eBay, PayPal, e*pulse Informative - eBay/PayPal/e*pulse Internet Fraud

Review by sosnovy on 2005-12-31
I recently purchased 2 items from a seller, on eBay. Although the items were up for auction, I used the "Buy It Now" option and payed by credit card, through PayPal. I received 1 payment confirmation from PayPal and 2 "payment received" confirmations, from the seller (e*pulse). All shipping information was completed, at the time of sale and was also verified in the payment confirmations (billing and shipping addresses are the same). The items were not delivered and I contacted the seller, by e-mail and asked for shipping confirmation and a tracking number. After 2 days of no response, I filed a complaint with PayPal. I received a form letter (by e-mail) alledging that they were "investigating" the complaint. Within a few hours of filing the complaint, I received an "awaiting payment" e-mail from the seller. I then discovered that the seller had changed the status of my eBay "summary"! The items I already paid for were now listed as "awaiting payment", even though this account is managed by PayPal and they had numerous payment confirmations on file. PayPal allows sellers to manipulate your online profile, at will but the buyer is limited to an 80 character "feedback", against the seller. It appears that the trailer park based eBay and PayPal organizations are designed to not only protect but promote unethical business practices and internet fraud. I will pursue my complaint against all 3 parties through the FBI Internet Fraud Division at http://www.ifccfbi.gov/index.asp.
Comments:1 Replies - Latest reply on 2006-01-01
Posted by wary-consumer on 2006-01-01:
Well if you haven’t figured it out by now, eBay/ PayPal do not really care about the buyer- they care about themselves. An in depth review of their so called protection programs shows their true intent to protect the company from loss, or in some cases profit from fruad. Prima facia to the common man the programs appear to help make online buying safe or less risky, but in reality create a vehicle for unscrupulous persons to exploit. Ebay even has the audacity to make money off of victims during the feedback withdrawal process with their mediation partner Squaretrade. They charge $30 to have a retaliatory negative feedback comment withdrawn, when they know the person who left it was a fraud and punishing you for exposing him/ her through the only vehicle eBay allows to warn others, their feedback system. Once you learn the lesson the hard way about the loopholes eBay/ PayPal have created for fraudsters to exploit, and still yet they do nothing to fix it. One almost gets the feeling that they were designed to aid an abet fraud, as they do not automatically suspend sellers listings once a complaint is lodged, but rather allow numerous others to give money to seller while you complaint sits in a queue for eBay’s Safe Harbor Team get their act together. There are many more new buyers to take your place…Bottom line, you are replaceable and don’t matter. All they really care about is collecting fees from the sellers in the form of listing fees, final value fees, and transaction fees for using their service. Their Buyer Protection Program is designed to delay the fraud victim from filing a chargeback with the credit card company within 90 days. They say they are investigating, but in reality are doing nothing besides “sitting on it” until your credit card chargeback rights expire. If the seller has cleared out his/ her PayPal account before you filed your claim, PayPal will deliberately try to do this to protect their profits at the victims’ expense. Also, one more thing you should know about PayPal’s dirty little secret; Now since you have filed your claim as Non-receipt, all the seller has to do within 10 days is give them a tracking number that shows something (anything) was derived to you…Yes even an empty box!!! Then PayPal will close your claim stating you have received something, and this is now a goods issue, not a non-receipt issue. And since you can only file one claim per transaction, you are SOL: that is if they have not drug the so called “investigation” out past your credit charge chargeback rights expiration (90days usually). For more information on how this works, see my article on this site entitled “PayPal Buyer Protection Program...has a loophole=SCAM!!!!” dated 9/30/05.

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