OK - So Why is Paypal something to watch out for?

[VanguardDomain]

Please help me here or point me in the right direction.
Why is Paypal not safe for Domain Transactions.
I have done all of my domain sales on PayPal - and have yet to have a problem. Obviously my transactions are not over 1K. Most are under $75.
What is the risk associated with large Paypal transactions?
They Pay, You Push. Can you get scammed and if so how?

Thank you for your time.

Neil

 

[Jarrall]

The risk involved is that:
They pay you with paypal. You push the domain.
Customer is now in posession of domain. Customer then either files a chargeback on their credit card, which will end up removing the funds from your paypal account, or they file a dispute saying that they never received nor purchased a domain.
Also you run the risk of being paid with stolen funds, or a stolen paypal account.
My apologies if I have left something out, no coffee yet

BTW, I forgot to mention, even if you withdraw the funds from paypal to your bank account, Paypal can remove the "tainted funds" from your bank account at their discression.

 

[draggar]

Yet someone can sell a stolen domain or sell you the wrong domain and Paypal will refuse the refund because "they don't do domains".

It's a system that is strongly favored towards scammers and thieves in regards to domain sales, no tracking number, no proof of delivery etc..

 

[VanguardDomain]

Hey - I've had that happen twice. Non domain items shipped to Malasia
1st time I lost $600

2nd time I happened to be flying to the state the bank was in - cashed a 2k check from same buyer and sat on it for a year. Nothing ever happened. I made $1400 of of a con artist. At least That is what I think Happened. LOL I never looked into it further. Am I a bad person? lol

 

[WINNA]

PAYPAL is a rort. I am having enough problems with them and GODADDY in trying to get 2 domains back that have been pushed into a dodgy account that I can't retrieve. PAYPAL took back the completed funds that were in my account and now I have to take action on why I feel the transaction was not completed. PAYPAL have no idea what a domain name is let alone why they withdrew the funds from my account. All I want is my domains back and DNForum.com held accountable for not giving the culprit negative feedback when they were alerted when this person scammed another DNForum.com member.

 

[Gerry]

From Personal Hardcore experience:

If you purchase a domain and pay via paypal and the seller does not transfer, tough luck. PayPal does not investigate "non tangible" items. Therefore, they will not even waste their time with it.

If you purchase something and use credit card, you may feel that you are safe and have some insurance. If you contest an action with your CC provider they may credit your account. It may be a month or more down the road, but PayPal will resubmit that charge to your CC and your CC will slap you with the charges. And they will stick! PayPal has so much control over Visa, MasterCard, AmEx that PayPal has a TOS with them.

You end up negotiating with your CC and you'll be lucky if they agree to drop half of the bill.

This can be a monster nightmare.

 

[Luke]

What about paypal balance payment ?