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  Post #1 (permalink)   09-11-2012, 08:43 AM
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Have you ever won?
Do you think PayPal makes for an insecure way to accept payments from clients due to risk of them abusing/using your services and then running?
Are you looking or using another service that offer you more protection from such issues?
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  Post #2 (permalink)   09-14-2012, 10:06 AM
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Can you elaborate it a little bit more? To be honest, we have not experienced any problem with PayPal till the date.
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Last edited by paullopez : 09-14-2012 at 10:13 AM.
 
 
 


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  Post #3 (permalink)   09-14-2012, 03:14 PM
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Quote:
Originally Posted by paullopez View Post
Can you elaborate it a little bit more? To be honest, we have not experienced any problem with PayPal till the date.
Basically, client buy hosting, decides to charge back after using your service for spam and abuse and they walk away with their money.
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  Post #4 (permalink)   09-15-2012, 10:23 AM
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This is not a problem with paypal however. This is a problem with VISA and Mastercard because they encourage this behavior. If you don't want chargebacks - don't accept credit card funded payments.
 
 
 


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  Post #5 (permalink)   09-15-2012, 10:30 AM
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Quote:
Originally Posted by rds100 View Post
This is not a problem with paypal however. This is a problem with VISA and Mastercard because they encourage this behavior. If you don't want chargebacks - don't accept credit card funded payments.
You can still do the same with PayPal even without a CC.
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  Post #6 (permalink)   09-15-2012, 11:01 AM
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No, if the payment was not funded by credit card, there cannot be a chargeback.
There can be a dispute, but you can win the dispute by writing that this is an intangible item / service and paypal's user protection doesn't cover intangible items.
 
 
 


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  Post #7 (permalink)   09-21-2012, 10:46 PM
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I asked Paypal about this and they told me that by not covering intangible items, the person that settles the dispute can decide. this means that 2 different disputes with the same facts can be resolved differently
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  Post #8 (permalink)   09-22-2012, 04:19 AM
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Quote:
Originally Posted by rds100 View Post
No, if the payment was not funded by credit card, there cannot be a chargeback.
There can be a dispute, but you can win the dispute by writing that this is an intangible item / service and paypal's user protection doesn't cover intangible items.
as its intangible then under paypals policies it is not covered either for the seller or buyer.

PP seller protection or PP buyer protection do not cover intangible items, so nether party is covered. This however works 100% in any scammers favour as a person (scammer) can set up a website saying they will sell digital items using PP top take payment and once you pay and you dont receive the item then PP will do nothing as its an intangible item, so the scammer has your money and you have nothing. This is why several years ago the FSA in the UK refused to renew PP registration as their policies do not offer enough protection to the consumer. This is why PP is now registered in Luxemburg
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Last edited by easyhostmedia : 09-22-2012 at 04:25 AM.
 
 
 


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  Post #9 (permalink)   09-22-2012, 07:31 PM
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We personally havent had this issue much. As long as you monitor your servers and promptly detect and suspend spammers, we know who they are. If they decide to chargeback , that is perfectly okay. We will give them a full refund. We have a no tolerance policy for spamming anyways.
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  Post #10 (permalink)   10-09-2012, 11:26 AM
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Originally Posted by samirj09 View Post
We personally havent had this issue much. As long as you monitor your servers and promptly detect and suspend spammers, we know who they are. If they decide to chargeback , that is perfectly okay. We will give them a full refund. We have a no tolerance policy for spamming anyways.
Indeed, it's much easier to just get rid of these kinds of people rather than drag it out.

It's like loaning people money. If a friend borrows 50 bucks and he keeps giving you excuses and dodging you about it, it's not that you lost 50 bucks. It only cost you 50 to get rid of a deadbeat ex-friend.
 
 
 


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  Post #11 (permalink)   10-09-2012, 12:46 PM
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Quote:
Originally Posted by samirj09 View Post
We personally havent had this issue much. As long as you monitor your servers and promptly detect and suspend spammers, we know who they are. If they decide to chargeback , that is perfectly okay. We will give them a full refund. We have a no tolerance policy for spamming anyways.
if they use paypal and try a chargeback, just call paypal and say it was an intangible item and they would lose.

If they try that through their back, just provide your payment processor/bank with a copy of your TOS (spam policy and non refund policy for breach of TOS highlighted) prove that the client accepted these TOS and evidence of their spamming and they would lose.
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  Post #12 (permalink)   10-09-2012, 03:03 PM
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Yes, paypal is unsecure for buyers and sellers.

Sometimes you will won a dispute and sometimes you will lose a dispute(monkey rules ) and If you provide a virtual product then try to filter fraud orders.

Alternative: LibertyReserve - non reversible
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  Post #13 (permalink)   10-09-2012, 03:12 PM
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Quote:
Originally Posted by kunnusingh View Post

Sometimes you will won a dispute and sometimes you will lose a dispute(monkey rules ) and If you provide a virtual product then try to filter fraud orders.
never lost a Paypal dispute as webhosting is a service (intangible) clients and ex clients have tried, but as soon as i inform PP that it is an intangible item i win
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  Post #14 (permalink)   10-09-2012, 05:28 PM
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I wanted to give Liberty Reserve a try, but their support is horrible. It took them a week to get back to me on how to setup their system to work with WHMCS. That told me real quick these people are not ready to be seriously considered for something as important as money.

Imagine the lag time in answering something about your money and God only know how long it would be tied up.
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  Post #15 (permalink)   10-10-2012, 06:37 AM
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The last wiardest think I know last from Paypal is - Paypal charge fees on dispute money!- When the client closed the dispute paypal deduct $8.65 from that dispute resolved money.. I mean that call wiard!

- Paypal can limit your account for 2-3 flagged payments. I mean I know that's maybe not your fault but still!

- I'm still searching for something better that Paypal.
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