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How does paypal handle disputes regarding digital goods?

Discussion in 'Making Money' started by Heisenberg, Nov 16, 2016.

  1. Heisenberg

    Heisenberg Jr. VIP Jr. VIP

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    I have been selling some php scripts recently and never had any problems. paypal is legit and completely verified with a lot of history of selling with 0 disputes. one guy messaged me today saying he found some other seller and that he would buy his and wants a full refund even though I sent him the files and spent ~5 hours helping him, after saying 5 times he got what he paid and showing him from our conversation that I delivered promised he decided to say fuck you and start a dispute. As there is no licensing system and of course no backdoors I cant guarantee that he wont be using it. Should I present skype history to paypal?
     
  2. Ying Kong

    Ying Kong Registered Member

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    Hello, I would present the conversation to Paypal and right after that, follow up with a phone call. I find contacting them over the telephone and going over the matter once you posted your proof will get the matter resolved faster and in your favor.

    From my experience, (as a buyer only that has been ripped off once) a phone call makes the difference when it is a digital item because you get to talk to an actual person who will nip it in the bud straight away.

    I hope you get your matter resolved. It sounds like the customer wanted something for free.
     
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  3. Heisenberg

    Heisenberg Jr. VIP Jr. VIP

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    Sounds good, ill call them and explain everything. thanks
     
  4. xsshaxor

    xsshaxor Junior Member

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    I've been working with PayPal for 2 years and same as you, completely legit!
    After making a certain amount per month, you get a dedicated support manager. I've talked with them a lot about disputes and cases as I'm getting screwed over on a daily basis..

    A big part of my sales is also digital goods / services, and I can say that this is handled on a case to case basis.
    I've had times where a case was decided in my favor, and I've had times where they were decided in the buyer's favour.

    A few weeks back, one buyer opened a dispute for every single payment she made. Turned out she had been using
    her parents' PayPal, and charged back over $1K. You know.. I lost it all

    Why? No evidence. I was abroad and just did not have the time
    to handle this

    PayPal looks at it this way:

    Since it's always hard for them to know who to trust, they decide in the favor of the one that
    delivers enough documentation / evidence, to make them understand the case and trust you.

    I always create a PDF. I know you have the option to attach different files, but I always add
    one. A complete PDF.

    So.. you're gonna make a PDF with the following info:

    1) Screenshots / information about how you met the buyer, and so that
    PayPal can see that the buyer was well informed about what he's buying

    2) Your refund policy (yes, you should have this.. if you don't have it, try your luck
    create one real quick and add it to your website. PayPal never checks WayBack or
    archieved pages or something like that. It's kind of shitty to lie like that,
    but the buyer is a cunt as well so fuck him)

    3) Describe in text what you were selling, and why you cannot refund the buyer.
    Write that you're offering a digital good, that's intangible, and that this is the same
    case as one would buy an activation key for a game or something. It's irreversible.

    4) Add proof (screenshots) that you delivered the product to the buyer.

    5) Add additional screenshots of your conversation with the buyer.
    Always show PayPal that you respect the buyer and try to find a solution,
    PayPal LOVES this.

    This will take you about 30 mins, but it will basically guarantee that
    the case will be decided in your favor.

    Add the PDF to the case, and wait.

    There is no easier or quicker way to go about this. This shit unfortunately
    happens. Buyers suck sometimes.

    Good luck OP.
     
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    Last edited: Nov 16, 2016
  5. Heisenberg

    Heisenberg Jr. VIP Jr. VIP

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    I did as you said, created a PDF with screenshots of our conversation and provided with all other info.
    I called them to verify and they said I shouldn't worry and it will most likely be ruled in my favor because its not refundable since its digital goods.
    Also if they need any more evidence they will let me know, hoping for the best :)
     
  6. xsshaxor

    xsshaxor Junior Member

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    Great! Yeah don't worry about it, you'll most likely win this case.
     
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  7. Heisenberg

    Heisenberg Jr. VIP Jr. VIP

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    Woke up to this nice email :D
    Thanks for all the help!
    [​IMG]
     
  8. xsshaxor

    xsshaxor Junior Member

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    Whoo! Nice job there :)

    Now just create a template of that .PDF you made, so the next time it'll take you
    less time to submit the report.
     
  9. xbryan

    xbryan Senior Member

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    do you have also tips for disputing as a buyer?
    i was scammed alot before from buying facebook ad accounts,vcc's,etc...
    but when i dispute, sometimes they win the case.
    all i can do in the end is make a shitlist thread to get them banned on forum.
    i lost alot of money from these...