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Problems with paypal?

by EntrepreneurialSpirit
4 replies
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I am launching my new internet company soon. The services we provide require quotes because they are custom in nature. I plan on using paypal and sending a payment link with each quote. However, I was talking to a friend and they said it is VERY easy to get payments reversed almost for no reason. So if I had customers that ordered custom items, which by nature are non-refundable (but are usually redone if an error is made). How easy will it for them to get the items that are perfectly fine and and get the payments reversed? Is paypal better about this if you have a merchant account?
  • Profile picture of the author markstonepublishing
    Here's the truth, in almost any business, people that buy from you can get their money back if they really want to. In a retail business, for example, people can literally come to you store, buy something expensive, go home with it, then call their credit card company and do a charge back. Scary, right? Now, how many people actually do this kind of thing? About .01%. If that.

    There are a very small percentage of lunatics that will do this. If you are delivering even close to what you say you are, then I REALLY wouldn't lose sleep over this. Treat your customers or clients well, deliver quality, and guess what? You'll get quality in return. There will always be the occasional nutcase who will do this sort of thing. But it will not damage your business, as long as, like I said, you are delivering on your promises. Now go forth, and prosper!
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    • Profile picture of the author tagiscom
      Yeah, l had this sort of issue, but it was more the case of hackers figuring out which page on my site was the download page!

      After this happened a few times l just put, "illegal downloads will be prosecuted". They were too scaled to do it again after that! :rolleyes:

      You could also put, "Please note that if you decide to ask for an immediate refund, your name might be put on a blacklist, and future offers by me may not be available to you, sorry to be harsh, but l need to cut down on freebie seekers"!

      WSO, launches tend to get a lot of these type,s, so this usually does the trick!

      Shane
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      Archimedes Forum, Sign up l won't bite
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      • Profile picture of the author Kay King
        If the sales are shipping physical items it's not easy to scam you as you can require return of the product for refund.

        If digital. and you have concerns, I suggest you talk to paypal and get their advice on how to protect yourself.

        I would never post a threat about refunds but if I did not refund payments for custom made items...I would state that clearly on the order page.

        kay
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    • Profile picture of the author SteveJohnson
      Originally Posted by markstonepublishing View Post

      Here's the truth, in almost any business, people that buy from you can get their money back if they really want to. In a retail business, for example, people can literally come to you store, buy something expensive, go home with it, then call their credit card company and do a charge back. Scary, right? Now, how many people actually do this kind of thing? About .01%. If that.
      ...
      It would be scary - if it were true. Why do people keep passing along outright fables?

      While the game is definitely weighted on the side of the consumer, getting a credit card company to reverse a charge is emphatically not as simple as "call[ing] the credit card company and do[ing] a charge back". There are quite a few hoops to jump through before it happens.

      Do you think merchants would continue to take credit cards if someone could just willy-nilly take home a flat screen and get the charge reversed? Pfft.

      PayPal, by the way, will side with the seller if their 'seller protection' rules are followed.
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