Any advice on accepting a large sum via PayPal?

Discussion in 'Buying Tips and Advice' started by Spanky Deluxe, Jan 14, 2008.

  1. Spanky Deluxe macrumors 601

    Spanky Deluxe

    Joined:
    Mar 17, 2005
    Location:
    London, UK
    #1
    Someone's offered to buy my mac pro that I listed locally and has said they'd like to pay via Paypal. Is there anything I should be aware of or watch put for?
     
  2. davegoody macrumors 6502

    davegoody

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    Apr 9, 2003
    Location:
    Reading, Berkshire, England
    #2
    Save some money

    PayPal is fine, but is expensive - UNLESS you use e-Cheque option. This may take 7 days or so to complete but is FAR cheaper if a lot of money is changing hands - I sold a 17" MBP this way a few months ago !
     
  3. teleromeo macrumors 65816

    teleromeo

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    Location:
    kidnapped by aliens
    #3
    There was a thread of someone that sold a MacPro and got scammed because the buyer payed via Paypal. Here it is
     
  4. CashGap macrumors 6502

    CashGap

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    Sep 15, 2007
    Location:
    Music City, USA
    #4
    If you do not *SHIP* it to their PAYPAL CONFIRMED address (which will be in the email PayPal sends), you have no protection.

    If you DO *SHIP* it to their paypal confirmed address, you'll join the 99.99999% of others who have no problems with large paypal transactions.

    If it's local pickup, it's 50/50 you're being scammed.
     
  5. timestamp macrumors 6502

    Joined:
    Dec 26, 2007
    #5
    You are very wrong in the case of a large sum of money. You were about to send the OP into severe danger of a very easy scam.

    If you accept above $250, whatever you ship must be signed for. You must have signature, otherwise the person only need claim that they didn't get it and paypal will give the buyer their money back.

    So no, a confirmed address is not the only thing necessary. I suggest anyone who thought differently read paypals terms very carefully.
     
  6. Spanky Deluxe thread starter macrumors 601

    Spanky Deluxe

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    Mar 17, 2005
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    #6
    I'm pretty sure the guy would be collecting the item. I mean, I could probably deliver the item to his via car.
     
  7. MacBooksRock macrumors regular

    Joined:
    Nov 27, 2007
    #7
    That's right. Happened to me once with an iMac, sold it, didn't require sig (stupid me), then the guy did a chargeback and, PayPal gave him his $$$ back. Since it's a local pickup, make him pay w/ cash. That's what a lot of sellers on eBay do.
     
  8. dukeblue91 macrumors 65816

    dukeblue91

    Joined:
    Oct 7, 2004
    Location:
    Raleigh, NC
    #8
    He is right if the guy is going to pick it up make him pay cash.
    If you ship it make sure it is the verified Paypal address and get a signature.
    Everything else is taking a huge risk.
     
  9. Spanky Deluxe thread starter macrumors 601

    Spanky Deluxe

    Joined:
    Mar 17, 2005
    Location:
    London, UK
    #9
    I'll see what he says when I contact him tonight. I won't ship anywhere but I would drive it to his place if its nearby. I think I'll say I'd prefer a banker's draft and will give him a discount to how much it costs. I don't really want to do cash since its for a 30" ACD too so would be a crazy amount in cash.

    I only advertised it in my town so he shouldn't live too far away.
     
  10. AlexisV macrumors 68000

    AlexisV

    Joined:
    Mar 12, 2007
    Location:
    Manchester, UK
    #10
    I wouldn't use PayPal for a large amount of money.

    As soon as a large sum goes into your account, it's not unknown for PayPal to freeze your account, citing that they suspect fraudulent activity.

    PayPal have an appalling attitude towards their 'customers' and will make you fax over personal details before making you wait 180 days to unfreeze the account.
     
  11. MovieCutter macrumors 68040

    MovieCutter

    Joined:
    May 3, 2005
    Location:
    Washington, DC
    #11
    Isn't the solution to avoid getting scammed on Paypal via chargeback is to NOT keep money in your paypal account? I ALWAYS deposit anything in Paypal directly to my bank account the moment I receive payment for something. Paypal can't go into your bank account and retrieve funds that way right?
     
  12. amik macrumors regular

    Joined:
    Dec 11, 2007
    #12
    They can just give you a negative balance and send a collection agency after you. So they can't technically take the money, but they can mess up your credit.

    I personally have a completely separate bank account (at a different bank than my others) for paypal only. I fund my purchases via my american express card due to the card protections, and when receiving money, I promptly send it to the bank account and then transfer it out as soon as it clears.

    During a hotmail security failure around the time paypal was first becoming popular, my bank account was accessed via my paypal account and a guy started sending himself payments for $999 a piece. Luckily I was in high school and only had $750 at the time, so his transaction caused an overdraft and was immediately flagged and put on hold. It was a good lesson that gave me a healthy level of ongoing paranoia.
     
  13. jaw04005 macrumors 601

    jaw04005

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    Aug 19, 2003
    Location:
    AR
    #13
    Are you kidding? PayPal does this all the time. You have to link your checking account to PayPal if you're accepting funds. Doing so, allows PayPal to debit your checking account for any amount that is being disputed.

    You should read the fine print. I've had this happen to me numerous times by scammers on eBay. If you ship the item to a confirmed shipping address and the buyer is eligible for the "Seller Protection Policy," then you will win the chargeback.

    Technically, PayPal doesn't fight the credit card company for every single chargeback. In most cases for smaller priced items, PayPal takes a loss. (The seller effectively buys "insurance" in the form of the Seller Protection Policy as part of the PayPal fee.)

    In most cases, I leave my PayPal funds in the account until I'm sure the buyer has received the item and everything is in the clear.

    This still doesn't protect you from chargebacks as your bank account that you use strictly for PayPal will go into the negative subjecting you to fees and other issues with your bank.
     
  14. CashGap macrumors 6502

    CashGap

    Joined:
    Sep 15, 2007
    Location:
    Music City, USA
    #14
    My bad, I should have remembered where I was posting. Of course I wasn't advising OP to skip the signature. I was advising him to never deliver in person with PayPal payment. And that's good advise.

    But I forgot how creatively we can read here when PayPal or Juniper are involved, and that anyone would think I was suggesting skipping the signature!!!
     
  15. amik macrumors regular

    Joined:
    Dec 11, 2007
    #15
    You are absolutely correct that the chargeback is still a problem, but the issue would reside with paypal not my bank. Since I keep a very low balance in the checking account, they are likely to trigger an impending overdraft, which prompts a phone call from my bank and puts an automatic hold on the payment until I free up funds to complete the transaction. The key is to opt out of any sort of overdraft protection so that your bank account will simply hit zero and stop, instead of fulfilling the payment even when it causes the account to go negative.

    This also protects me from someone making unauthorized payments from my checking account. The phone call from the bank is valuable. That is what saved me the first time because the hacker had changed my paypal profile to his contact information, so paypal was only talking to him, but the bank was talking to me.
     

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