If you’ve ever gone through mental anguish with Paypal because of charge backs or claims filed against you and you’re looking for a solution, read on.
For me it was the latter. A guy from the Las Vegas area bought some great software from me which works for anybody who puts the effort into reselling it but after a month of using it, he didn’t make any money but he did have people sign up under him, they just didn’t pay. It happens. In the end, he gave up on himself and needed someone to blame so he files a BS claim saying he never received the product.
When he bought the software, I helped him with an orientation call making sure he had everything set up correctly plus I even paid for an ad that generated leads for him on day one. Everything was going tickety boo until I get this email Feb 2nd:
My first thought was, you gotta be kidding me. I genuinely helped this guy. My intention is the same for ANYONE who buys something from me: I want to provide value and make sure they’re getting off on the right foot so they can help others and make money too. So how did I win this case and how can you do the same if a buyer (or buyers) claim a file against you? It’s actually quite simple and although this worked for me, obviously there’s no guarantee it will always work because it is Paypal after all, it’s their rules but here’s how you can protect yourself:
- Once a purchase is made by your buyer(s) send them an email if they have any questions about the product they just received. It’s important you send it from your email address associated with your Paypal account. Do this for EVERY sale, it only takes a moment and this alone could save you a big headache later.
- If it’s a physical product also get a tracking number that requires a signature. If it’s a digital product, see #1.
- The following is an OPTION, you may not need to do this but it will help you hold on to your money: If your Paypal account is linked to your bank account, call your bank and get a charge back ASAP, you’ve got 5 days after a claim is filed against you. Most banks know about Paypal’s shenanigans and will side with you, it’s literally done at the press of a button. Mind you, once you get your funds back it’s not over. Open a new bank account and transfer the funds from your old account then close it so they can’t get at it. Also, cancel your credit card(s) associated with your PayPal account and send them all your attachments/screenshots of your dealings with the buyer. That said, even after I did this, I still get this email:
I was livid. I didn’t realize fully how many people this happens to. If you google Paypal and ‘buyer scam’ or wording to that effect, you’ll see what comes up. Clearly they favor the buyer, maybe 9.9 times out of 10. That’s just wrong, it’s like legalized mafia for crying out loud.
4. What finally tipped it in my favor was getting an email from the software designers that made the product I sold. It took awhile but they came through. They sent me the digital agreement that also proved the buyer signed into the back office 114 times over a 30 day period! That’s the key, get a THIRD PARTY to send you proof somehow that the buyer received the item. Here’s the email I just got from Paypal:
This victory was bittersweet, it was truly a pain in the arse. The moral of the story? Be careful, do your best to protect yourself and better yet, don’t use Paypal. Ever. I need a hug, Happy Valentines Day.