Paypal is not safe to purchase digital goods !

Hi Everyone,

I get an issue with an item I purchases online (digital services) and I created a dispute from paypal to get refunded because I was never received the services in questions.. and at my big surprise.. Paypal NEVER REFUNDS when it's digitals goods because they cannot verify if the service has been delivered or not.

In fact, I can open a site, sell digital goods (ie: facebook likes), people order, I never delivery services.. customers pay by paypal.. can open dispute but they will never be refunded due to Paypal TOS.

So it's easy to scam people with paypal payment for digital goods so be aware when you purchases digital goods or services with paypal !

 

Absolutely not true. Although paypal will not refund for digital products, you as a vendor have an obligation to deliver goods. If it is proved that the goods were not delivered then paypal will refund, and, if there are many complaints about a vendor they will probably put a hold on the account and cancel it

al

 

Yes this is what I though before it happen to me..

but effectively yes.. if paypal receive multiple complaints.. propably they will refunds the users. But on my part.. my money is gone !

 

You should do research first before buying such things online. What was the site you purchased on? What is the sites reputation online? Did you do a search for "sitename reviews" or "sitename scam" etc etc? Did you check their social pages, twitter, facebook etc? Can you see anyone else had same problem? Did you contact the seller first to make sure their business is active and they can fulfill orders? These are basic things anyone should do before buying such digital services online.

 

PayPal allows ANYONE to become a merchant. Therefor they have TONS of members from all different walks of life. Whenever an issue arises on the merchants end you will be treated no differently than all of the newbies, scammers, grandmas/grandpas, children, and the clueless because that is the majority of their member base. I wouldn't expect PayPal to do any sort of extensive investigation on an open case when the bulk of their problems are all petty and easily solved by an underpaid 3rd world employee. For that reason alone you should never use paypal if you are operating a serious buisness.

 

Yes I have make a lot of check before purchasing the services and everything look fair. I don't want say the name of the business because since yesterday (2 weeks later), I got an email from the administrator and the services has been delivered.. but the issue with paypal still stay..

I don't try to encourage people to don't use paypal.. I'm using it personnally daily without issue.. but just keep in mind that if it's a digital goods.. it's more difficult to be refunded in case of problem with the seller!

 

Tell that to Famous Footwear, Dollar General, Mapco Express, RadioShack, Spartan Stores, Abercrombie & Fitch, Advance Auto Parts, Aeropostale, American Eagle Outfitters, Barnes & Noble, Foot Locker, Guitar Center, the Home Depot, Jamba Juice, JC Penney, Jos. A. Bank Clothiers, Nine West, Office Depot, Rooms To Go, Tiger Direct, and Toys "R" Us.

al

 

Actually, they will allow almost anyone to become a member and almost anyone to upgrade membership to premier/business. But, becoming a Merchant is a whole different story. Among other things you need a credit check to become a merchant and you use a totally different website, it is manager.paypal.com Becoming a merchant is a process that will take about a week. I have had my merchant account with them for over 5 years and have never had a problem

al

 

I don't have to tell that to any of those companies....because they know...hence why PayPal is NOT their primary source to handle payment processing.

 

When you open a dispute, PayPal then requests a merchant to confirm that the service was indeed provided. Maybe they just managed to confirm it. Or maybe you were not specific enough when raising the dispute.

As I can see from my experience, PayPal VERY OFTEN resolves disputes in favor of the customer rather than seller, even for digital goods.

 

PayPal protection doesn't cover the digital or intangible products. So, Its definitely risky as the buyer point of view.

 

paypal is probably safer then any bank, the risk is the buyers and sellers...

1: You have buyers you can trust.
2: You have buyers that you can not trust.
3: You have sellers you can trust and will make good.
4: You have shady sellers that just look for a quick buck.

then you have paypal.

 

actually your statement is untrue; If we are talking about non-tangible products/services, then paypal will not
look into any complaints since their policy states that such goods are not covered, then it is only fair
that they do not look at those complaints either as it would be unfair to favor just one side; I would say
that paypal rarely looks at such complaints nor will paypal issue a refund. If you submit a complaint, then
decide to escalate the complaint, then it will be immediately closed because it is non-tangible goods.
It will be up to the seller if he wants to honor such refunds; now this comes down to him wanting to
be a reputable seller or if he is just a pig, and his only goal in life is to suck money from buyers.

 

its be safe to deal on line

 

I am using PayPal from several years and i didn't face any issue with it. I mostly use it buy services and products online and also for receiving payments online.

 

Just recently I was refunded 90 bucks for something I purchased and downloaded.

I had a strong case and the other party didn't care to reply to paypal's emails. So they do refund, it all depends on what and why.

 

Exactly. As I said, in case of a dispute the seller must prove that the service was provided or refund the payment. So, it's not completely true that you are not covered at all, as for digital goods.

 

I don't think so it may in some cases where the hacking chances are very high ...

 

PayPal does give the customer money back if it's a digital good, we've had disputes even after they've got the license, and it depends who is on the end of the call. But you can't say "Intangible goods" if you are claiming against the vendor but if they have proof that you have been given it by emails / invoices you won't win it as a customer. Same with credit card chargebacks, if the vendor has proof that it was you and you got it, the customer is more likely to loose it and you win it. But it works both ways.