Sold some beats for $360 and 3 days later the customer filed a chargeback claiming the purchase was unauthorized. Anybody else go through this? I have no doubt he just abused the system, really frustrated.
Make sure that you post on your website that there are no refunds on digital sales and make sure you add that for the checkout screen where the user "checks" the box. This is not 100% failsafe but it could help you in certain situations. I feel for you man but it has happened to nearly all of us.
@Mike' Sold some beats for $360 and 3 days later the customer filed a chargeback claiming the purchase was unauthorized. Anybody else go through this? I have no doubt he just abused the system, really frustrated.
I have literally done over 10 thousand sales transactions using paypal and this has happened maybe 20 to 30 times to me. I can't complain about the ratio but it still annoys me. I have won maybe 10 times. As' @Darkair' mentioned, if the scammer (yeah thats what they are) tells their credit card company that it was unauthorized then its much harder to win. Allow me to explain why. Paypal will go to bat for you because every time a scammer does this, their credit card company charges Paypal $200 !!! So this is why Paypal will charge YOU $20 when this happens because they are basically saying that you gonna have to pay %10 of that $200. IMO, credit card companies side with their client because thats an easy $200 they get awarded every time they do. I have literally sent PDF's containing screen shots of email conversations between me and the scammer where he not only acknowledge he received the digital goods ... but ALSO them saying how much they loved it...AND..I even sent video of the scammer playing the purchased item on their website...lol. I mean EVERYTHING COVERED. And what does the Credit Card company do.... you guessed it, they collected their $200 from Paypal. I learned all this after finally talking to a paypal agent that also sells digital goods and they too were frustrated because it happened to them also. She informed me that sending any video as proof won't even get looked at, so make screen shots of any evidence you have (conversations etc...) and send that. Now just so you know, once you send it, almost immediately you will get a email from Paypal saying you lost, this is normal, but you still have the opportunity to win because the decision is not FINAL until about 75 days. ALSO, ask them can they waive the $20 fee. Explain to them that they buyer is just doing the chargeback scam and they may have sympathy because they have heard/seen this happen many times.
Well, I won the case but then got it reversed back to the seller's favor. I chatted with Paypal and they said the credit card company can do this all day, all they need to do it re-open the case and they get the money back. What's the point in fighting this seriously.
@ProducerTag' Thanks for the input, the fee was waived.'
@Darkair' Yup, that's the loophole
@fusion' I wonder if the credit card companies are lying about the $200 charge, that amount seems excessive and downright fraud.
The Credit card companies are making a KILLING off chargebacks. This is why its very hard to win against a scammer that does this. Imagine how many times this happens daily...and they collect $200 each time. They simply side with the scammer, and the credit card company decision trumps Paypals.