okay... anyone know anything about this? I seem to be caught up in the middle of some really shady business here... knowing my boyfriend has had his credit card compromised several times I kind of feel I know how it usually works when you have an unauthorized transaction on your card. Well this set of behaviors is quite odd. Here is how it goes:

1: Buyer adds a bunch of random items to their Ebay cart.

2: Buyer uses 1 click checkout

3: Buyer checks out with Paypal using a credit card (example Amex)

At this point I the SELLER receive two different emails from Ebay and Paypal notifying me of purchase

4: Shortly after placing payment (24 hrs or less) Buyer files an unauthorized credit card transaction with their CC

5: Credit card company triggers dispute on Paypal (payment processing portal)

Paypal now send me (Seller) an email notifying me of the case being opened on this transaction

6: Seller (myself) sees Paypal case and logs into Ebay, notices that the item charge being disputed on Paypal isn't listed as a case or problem in Ebay...

7: Sellers sends buyer and Email thru Ebay to ask them if they were trying to cancel the order since there is no record there.

8: Buyer responds oddly to Seller claiming that someone hacked their account and ordered all these odd items....

suuuuure... hacked....and bought and used your confirmed address too haha

9: Seller tries and cancel transaction per buyer's request.... Ebay reports that Seller CANNOT cancel this transaction because there's an open dispute on Paypal.

10: Seller logs onto Paypal to investigate, finds case CLOSED by Paypal because they resolved the issue with CC company.

11: Seller calls Paypal to ask them about this, Paypal reports that all moneys have been refunded to BUYER thru their CC company and that Seller has no further action required.

12: Seller contacts buyer to report findings

13: Buyer insists a refund be sent anyway since 3 out of the 10 sellers they already contacting requesting a refund have already refunded them.

14: once again Seller tries to cancel transaction... no success since Paypal dispute supposedly still exists. the only other option left is to do a MANUAL refund on Ebay to Buyer... which means SELLERS OWN MONEY getting refunded to BUYER since Paypal already confirmed that the money was refunded to Buyer already via their CC company...

I am the seller and I did not feel right doing this, so it appears to me that 3 of the 10 sellers who did refund this buyer used their OWN money to refund the buyer,

there seems to be some messed up loophole here where you can guy a bunch of things on Ebay....use Paypal to check out using whatever CC company, dispute the charges on chosen CC company shortly after completing the transaction, CC company opens dispute with Paypal automatically, Paypal resolves issue by saying OK take the money back.... the CC company refunds money to the BUYER... then the BUYER still insists to EBAY sellers that they need a refund... Ebay doesn't have a way of knowing the CC company already refunded this buyer so according to Ebay the money in your Paypal (whatever there is) can be refunded to BUYER despite buyer already having the money refunded by their CC... what this results in is BUYER possibly receiving 10 different refunds in various amounts directly to PAYPAL resulting in extra money. How on earth has nobody caught onto this? I am dealing with this right now and it's pretty frustrating since I am getting pestered to refund money I don't have from them :\