20 replies
hi warriors,

I would like to ask about an issue I am having. I have a website similar to a fiverr. One guy made a purchase. 3 days ago and marked it as completed in the same day.

He never contacted me, now 3 days later, he is submitting a claim that he didn't receive the item and requesting a refund through PayPal.

Since he marked it completed I already released the money to the seller.

I know $5 is not a big money, but this is not about the $5 for me. He already pass by me and ignored my TOS and at some point trying to challenge me by going directly to PayPal.

What should I do regard the dispute ? should I deny it ? the item he ordered with help in a programming issue which according to PayPal TOS (they don't cover it in the first place).

I don't want to open the door for a refund with no reason (My website guarantee the transaction with limitation).

I would like your advice what should I do toward his action.

One more thing I forgot to mention, this buyer didn't register with his email in the website to completed the purchase (he registered with one of those temporary email services).
#dispute #paypal
  • Profile picture of the author tpw
    Call PayPal on the phone and explain the situation to their reps.

    If the transaction wasn't covered under PayPal buyer protection, then they can end the dispute immediately in your favor.

    The additional facts in your case will work towards your benefit also.
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  • Profile picture of the author onegoodman
    Thanks tpw, honestly that didn't come to my mind I can actually call them

    I will give them a call tomorrow. Thank you
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    • Profile picture of the author WillR
      Originally Posted by onegoodman View Post

      Thanks tpw, honestly that didn't come to my mind I can actually call them

      I will give them a call tomorrow. Thank you
      I would advise against calling them. From the way you described your website it would most probably fall into the 'high risk' category for Paypal so I would not bring any unnecessary attention to it at all - especially not for only $5.

      It also depends how much your time is worth to you. It sounds like you've already wasted time with this guy and any further time you waste is only going to hurt you, not him. Just refund him the $5 and let him be... get back to more important things. He's obviously an idiot and someone will sort him out sooner or later.
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  • Profile picture of the author nicheblogger75
    My experience shows that it's just better to refund the money and get the dispute closed so Paypal doesn't consider a copmplaint on your account. In the "digital" world, it is just something that comes with doing business.

    I sell a lot of downloads/digital products through Paypal and from time to time, I'll get someone who downlads the product and immediately asks for a refund.

    It's obvious what they are doing (trying to get a free product), but nevertheless, I just give them their money back. I used to fight every dispute that I thought was doing this, and they would most times be decided in my favor.

    I have heard many hotrror storeies about Paypal limited or closing accounts of those who sell digital products because of too many complaints. So, if you just end the dipute in the buyer's favor by offering a refund, it won't be a black mark on your account.

    I've also had a few people threaten to destroy my business by posting negative stuff on the social networks about me and on their blogs, etc, over a $7 refund, It's just not worth the aggravation. Be the better person and refund their money and move on.
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  • Profile picture of the author jimmynastic
    Hey I have worked on fiverr and i have seen my orders that had been marked complete being cancelled.
    Approach the person and your company and question them.. am sure they will comply.
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  • Profile picture of the author onegoodman
    nicheblogger75 and WillR Thank you for your reply. As I mentioned, it is not a manner of $5. I am not pissed off the amount or even the dispute through PayPal as much as that this guy decided to go over me to jump into PayPal dispute.

    I think going through this dispute, will not be for his favor, after all PayPal would consider the TOS of any website.

    True, $5 or $7, or even $100 are not worthy but I think these Amazing type of spammers must be stopped at some point. If they are filling a dispute against every sale they make and every one stand in their face, I am sure their game is over.

    I am sure it is not the first time he filled a dispute in PayPal nor going to be the last.

    jimmynastic I wouldn't cancel an order after it is marked completed and it is clearance period is over otherwise, i would be in conflict with my own TOS.
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    • Profile picture of the author WillR
      Originally Posted by onegoodman View Post

      I think going through this dispute, will not be for his favor, after all PayPal would consider the TOS of any website.
      Yes but what is worth more to you? $5 and getting back at this guy or the longevity of your website? A website that operates under the same sort of structure as fiverr (but isn't fiverr) would be a high risk type of business for Paypal to be involved in. By carrying on with this dispute you are proving that. They don't want to waste their time dealing with trivial disputes like this for the TINY fee they would receive from a $5 transaction so they will just close you down and put you in the high risk basket.

      I'd imagine the only reason fiverr has not been shut down by Paypal as yet is because of the sheer volume of orders they are processing.

      It's up to you as to what you do but we have warned you. Sometimes it's in YOUR best interest to just move on and let this idiot have one up on you this time.
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  • Profile picture of the author brentb
    As much as you want to say to him FU and win the dispute with paypal (which you most likely would), I suggest giving him the $5 so he shuts up and then blocking him from your site so he can never use it again.

    You always want to look good for Paypal because they will shut you down for almost any reason, so best to not give them one. Because I swear that will ruin your day more than losing $5
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    • Profile picture of the author StephanAdams
      Originally Posted by brentb View Post

      As much as you want to say to him FU and win the dispute with paypal (which you most likely would), I suggest giving him the $5 so he shuts up and then blocking him from your site so he can never use it again.

      You always want to look good for Paypal because they will shut you down for almost any reason, so best to not give them one. Because I swear that will ruin your day more than losing $5

      ^^^ Agreed
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  • Profile picture of the author debbiechamilton
    I agree with the consensus, you do not want to bring notice to your site from Paypal. It will be worth more to you in the long run to move on. You want to avoid negative feedback as this will hurt you more with future buyers. Paypal will consider your issue and be fair, but they are also time consuming. Hard to reach.

    Thanks for the other posts, I wanted to see what luck others have had.
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  • Profile picture of the author madmmd
    Delete his account.. This is the best option for people who are wasting other's time for five dollars.
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  • Profile picture of the author Suthan M
    what you should do is ban all those using temporary email from registering at your site..

    I personally hate those services.. hate 'em even more when i am cleaning my ar list and i see bucketloads of that emails registred in my list..
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  • Profile picture of the author onegoodman
    Thanks guys, I guess i may just ignore him.

    I already suspended his account, and currently I am working on ban all type of temp emails.

    I will do ban him with his ip -address too. I guess I will just try to find another way to get back on him.
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  • Profile picture of the author wordydiva
    I am glad you are working on getting rid of the problem buyer.

    I know it is hard to let something like this go. It is often the principle of the matter rather than the amount of money involved. Unfortunately, one unethical buyer can end up causing a business owner a great deal of money through wasted time and future lost customers (if the buyer chooses to complain online) and sometimes giving them back their money is just easier.

    Hopefully banning his IP and working on a way to watch temp email registrations will cut down on these problems in the future. In fact this person may have done you a small favor by forcing you to take a look at your policies and procedures before things get out of hand.
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  • Profile picture of the author kindsvater
    There are many excellent reasons already stated for just refunding the money.

    Let me add: for good customers a refund would not matter to you.

    But I've been in your situation, and for not so good customers no matter how little the amount of money my businesses follow strict policies: (1) the service terms must be adhered to, that is why they are there, and (2) absolute refusal to be blackmailed into giving any PayPal refund.

    I would submit the following information through PayPal in response to a dispute, or in response to a refund request:

    1. A copy of the buyer marking the project as completed so that funds could be released.

    At this point the buyer's remedy is with the provider to get another copy of whatever it is they bought.

    2. The contractual terms the buyer is violating.


    Buyers need to learn that PayPal is not a support forum. It is not a place to request refunds in violation of contracts or because they screwed up.

    Your service is an intermediary. Like PayPal. You provided the service and deserve to be paid.

    The buyer already stated he in fact received what he paid for. Get a backbone and proudly defend your business and right to be paid.

    .
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    • Profile picture of the author tpw
      Originally Posted by kindsvater View Post

      (2) absolute refusal to be blackmailed into giving any PayPal refund.

      .

      Wow!! Someone with a backbone!!
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    • Profile picture of the author Gullybaba
      Originally Posted by kindsvater View Post

      There are many excellent reasons already stated for just refunding the money.

      Let me add: for good customers a refund would not matter to you.

      But I've been in your situation, and for not so good customers no matter how little the amount of money my businesses follow strict policies: (1) the service terms must be adhered to, that is why they are there, and (2) absolute refusal to be blackmailed into giving any PayPal refund.

      I would submit the following information through PayPal in response to a dispute, or in response to a refund request:

      1. A copy of the buyer marking the project as completed so that funds could be released.

      At this point the buyer's remedy is with the provider to get another copy of whatever it is they bought.

      2. The contractual terms the buyer is violating.


      Buyers need to learn that PayPal is not a support forum. It is not a place to request refunds in violation of contracts or because they screwed up.

      Your service is an intermediary. Like PayPal. You provided the service and deserve to be paid.

      The buyer already stated he in fact received what he paid for. Get a backbone and proudly defend your business and right to be paid.

      .

      thanks for sharing...
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  • Profile picture of the author Onlinework4all
    It will be better to call Paypal and tell the situation. if things does not work, better to refund buyer money. Change your website sign up validation and payment validation.Completed work keep with you for validation.
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    • Profile picture of the author Tina Golden
      All you have to do is tell PayPal that it is a service you provided and link to the sales page. They do not cover services.
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  • Profile picture of the author brocktoon93
    For $5 bucks, take the loss. Don't go with the Paypal dispute. I had my account limited for a month because of 3 disputes which I thought I was in the right, but I decided to fight it. Paypal still gave the dispute to the buyer everytime and after the 3rd time, my account became limited. It's just not worth it, just refund him.
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