PayPal arrogance is getting out of control.

[cc-vortex]

I had actually written a 2000 word story on how PayPal now no longer accepts a buyer's testimony that a mistaken charge back needs to be rescinded, but decided it was just too long and involved to convey.  Keep in mind that the mistake was on PayPal's side, not the buyers'.

Sellers beware, PayPal has decided it is now the judge and jury of what constitutes a charge back regardless of what a buyer or their bank says.

Here's the gist of it:

If a business asks their bank for all of their sales receipts for the year for tax purposes, and then the bank solicits PayPal for sales receipts on the buyers behalf, PayPal is now interrupting this mundane and routine request as a charge back request.  This is confirmed on a recorded call to PayPal.

PayPal stared a charge back on me for 400 USD because my buyer's bank asked for a receipt of the eBay sale.  I got the buyer and the buyer's bank both on a conference call to PayPal to tell them there was no charge back initiated, that they literally just needed the receipt for taxes.  Incredibly, PayPal refused to believe them, and went ahead with the charge back.  You might think that PayPal can't initiate a charge back, and you'd be correct. However, if they get any correspondence from a buyer or a bank that even mentions a specific sale, they can use this as impetus to "start" a charge back against you.

PayPal told the Bank of America it is on them to provide proof to PayPal through internal documents (internal to the Bank of America, and communications between them and the buyer) that their request was really only for receipts for tax purposes, and not for a suspicious transaction.  PayPal also asked the BoA to send them their internal documents on their request process between them and their clients.  The BoA representative said that's why she was on the conference call, to tell them the request was only for receipts for taxes.  The PP guy said they need internal BoA documents as proof.  The BoA woman said that wasn't going to happen...  The PP guy then berated her for causing me to lose my 400 USD, I was speechless.

I could not make this up if I tried, and all of the calls were recorded.

PayPal is literally refusing to believe the people that supposedly started the dispute when they say there is no dispute.  Unbelievable but 100% true. PayPal is refusing to cancel the dispute and has now progressing the dispute of it on their own, with no permission or consent from the buyer or the bank/card issuer.

I've been a PayPal business customer since 2008 with no charge backs or disputes.

I am just going to refund the buyer and then he'll transfer the money back to me, by-passing PP.