PayPal Strange Issue :|

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l0calh0st

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Hey,

I got a strange issue with PayPal. A client ordered a VPS with me, WHMCS didn't marked the invoice as Paid so I did it manually. Then I got an email from PayPal about an Unauthorized Payment. (A payment received without senders permissions.) which is fucking weird.
/ Note that the money that the buyer paid is BLOCKED and removed from my balance.

So I checked the dispute, and there were 2 options to resolve this.
1. I already refunded the buyer (you will need to enter the transaction ID.)
2. I will refund the buyer (you will be redirected to the refund page.)

So this actually means I have to pay my CLIENT?

Money Received - Dispute Opened - Money Blocked - Resolve the Dispute by paying another SAME amount of money. So the client receives the payment twice!

Thanks

Edit: Contact PayPal already.
 
17 comments
i recommend always use verify paypal
wait 24 hour then give detail and sent detail on verify paypal email only not sent detail on whmcs registered email
 
Paypal sucks, I as a seller have been fucked by them because of credit card disputes. Someone bought something worth $10 from me and they opened a dispute with their credit card issuer. Paypal took away the $10 + $22 for the service of having to deal with the issuer -.-
No protection for sellers.
 
Paypal sucks, I as a seller have been fucked by them because of credit card disputes. Someone bought something worth $10 from me and they opened a dispute with their credit card issuer. Paypal took away the $10 + $22 for the service of having to deal with the issuer -.-
No protection for sellers.

if you get fund from verify paypal your fund will safe they cant open credit card Unauthorized case
 
Happened to me all the time.
Just mail the client ( use the email paypal provides ) and ask if the payment was indeed unintentional. If it was the account was probably hacked, and you should refund. Don't forget to suspend the client in WHMCS.

You can find the email in the transaction log on PayPal. ( There you can also see if it's a verified paypal account.)

I wouldn't recommend receiving money from only verified paypal accounts tho. Since a lot of people that purchase hosting, wants to do so anonymously and thus with unverified paypal accounts.

Edit:
And as Lifetalk said; refund doesn't lower your balance since you didn't even receive the money.
 
@Lifetalk,

I thought that, but no unfortunately. I will deduct the money from my balance.

Edit: I received the money, for like 10 minutes. I think the client got a panic attack when he saw that the Invoice was still Unpaid.
 
I'm pretty sure Lifetalk was right..
A refund doesn't cost you anything, except for a lost sale.
And ofcourse the client got x days of free service :p
 
We are accepting orders manually so the client didn't received anything. But this is stated in our ToS.

Anyway, immediatly after the dispute PayPal deducted the money from the client from my balance. But I still need to pay another X amount now to solve the dispute. Which is two times X amount.
 
I recommend for you to use the better option of PayPal which is by using 2checkout to accept PayPal payments. Most likely either your vps clients are using stolen credit cards or stolen PayPal accounts this is other reason why we stop accepting PayPal payments directly.
 
2co is better than paypal, as it manually reviews each order, :) or you can have your own fraud check module like maxmind to avoid these kind of situations with paypal

i hate PayPal to be honest :P
 
I tried to click I already refunded, and then you will need to inset your refund transaction ID. But there is no any, the money is just blocked by PayPal.
 
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