Paypal updates

[femmefan1946]

I'm reading the Paypal Agreement update and this looks interesting- in  Good Way.

We’re updating the requirements for coverage of Unauthorized Transactions under our Seller Protection program to require that the payment must have been made in connection with a transaction where the buyer logged in to their PayPal account to complete the transaction in order for sellers to be covered under the program.

I think it means that Guest Accounts whose credit card payments are processed by PP although the Guest does not have a PP account, cannot be charged back to the Seller.

[hlmacdon]

Not really a positive.

See background here and here

[pjcdn2005]

I took it to mean that if a buyer did not log into Paypal when they made a purchase and an unauthorized use chargeback was made, that sellers would no longer be covered. However, I thought they decided not to go ahead with that but you're saying it is still in the user agreement? I'm confused.

[femmefan1946]

That was my take too, but @hlmacdon 's links seem to disagree.

I guess we have to look at the timestamps.

It would save Paypal a bunch of money if they won't process chargebacks for those without Paypal accounts.

[esclyons]

here's my thoughts, in the last 5 months, i have 2 charge backs, through paypal, issued from the buyer's banks..  as not authorized transactions, i have provided tracking and signature for both, luckily they were over my threshold, so i sent them both registered mail..   good for me,  bad for paypal, i was covered by seller protection, but in the end paypal lost both cases to the bank..

This is the lo-pool they are trying to close..

But as a seller i did everything right.. so how as a seller are we supposed to know where the funds come from, we can't .. and if they said to us

funds are coming from a credit card, do you wish to accept this transaction, than that would be the end of it.. if there is no protection, i wouldn't be accepting any payments..

ebay, wants all buyers to be protected, even the scammers, .. and now paypal wants to put this burden on sellers as well, i don't think so..

enough is enough..

[recped]

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@femmefan1946 wrote:

I'm reading the Paypal Agreement update and this looks interesting- in  Good Way.

We’re updating the requirements for coverage of Unauthorized Transactions under our Seller Protection program to require that the payment must have been made in connection with a transaction where the buyer logged in to their PayPal account to complete the transaction in order for sellers to be covered under the program.

I think it means that Guest Accounts whose credit card payments are processed by PP although the Guest does not have a PP account, cannot be charged back to the Seller.

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I read as completely the opposite, credit card payment processed by PayPal from buyer who do not have a PayPal account (eBay guest buyers) or those that do but still pay as a guest buyer would NOT be covered by the current Seller Protection.

Personally I'm not to concerned, in the nearly 40 years I've accepted credit card payments I can count on one hand the number of Unauthorized Use claims I've had. It should also be noted that in a normal situation where a seller has their own Merchant Account there is ZERO protection from Unauthorized Use claims in a card not present situation, it was one thing about PayPal that was superior to almost any other payment facilitator especially as only proof of shipment was required.

[recped]

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@pjcdn2005 wrote:

I took it to mean that if a buyer did not log into Paypal when they made a purchase and an unauthorized use chargeback was made, that sellers would no longer be covered. However, I thought they decided not to go ahead with that but you're saying it is still in the user agreement? I'm confused.

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It's part of the latest PayPal UA update that goes into effect in August.

We’re updating the requirements for coverage of Unauthorized Transactions under our Seller Protection program to require that the payment must have been made in connection with a transaction where the buyer logged in to their PayPal account to complete the transaction in order for sellers to be covered under the program.

These changes will go into effect on August 9, 2018

The links to Ecommercebytes are in regards to the original announcement in March that was apparently put on hold.