you very much, and thanks for stopping by!
Please remember that all guides are just opinions of the author and others that have contributed to this guide
By clicking yes to this guide it'll help keep it at or near the top, not to mention it'll help other that read it.
Thanks for your time!