Unauthorised Chargeback on a Pickup Item

[nannymoos]

We sold a set of 6 Chairs at the beginning of December - buyer paid via Paypal - 1 month later we receive a chargeback for "unauthorsied Use of Card Card" we immediately phone the buyer who denied lodging this - tried to tell us her paypal account must have been hacked - she promised to phone them and her bank to sort this out but hasnt done so - she will not answer calls or texts from us - rang Paypal and lodged the claim and heard back tonight that we lost the claim due to no proof of delivery - the claim was never for item not received - I sent copies of text messages from her arranging pickup - I have lodged a claim with Financial Ombudsman as well - Paypal have charged back $3010 so our account has a negative balance that includes a $15 fee - I have checked her out on Facebook and she has photos of her family sitting on the chairs - should police be the next step as she is obviously just trying to get away with getting the chairs for nothing - I will add that as we are a retail store I have now arranged with Ebay to have Paypal removed as a payment option and will never accept payments through them again - has anyone else had a similar problem and how did you deal with it ?

[redders_60]

It was I believe before ACORN when my incident occurred & I went to the local Police for help (or lack thereof).

The case was the first & only SNAD or INAD I've ever had! No contact buyer opened case in Paypal. I had support pics of doll & packaging (Just something I do to protect myself) Ebay; PPal & the Police effectively helped aid a theft.

Long story short... I received a return of a large damaged Bratz doll within the box that I had originally sent a highly collectable My Child doll. PPal & Ebay were no help as the scammer was very careful to make the return box the same weight as the parcel I sent. (There were even pebbles in a paper bag in the box!) A very elaborate ruse! I went to the local Police with the just opened box, all pics, including one of my ebay ad & invoice, etc & was basically laughed out of there! They kept the bogus doll & box & said they'd look into it! I'm still waiting years later!

With regards to the comment from ArriotStation (above) for mercantile agencies who pursue small debt I'd recommend Prushka Mercantile. They usually pursue outstanding medical & dental debt. I've had professional contact with them in the past & had very successful restoration of funds owed for services I rendered in my professional career with no fuss & reasonable fees.

[nannymoos]

Heres an update for those that are interested:

I reported it to ACORN

I filed a report with the Financial Ombusman Office

ACORN have referred it to Hume CIU and it is currently under investigation for credit card fraud

The Ombudsman has been negoitiating with Paypal and today I have received a result

"In an act of good faith" Paypal will waiver the amount outstanding on my account but do not accept any liablity - well at least I got the money back - it just goes to show that you have to keep fighting and try every avenue available to you !

and the best part is the shifty buyer will be charged !! and I no longer accept Paypal through Ebay as we have our own merchany facilites so no more dodgy chargebacks - I was told that the credit card used was not in her name (a bit of detective work has revealed that the credit card is billed to the same address as hers) so it shows you how easy it is to rort the system - you can use anybodys card - family member etc who lives at the same address and they can say it wasnt authorised and many still get away with it but not this one !!! I will make sure she is charged even though its going to cost me many more hours in doing so but hopefully this will stop her and her thieving family from doing it to anyone else !!

[lyndal1838]

Redders, even before ACORN you had to report online fraud through the Queensland Police website....you never got satisfaction from the local police.

[padi*0409]

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@nannymoos wrote:

Heres an update for those that are interested:

and I no longer accept Paypal through Ebay as we have our own merchany facilites so no more dodgy chargebacks - 

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But you are still accepting credit cards, albeit through your merchant facility - so how is that going to stop chargebacks?

[nannymoos]

People wouldnt usually do a chargeback if they have been into the store to collect or purchase an item and they deal with you face to face and as they are recorded on CCTV which is in open view behind the counter - and there is a floor limit so cards need to be phone authorised anyway - I have found they tend to be a lot gamer and will try and get away with it when they are hiding behind Ebay and Paypal - where all they are is a name

[padi*0409]

Fair enough, but if anyone is likely to pull a chargeback on you couldn't they still pay by CC online and then just come in and pick the item up and then go for a chargeback? Since in reality they could come onto your store to look at the item and then go and pay for it online, then come back and pick the item up or get someone else to do it for them.

Also anecdotally people are wary of buying items on eBay if they can't use Paypal, so you may even lose custom by not providing that option.

But well done on getting a successful outcome with your original chargeback through Paypal, even though you had to jump through hoops to get it.

[lyndal1838]

Unless you have them on CCTV using the card they can still do a chargeback for Unauthorised Use....if it is paid over the phone for example.

[clarry100]

Good outcome for you.
Will be even better when they buyer is charged and penalized thru the court system too.
Great to see that persistence pays off sometimes.

[viewmont1071]

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@padi*0409 wrote:

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@nannymoos wrote:

Heres an update for those that are interested:

and I no longer accept Paypal through Ebay as we have our own merchany facilites so no more dodgy chargebacks - 

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But you are still accepting credit cards, albeit through your merchant facility - so how is that going to stop chargebacks?

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When you use your own credit card gateway for pick up items you can stipulate that you need to sight the card, you can stipulatre that the buyer or their partner will require photo id that matches the details on the credit card, you can stipulate that you also require a signature and the ccv on the rear of the card.....can you do any of that if you accept paypal credit card transcations??

Using your own cc gateway ou can stipulate most of the above for transactions where the item will be posted

internet search MOTO oe CNP (card not present) credit card transcation security tips

Alternately for local pick ups you can stipulate that the card must be present and the transaction becomes a "normal"

transaction at the time of exchange