Announcement

Collapse
No announcement yet.

How Safe is a Confirmed/Protected Paypal payment?

Collapse
X
 
  • Filter
  • Time
  • Show
Clear All
new posts

  • TMS Clint
    replied
    I imagine we all have our own set of "flags" for fraudulent transactions specific to our own stores and industries. I have been in a situation similar to you; I received an order that had several fraud flags in my mind... but it was eligible for Seller Protection. So I decided to ship the order because, at the time, I was worried that I was treating every online transaction as potential fraud and that it was unfair to our clientele. After shipping the order, two more came in from different customers fitting the same fraud pattern and it solidified that the first was fraud as well. These were all Seller Protected payments through PayPal, but I cancelled them and reported them as fraud to PayPal. In my case, I was protected on the order I fulfilled when it came out as fraud.

    My advice is to report it as potential fraud to PayPal if you're not certain, and report it as definite fraud if you are certain. PayPal can place a hold on payments and run a verification on their side. It may take up to 48 hours, but if it comes back "confirmed," even if it is fraud, you should be covered by Seller Protection since you pointed it out and they still gave you the go-ahead.

    Leave a comment:


  • elightbox
    replied
    Too bad to hear this about Seller Protection. I now require PayPal for all international orders because of the Seller Protection. I assumed per PayPal policies, that if I had a valid delivery confirmation that I would be protected. I guess it is not so simple as that.

    Leave a comment:


  • Luxlife
    replied
    Here is link to information about PayPal settling a class action lawsuit. We received notification in February directly from PayPal.

    https://topclassactions.com/lawsuit-...on-settlement/

    We had a number of outrageous experiences with PayPal cheating us out a lot of money. For example, After placing our funds on hold, one of their reps called and told us they would not honor the Seller Protection because it would cost PayPal too much. We know from experience, the Seller protection can be bogus.

    Leave a comment:


  • cbsteven
    replied
    I had three more nearly identical transactions come in so I gave PayPal a call. They said they can definitely see the fraud red flags, but that I would be protected for non-delivery or unauthorized claims. She did bring up the point that there is risk on my end if they say that the item is not as described, something like that. She later said that if it was her she probably wouldn't ship the orders.

    Leave a comment:


  • cbsteven
    replied
    Originally posted by DeanP View Post
    That's exactly the kind of transaction that you would want to use PayPal for. If you have a PayPal business account you can just call PayPal and talk it over before you decide. As for the transactions, you're likely just seeing a coincidence. I'm sure that if you researched the transactions and originating IPs they would all have nothing in common. Good luck!

    Actually Dean on the two most recent ones, the IP's have a lot in common:
    174.17.5.39
    174.17.12.8

    Both are from the same IP block of the same ISP in Monroe LA. Neither order is from Louisiana.

    I'm going to go with my gut and cancel the two I am most suspicious of and let the third go.

    Leave a comment:


  • DeanP
    replied
    That's exactly the kind of transaction that you would want to use PayPal for. If you have a PayPal business account you can just call PayPal and talk it over before you decide. As for the transactions, you're likely just seeing a coincidence. I'm sure that if you researched the transactions and originating IPs they would all have nothing in common. Good luck!

    Leave a comment:


  • ohc
    replied
    Unless it's something out of stock elsewhere and people are trying to get it for the holidays.

    Leave a comment:


  • nicolas_t
    replied
    you might not get 'screwed' in the long term. If the 'Seller Protection - Eligible' is there and you use a valid tracking number, you can fight back a chargeback when there is one.

    but do you want to take that chance? If your 'nose' tells you in a fraudulent transaction just don't take that chance and cancel the order. That will save you a lot of headaches later.

    'MSRP that you can find for cheaper easily, no reason to buy from us. Two of them selected Express shipping, which is a minor red flag in my book, when combined with other factors.': I would say that is a major red flag

    Leave a comment:


  • cbsteven
    started a topic How Safe is a Confirmed/Protected Paypal payment?

    How Safe is a Confirmed/Protected Paypal payment?

    I've been selling or a long time and have a pretty good nose for fraud. Over the weekend I had three orders come in for products that basically never get ordered. We only have them on our catalog for completion's sake - they're expensive items listed at full MSRP that you can find for cheaper easily, no reason to buy from us. Two of them selected Express shipping, which is a minor red flag in my book, when combined with other factors.

    All three paid using PayPal, and the payments say 'Confirmed shipping address' and 'Seller Protection - Eligible'.

    My gut says that these orders are not legit, but I'm also not sure what the scam is. If I send using FedEx with insurance and a signature required, I don't see how I could get screwed over.

    Any insight from others? If it was just one order I'd probably let it go through and just watch closely, but three seems like too big of a coincidence.

Working...
X