PayPal Seller Protection

[imoneyboy1]

Long story short some customers are impatient, I provide SMM services reselling from the marketplace. I have terms on my website stating no refunds. I submit the terms within the disputes.

A buyer files a dispute with their financial institution & PayPal still agrees to their case despite my evidence.

What are the main ways to protect yourself as a seller?

 

[BassTrackerBoats]

Long story short some customers are impatient, I provide SMM services reselling from the marketplace. I have terms on my website stating no refunds. I submit the terms within the disputes.

A buyer files a dispute with their financial institution & PayPal still agrees to their case despite my evidence.

What are the main ways to protect yourself as a seller?

Are you aware that PP does not support SMM services?

It is going to be an uphill climb to get them to back you up in the event of a dispute.

 

[dimitrivisser]

Paypal doesn't care much about your terms. They have their own rules/terms to protect buyers, and if you use the Paypal system you agreed with these terms.

There are 2 kinds of cases, depending on how to Paypal account of the buyer was funded. If the account was funded with a credit card the buyer can file a case with Paypal, but also with their credit card company. If they do that you have a very very small chance to win. Especially with services that are difficult to understand or difficult to prove.

There is only 1 piece of advice I can give you about Paypal: Don't use it to accept money you cannot afford to lose. Only payments with a bank transfer are final.

You should really check the Paypal terms you agreed with. If you are selling services that are prohibited they can also ban/block your account. If you decide to use Paypal anyway for prohibited services and you get a question about a refund you can better quickly agree with it, to avoid that a human at Paypal will see what you were selling.

 

[salamat]

No Refund Policy is NOT possible on paypal sir. Your policy will not override to PP's policy.
Buyers can open disputes for as long as 180 days after sending the payment.
Seller Protection for PP? There is, if you provide tracking details or you sell physical items.
They have some kind of protection as to the allowed services tho, like the freelancing and stuff but you need to provide evidence.
SMM business model - I doubt they will help you on this. Worse, they will permanently suspend your account, so don't even bother to argue on this.

 

[dimitrivisser]

SMM business model - I doubt they will help you on this. Worse, they will permanently suspend your account, so don't even bother to argue on this.

My experience:

I was selling Instagram growth services.
A buyer filed a case. I won. It was not so difficult, because I could prove with screenshots that the buyer clearly lied. I was happy because I won the case.

A week later Paypal blocked my account including the funds on it because they thought I was selling Instagram followers. Selling followers is not allowed with Paypal.

It took me almost 3 months to get my account back. It took a long time to find someone at Paypal who wanted to understand the difference between "selling fake followers" and "promoting an account to get more followers".

 

[AdmiralKunka]

A year ago when i was dropshipping from aliexpress i had a customer who opened a dispute and he won. I added the tracking number to that transaction as soon as the order was shipped and it was showing delivered but he still opened the dispute and won it. Paypal is fucked up. I use Mollie now.

 

[BimTop]

Paypal is a no no for SMM. Collect money through other means like BTC or cards. I do this and I simply move away from people who can't use those means other than Paypal.

 

[SirSmash]

If you don't want refunds, don't take a payment method where refunds are possible. Take crypto, take cash.

Anything involving credit cards, be it PayPal or not, will almost always side with the buyer if they dispute with their card directly. The payment processor (and/or credit card company as they're sometimes one in the same, like AMEX) has a few options. 1) They side with their customer, keep them happy, get the money from you and process the refund. 2) They go against their customer, piss them off, don't get the money from you and hopefully their customer doesn't just say "F U credit card" and quit paying it entirely. 3) Keep their customer, and you happy, pay their customer back out of pocket and let you keep the money. Which option you think they're going to go with 99% of the time?

The thing to remember is anyone paying with a credit card, they're not spending their money. It's the bank or card issuers money until they pay the balance without dispute. If there's a dispute, they're not in the business of losing money, so you're the one taking the hit. That's just how this works. You can gain SOME protections by using a high risk merchant account which will be stacked with fees and are most often used by the adult industry. Now there's more incentive for them to keep you happy as you're paying exorbitant fees for the privilege; effectively paying more in fees for "insurance" of better charge back protection.

What I would do is basically "self insure" as a middle ground. If you're paying PayPal 2% (I'm not sure of the exact rate these days) and a high risk merchant would charge 8%, put the extra 6% aside in a separate insurance account which you use to pay yourself back on any disputes. Remember, everyone is in the game to make money, if you're paying for insurance then the insurance company is making money from you. So unless you fall wildly outside the normal expected dispute levels you'll be best off with self insurance. I used this system for many years vs paying for shipping insurance on packages and I made out FAR better than paying USPS/UPS/FedEx for every package. I however don't recommend this for things like auto (and yes you can do that if you can prove to your state that there's enough money in an account) or home owners, as chances are a payout would exceed any amount you've saved; but shipping and chargeback protection, you're likely best off self insuring that.