A word of caution

[Jim VB]

I have noticed a recent move for sellers on the BST to want Paypal payment only as a "gift option." I understand the reason behind this, but want to offer a word of caution to all buyers who do this.

If I understand the Paypal info correctly, you're making a trade-off by using this option. Yes, the recipient will not have to pay the paypal fee (3%, or whatever it is) but the buyer will have zero protection if the deal goes bad.

If you know the seller and have done deals before, you'll probably be fine. If you don't, you're taking a chance.

Just a caution when using "gift option."


(Note - This post was a general thought and NOT directed to any specific sellers!)

[Abravefan11]

Thank you Jim for the info.

I have been wondering what the catch was with the "gift" option. I have seen it mentioned quite a bit lately in others posts and didn't think Paypal was kind enough to give everyone a new option that would skirt their fee for free.

I personally still prefer not to use their service at all.

[usernamealreadytaken]

I understand the reasoning for wanting "Gift" because the recipient doesn't pay any fee and I too was a little concerned with how that would be handled in a dispute. However, if you select the funds to come from a CC vs. a bank tranfer you pay a small fee but (I think) the CC would back you up regardless because it was charged directly to the card. Any thoughts?

[Jim VB]

Originally Posted by usernamealreadytaken

I understand the reasoning for wanting "Gift" because the recipient doesn't pay any fee and I too was a little concerned with how that would be handled in a dispute. However, if you select the funds to come from a CC vs. a bank tranfer you pay a small fee but (I think) the CC would back you up regardless because it was charged directly to the card. Any thoughts?

We'd probably need a lawyer AND an accountant to figure that out.

[Chicago206]

Originally Posted by usernamealreadytaken

I understand the reasoning for wanting "Gift" because the recipient doesn't pay any fee and I too was a little concerned with how that would be handled in a dispute. However, if you select the funds to come from a CC vs. a bank tranfer you pay a small fee but (I think) the CC would back you up regardless because it was charged directly to the card. Any thoughts?

From my understanding, even if you tied the "gift" to a CC, you still have no protection. The reason being that there was nothing "sold". You "gifted" that money to the receipient and therefore have nothing to dispute (as far as not receiving something in return). It is a risky way to buy items, but again, its no different than sending a USPS money order, or a check. Trust is the KEY issue here.

[Rob D.]

I demand an apology, and I've never even requested a buyer use the gift option.

[Jim VB]

Originally Posted by Rob D.

I demand an apology, and I've never even requested a buyer use the gift option.

Throwing the flag on that one! You have to start by demanding that a moderator lock the thread. Otherwise your demand doesn't count.

[Myachelydra]

Thanks for the info Jim.

[wake.up.the.echoes]

I see your "request to lock" this thread and raise you a "please ban the OP (for 30 days)."



Kidding...

Great information.

[Exhibitman]

Originally Posted by Jim VB

Throwing the flag on that one! You have to start by demanding that a moderator lock the thread. Otherwise your demand doesn't count.

And you didn't say "mother may I" beforehand.

As far as Paypal gifting when it isn't just pay the damned 3% and be honest; life is simpler that way.

FWIW, I think Paypal provides a good service to those of us w/o merchant accounts to take credit cards and I have decided not to give a discount any longer for check or MO payments instead of Paypal payments because taking a check to the bank is not worth my time and trouble as compared to the Paypal fee.

[Jacklitsch]

Originally Posted by Rob D.

I demand an apology, and I've never even requested a buyer use the gift option.

No. You just demand that the buyer send a check.

[Rob D.]

Originally Posted by Jacklitsch

No. You just demand that the buyer send a check.

Please take your place in the apology line.

[JP]

Yeah, if you gift someone through Paypal, the option to dispute it is not even available. And if you fund it with a credit card and try to chargeback, you'd be trying to take money back from Paypal, who will have every recourse necessary to ensure you DON'T succeed. I only gift on BST here, side deals with people I've done deals with in the past, and eBay "best offers" (to provide incentive for sellers to accept my bid).

[usernamealreadytaken]

The CC shouldn't care who/what/where other than the fact you were defrauded. Not only any supporting documents that the money was for a purchase (i.e. emails) but even in the PP message itself. (if it says "Happy Birthday!!" you are screwed) If you message "For 1914 CJ Cobb PSA 2. Please ship to:" PP would have to see the writing on the wall. Feedback?

[Chicago206]

The thread starter is absolutely correct! However, sending paypal "gift" is NO DIFFERENT than sending a USPS money order, or a personal check, or a certified bank check, or cash. There is little to zero recourse with any of those options either. It all comes down to trust as the OP has stated...but thats with almost any aspect of any deal not specific to "paypal gift". Just my 2 cents.

[Jim VB]

Originally Posted by Chicago206

The thread starter is absolutely correct! However, sending paypal "gift" is NO DIFFERENT than sending a USPS money order, or a personal check, or a certified bank check, or cash. There is little to zero recourse with any of those options either. It all comes down to trust as the OP has stated...but thats with almost any aspect of any deal not specific to "paypal gift". Just my 2 cents.

I believe USPS money orders offer some protection, depending upon how bad the deal goes. They may be a nightmare to navigate, but Federal Postal Fraud Laws are kind of important.

But you're right. If a seller wants to rip people off, they always can find a way.

[Chicago206]

Originally Posted by Jim VB

I believe USPS money orders offer some protection, depending upon how bad the deal goes. They may be a nightmare to navigate, but Federal Postal Fraud Laws are kind of important.

But you're right. If a seller wants to rip people off, they always can find a way.

Yes, Federal postal fraud IS a serious issue. But if I sell you an item, and you send me a USPS money order for $500. And I send you nothing in return, it would be nearly impossible to prove that you got nothing. I could very easily say I sent out your item in a plain white envelope, I have no idea what happened! At least with regular paypal, they will immediately side with the buyer and place all the burden of proof on the seller. This opens a whole new can of worms for scam artist buyers though!