paypal claim and cancel

[giga]

found it on sythe.org, posted by dingo212
its a pretty good method to not get scammed on paypal

Dingo212
01-22-2007, 04:05 PM
We all know that Paypal is easiest method when coming to buying or selling mills. However, it also got something deadly, called Charge Back feature, where the person who paid you can reverse the payment.


How is this done?

We will go to the base of this scam. There is two kinds of funding methods to Paypal.

1. Fund by Bank/Other Paypal accounts/any other method.
2. Fund by CreditCard

Now If the person funded his/her Paypal with method #1, and then sends you cash AND then Claim & Cancel, then the cash is irreversible; no matter what. So you are safe!

However, if the person funded his Paypal with a CC [Credit Card]then it can be reversed, regardless of him filing a claim and canceling it.


Scam Explained

In Paypal, the claim and canceling method is effective. Even in CC payments, Paypal itself won't really let you claim it back once you Claim and Cancel.

However, the person who sent you cash can call the CC company and say he didn't authorize that specific payment & their card is stolen. Then, the Credit Card company will reverse the payment towards Paypal & then Paypal will reverse the payment from you.

Another way this is done is sending the cash via a different IP and then filing a report with Paypal saying they didn't authorize that payment & someone else was in control of their Paypal account. Both methods works for scammers; resulting in high charge back rates in Paypal.

This can happen regardless of you have money in your Paypal account or not. So if you did something like, transfered the money to another account, then that will be reversed too. Hence you end up getting scammed/your account will have negative balance.


How to prevent this?

There is two ways:

1. Having a Paypal account that won't accept Credit Card payments.
2. Having a disclaimer in your 'selling gp' thread saying that you will NOT accept CC payments.

Method #1

http://img503.imageshack.us/img503/3656/90582724jn2.png

Only Premier/Business accounts can accept Credit Card payments in Paypal. So if you keep your account as a basic one (unverified & without adding a Credit Card), you simply cannot accept CC payments and you can clearly say to your buyer, "Sorry bro, I don't accept CC payment" and not do the trade.

Even if they send a CC funded payment to your personal account, now you know it will be charged a transaction fee.

How else you will know other than transaction fee?

When someone sends you cash, in the "details" page of that transaction check out for this feature. If it says "ineligible" as noted in the picture, that means his/her account is not verified/not a premier account aka not funded by CC.

http://img509.imageshack.us/img509/8098/43335190ng3.png



Method #2

In your mills thread, clearly say that you won't accept any Credit Card payments via Paypal and if the buyer still sends it, then it would be their responsibility to get it back.

I wrote one disclaimer to copy and paste in your thread:

I will not accept Credit Card funded payments in Paypal. If your Paypal account is directly funded by yours/your parents credit card then do not bother contacting me. If you do send me money using Credit Card, I am not responsible for it & its up to you to get it back [I will not send it back] However, if your Paypal is funded by a Bank, I will do trade with you. You must know how to claim and cancel. If not, read this thread for more info: http://www.sythe.org/showthread.php?t=149307

Say, someone comes up to you & agrees to the above disclaimer. After that, he sends you cash but how would you know his cash is Credit Card funded or not?


How to find Credit Card funded Payments?


Way #1
This method is yet to be confirmed but simple. If someone sends you a Credit Card funded payment then it would have a fee deducted from it! If your buyer had money in his Paypal obtained by Method #1 [above] then Paypal would not charge you that extra commission since sending from Paypal to Paypal is free. However, Credit Card funded payments will be charged a small percentage of fee (about $3 per 50 bucks sent)

http://img267.imageshack.us/img267/4...tledfp5wd1.png

How can you check if a fee is deducted on the payment you are receiving? Well, when you receive the payment, click on the detail link (shown below) and you will see the payment in a new window along with other details. If a fee is deducted, then it will show below the payment and Paypal will deduct that commission from your payment and show you the 'net payment' which you will actually receive.

http://img50.imageshack.us/img50/8175/untitledvx3.png

If someone still sends you a payment via Credit Card fundings to your Paypal account & later says they didn't read your disclaimer then do not send it back. I repeat, do not send it back.

Why? because what you send is, your own money, they can still claim their own money back [means they will get your money + their money] So tell them to claim it back themselves and point to your disclaimer. This is because, according to the rules, its not your fault.


How to Check for Stolen Paypal Accounts

There is 2 kinds of paypal account scams. One being the paypal account having a stolen credit card added and another one being the whole paypal account is someone else's than that of the person who is doing the trade with you.

- The first part, that is the above guide tells you how you can escape from Credit Card fraud. However to check if the account belongs to the person who claims it as his/her, you need to read on.

- Ask the person's paypal email account that he/she is going to use to send you the cash. Then send a message (email from your inbox) to that email address a code...or a secret message and ask the person to read it back to you.

- Now if the person owns that paypal account then he would own that email address too, means he can read the secret message/code. If not he/she will fail, then that account is a stolen paypal account.


How to Claim & Cancel in Paypal *Finally Here! YAY?*


http://img482.imageshack.us/img482/5204/32014677lf5.png


http://img482.imageshack.us/img482/7899/92284341nx0.png


http://img401.imageshack.us/img401/1025/23034973vg0.png


http://img401.imageshack.us/img401/1039/22690682an4.png


http://img169.imageshack.us/img169/6965/78682116rg6.png


http://img169.imageshack.us/img169/8162/57760492le1.png


Now, you finished Claiming, for the canceling part, follow the instructions again!


http://img482.imageshack.us/img482/9852/82750248ud7.png


http://img300.imageshack.us/img300/3024/66574857pe1.png


http://img300.imageshack.us/img300/4910/79289465be1.png

Hope that helps you! If it does, a thank you reply is welcomed and please do PM me any new problems you are getting from paypal.[/b]

[moemoneyman]

You can still get scammed.

As long as the seller can't prove that the item that he sold was a tangible item (meaning it was shipped), he can get chargebacked on. Credit payment, non credit payment, it doesn't really matter. The claim and cancel method just delays the process. He can always call paypal technical support and say that he messed up or the person fooled him into filing a claim and then canceling.

Claim and Cancel method . I invented that method .

Bottom line is, Paypal is just not safe for sellers and Western Union is not safe for buyers. You have to make compromises.