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FAQ: Selling with PayPal - SPP, chargebacks, INR, SNAD - how to protect yourself (updated 9/3/09

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johnny1290 said:I've just started shipping items with DC this last week and even though it's an extra hassle, it sure seems worth it if the item costs more than I'm willing to lose. I'm new to DC and just found out today in order to get a DC the item needs to be sent priority mail or else you have to get a signature confirmation(certified mail?) for 2.75 or thereabouts.
There are two kinds of DC: retail and electronic. Retail (what you buy at the PO) costs $.45 for Priority Mail and $.55 for all other classes except Express. Express Mail is automatically tracked (yes, true tracking) for free.

Many eBay sellers use electronic DC, (aka e/DC). You can do this if you print labels and/or postage from home. e/DC is free for Priority Mail, and costs $.13 for all other classes.

You can also get SC (Signature Confirmation) in retail and electronic flavors. Retail SC costs $1.80. e/SC costs $1.30. Both rates are for all classes (PM and others). On Express Mail, the signature is free.

The above applies to domestic mail only.


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peacherwu said:The item doesn't qualify for either Buyer Protection or Seller Protection if it's a service.

This means that if the buyer files complaint with PP, he won't win; if he files cc chargeback, you loose the money.

user0001 said:Thats really my question - would marking as a service protect me from a PayPal chargeback? He wants a receipt, which PayPal would provide, but I dont want to have a chargeback and be SOL because I let him pick it up and there is no tracking number I can provide.


You think he can say the charge was fraudulant (someone hacked his account lets say) like my buyer did and have the charges reversed by PP? My best *guess* is that he can. If he's using a credit card and not a checking account for PP then he can reverse charges no prob as I understand it. They may close his PP account if he did that though.

Buyer or seller protection and chargebacks seem like a thorny area. Knock on wood I'll never be involved with it again. CYA and hope for the best seems to be the name of the game, as paypal holds all the cards. I'm sure glad I don't sell expensive laptops or something like that.

All this is just IMHO. I defer to the more informed, which is probably most around here LOL


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tlaxson said:johnny1290 said:I've just started shipping items with DC this last week and even though it's an extra hassle, it sure seems worth it if the item costs more than I'm willing to lose. I'm new to DC and just found out today in order to get a DC the item needs to be sent priority mail or else you have to get a signature confirmation(certified mail?) for 2.75 or thereabouts.
There are two kinds of DC: retail and electronic. Retail (what you buy at the PO) costs $.45 for Priority Mail and $.55 for all other classes except Express. Express Mail is automatically tracked (yes, true tracking) for free.

Many eBay sellers use electronic DC, (aka e/DC). You can do this if you print labels and/or postage from home. e/DC is free for Priority Mail, and costs $.13 for all other classes.

You can also get SC (Signature Confirmation) in retail and electronic flavors. Retail SC costs $1.80. e/SC costs $1.30. Both rates are for all classes (PM and others). On Express Mail, the signature is free.

The above applies to domestic mail only.


Would you look at that! No wonder I'm seeing more sellers offering DC for free! I didn't know they were printing their postage at home. Clever!

I just got back from the post office, and the lady said I couldn't get DC on a first class letter, that I had to either send it priority or get it certified mail, which cost me $2.30 . I took the certified mail just to avoid having to address another envelope.

Is signature confirmation different from certified mail? Should I have been able to get DC on my first class envelope(letter) for .55?

I know it isn't your job to teach me about the mail, I appreciate your help! If you're too busy to reply I understand.


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johnny1290 said:I just got back from the post office, and the lady said I couldn't get DC on a first class letter, that I had to either send it priority or get it certified mail, which cost me $2.30 . I took the certified mail just to avoid having to address another envelope.

Is signature confirmation different from certified mail? Should I have been able to get DC on my first class envelope(letter) for .55?

OK, I see what happened. DC is available on ALL Priority Mail (letters and packages) and on any other class as long the envelope/box is a minimum of 3/4" thick.

So, if you want to send a First Class (FCM) letter and get DC, then you need to ensure that the thickest part of the envelope is at least 3/4 inches thick. Toss in a few packaging peanuts, or something else, and you're usually good to go. If you can't/won't get the envelope/package up to a minimum of 3/4" thick on a FCM piece (or Media Mail or Parcel Post), you cannot get DC. You can read the full requirements for using DC in the Domestic Mail Manual - Section 9. SC has the same thickness requirement as DC (see DMM - Section 10).

Yes, SC is different from certified mail. Read about certified mail here. Read about SC here.

Message edited by: tlaxson on 2005-09-19 22:35:05 CDT
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OK, I see what happened. DC is available on ALL Priority Mail (letters and packages) and on any other class as long the envelope/box is a minimum of 3/4" thick.

So, if you want to send a First Class (FCM) letter and get DC, then you need to ensure that the thickest part of the envelope is at least 3/4 inches thick. Toss in a few packaging peanuts, or something else, and you're usually good to go. If you can't/won't get the envelope/package up to a minimum of 3/4" thick on a FCM piece (or Media Mail or Parcel Post), you cannot get DC. You can read the full requirements for using DC in the Domestic Mail Manual - Section 9. SC has the same thickness requirement as DC (see DMM - Section 10).

Yes, SC is different from certified mail. Read about certified mail here. Read about SC here.


Tlaxson you are the man! You are absolutely right, she asked me if my envelope was 3/4" thick, which struck me as a little wierd at the time but I figured it was one of those things they have to ask you like if you have anything fragile or hazardous in the package. Throwing a packing peanut in there is a fabulous idea! I'm totally going to do that from now on!

Thank you for your help and for the links! I'm going to read them right now!


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Just be aware that some times if the envelope is not strong enough it doesn't get through the automatic scanning machines. If indeed it doesn't get scanned you are giving your buyer almost a written proof that you didn't send the package. Atleast one can claim so. This happened in mycase. I sent 2 envelopes by tossing some thing to make sure it goes to 3/4 inch. Infact I measured it by tape. However one got scanned other didn't get scanned any where. But the buyer confimed that he received it.

Try for a cheap alternative to find a small box and mail it. I couldn't find as of now any except from PaperMart for $29 for 100 and then $8 shipping I believe. Which comes to 37C a piece. But if you are selling coupons it adds up the cost of shipping by another 75C (2 oz of shipping cost + 13C for DC + 37C for the box). I will share to the forum once I find. Suggestions are welcome too.


johnny1290 said:
Tlaxson you are the man! You are absolutely right, she asked me if my envelope was 3/4" thick, which struck me as a little wierd at the time but I figured it was one of those things they have to ask you like if you have anything fragile or hazardous in the package. Throwing a packing peanut in there is a fabulous idea! I'm totally going to do that from now on!

Thank you for your help and for the links! I'm going to read them right now!


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Just an update on my paypal chargeback dispute. I wrote several emails to paypal, carefully explained my case, asked lots of questions, and heard....nothing. They wrote me back today and said my delivery confirmation hasn't said the item was delivered, so they can't finish my case yet. If you didn't read my previous info the item in dispute was Dell concession codes that I emailed the guy, then sent to him registered mail when he disputed the charges and I learned more about paypal's seller's (lack of) protection.

My impression: they could care less what the story is. They have to crank these out, so instead of doing any sleuthing for frauders they're just going by the numbers, and if I hadn't shipped the buyer the letter with the codes in it with delivery confirmation, I'd be outta luck already. As it is, if he signs for the letter and I get my DC, I think I have half a chance, or a 20% chance, of getting my money back. Maybe paypal will have him ship the item back to me with DC and call it a day, but I get the impression they're in a hurry and don't have the time to be that in depth. We shall see what happens.

I'm still in the game


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so, based on this info, which is worse for the seller, INR, or SNAD? I would think snad is worse because INR just needs tracking proof to win (for paypal, not CC)

how do you argue against a SNAD?


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daveymark said:so, based on this info, which is worse for the seller, INR, or SNAD? I would think snad is worse because INR just needs tracking proof to win (for paypal, not CC)

how do you argue against a SNAD?

there is no way to argue. PP will ask the buyer to return the item. the buyer as well may return an empty box.


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I sold an item recently on eBay to newly registered user with 0 feedback. the user promptly paid with PP confirmed address and became NARU on eBay. I emailed asking why she is no longer registered -no reply. is it a new kind of scam? Would you ship the item (~$490) under this curcumstances?


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orphanis said:I sold an item recently on eBay to newly registered user with 0 feedback. the user promptly paid with PP confirmed address and became NARU on eBay. I emailed asking why she is no longer registered -no reply. is it a new kind of scam? Would you ship the item (~$490) under this curcumstances?
If you prefer not to carry out the transaction, you can refund and file the UID any time you please. Because the buyer is NARU, you can close it immediately and get your FVFC with no wait.


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I know I can do that. The question was would you be comfortable to complete this transaction. I think I am not. am I paranoid?
tlaxson said:orphanis said:I sold an item recently on eBay to newly registered user with 0 feedback. the user promptly paid with PP confirmed address and became NARU on eBay. I emailed asking why she is no longer registered -no reply. is it a new kind of scam? Would you ship the item (~$490) under this curcumstances?
If you prefer not to carry out the transaction, you can refund and file the UID any time you please. Because the buyer is NARU, you can close it immediately and get your FVFC with no wait.


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orphanis said:I know I can do that. The question was would you be comfortable to complete this transaction. I think I am not. am I paranoid?
Cautious, but not paranoid. Given the lack of communication from your buyer, as well as the value of the auction, in your place I would refund.


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I sold a referral for one of the various free<insert electronic>.com sites and was paid by bank/balance funded paypal. After I completed my end of the deal (by completing an offer for this person, and receiving credit for it), the buyer filed a dispute for "Non-receipt," and left the following as his comment.
Buyer's Comments:
The seller refused to complete the offer he was supposed to do per this transaction. I am requesting my money back

From reading the OP, and the FAQ, it appears that because I sold an intangible good, and didn't follow the SPP (since there wasn't anything to ship), that I'm going to lose this dispute no matter what proof I completed his offer to paypal, correct? Is there any proof that I can submit that may help my case?


EDIT: I don't have a mailing address for the buyer - it was not included with the payment details.

Message edited by: doylnea on 2005-09-25 09:14:33 CDT
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Hi Doyle! I had a similar problem with Dell concession codes. I emailed the codes, he claimed the next day his accounts were hacked and wanted his money back. Great. All paypal wanted to know was the tracking number. They never answered any of my questions or sent me any communication except where is the tracking number, and wrote me once to say the item had not yet been confirmed delivered so email them back when it had.

I mailed my Dell codes to him via USPS registered mail, and he refused to accept the shipment.

I went through a list of things I was going to do to recover my money, and he sent me a money order. I'm still waiting for it to clear my bank before I drop the paypal action, if they don't rule in his favor first.

I'd suggest mailing him a printout of whatever you did for him or whatever information, and do it in such a way he's not required to sign but you still get a tracking number. I messed up with that because I didnt want to have to fill out another delivery slip. All paypal wants is that tracking number.

After you do that, you'll still probably lose but at least you'll still be in the game with paypal and it may give you a little more leverage with the buyer to try and get some of your money out of him.

So yeah, those services or intangibles, to the best of my knowledge there is no protection unless you actually ship something and the buyer receives it, wtih that all important tracking number.

Good luck


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Doesnt paypal have protection upto 1K. so if you sold a laptop for 1699$ you just get 1000 back...and also i wish there was a way to modify ur account so it accepts payment with confirmed address only...not just for usa..but for international locations too.


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lincolnctg said: i wish there was a way to modify ur account so it accepts payment with confirmed address only...not just for usa..but for international locations too.
Do you want to only allow U.S. buyers with confirmed addresses to pay you if so, you can do this. You need to a) block payments from people with non-U.S. accounts and b) block unconfirmed addresses. How to do this is addressed in the OP.

If instead you want to allow international payments but only from buyers with confirmed addresses, well, you cannot currently set up this block. If you send this suggestion to PayPal, they may consider adding it.


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Just an update to my posts: A guy with a russian sounding name and a 3 feedback (verified by paypal) bought my Dell concession coupons, I emailed them to him, the next day he declared fraud on mine and other auctions. Without a tracking number paypal sided in his favor and reversed the charges(After the reverse I sent the codes to him registered mail(mistake) and he refused to sign). I told him the ten different ways I was going to fight him legally and he sent me a money order for the auction amount. It just cleared the bank, so I'm even-steven. Lesson learned-no tracking number, no love from paypal. They never answered *any* question from me, and only wrote me to ask for the tracking number, that's *all* they seem to care about. You *have* to have it, and it has to say delivered thru an online trackable source, or you can forget about any seller protection at all. Seems all too easy to claim fraud to me.


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Does anybody know why shipping by UPS option on paypal site doesn't allow to add "signature required" option. Is it part of their strategy so that people use their tool to create shipping label for extra convineance of not typing the address and loose money on dispute? if yes then they are clever and evil?

Is there any other way to print UPS labels with "signature required" and not really typing the address?


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boniam said:Does anybody know why shipping by UPS option on paypal site doesn't allow to add "signature required" option. Is it part of their strategy so that people use their tool to create shipping label for extra convineance of not typing the address and loose money on dispute? if yes then they are clever and evil?

Is there any other way to print UPS labels with "signature required" and not really typing the address?

Previous thread about UPS and signatures through PayPal


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