dell666
|
posted on September 18, 2002 06:05:59 PM new
I got an email from PayPal today about new insurance they offer buyers. It said (in part) How Does It Work?
Money Back Guarantee allows buyers to return goods to PayPal in exchange for their money back, provided that they file a reimbursement request within 30 days of payment. Because many sellers offer shipping insurance, goods lost or damaged while in transit are not covered.
As with our current policies, sellers may be held responsible if buyers have not yet received their merchandise, and the transaction is not covered under our Seller Protection Policy. Under no other circumstances will sellers be held liable.
The cost of the Money Back Guarantee will be automatically displayed to your buyers at the time of payment.
Does this mean if I sell a widget to a buyer and the buyer isn't happy with it, the buyer then sends the widget to PayPal and gets their money back? What does PayPal do with the widget? Do they then send it back to me and charge me, or do they just keep the widget? I don't understand exactly how this works. Am I off the hook then for the widget?
Thanks for any help you can give.
|
alwaysfun
|
posted on September 18, 2002 06:25:05 PM new
you can go to paypal and see more information on this Money Back Guarantee program.
They make it sound like you won't be responsible but I can guarantee you that if you have a couple people return merchandise to paypal against you.. then they will probably restrict you. They don't really explain how they will get around fraud. and with paypal and eBay teaming up, I try and keep their mits out of anything I can.
Here is a link to the site
http://www.paypal.com/cgi-bin/webscr?cmd=_help-ext&eloc=721&loc=718&unique_id=00702
except I don't know how to make it into a link
|
twelvepole
|
posted on September 18, 2002 06:37:35 PM new
Here try this:
http://www.paypal.com/cgi-bin/webscr?cmd=p/gen/warranty-outside
It looks like sellers can not offer it also, but what bidder wouldn't want it if available?
Ain't Life Grand... 
|
coralreef
|
posted on September 18, 2002 06:39:32 PM new
Excellent question. I received the same email today. I just went to the link above and went back and forth reading about it and I am also unsure just what the liabiliy of the SELLER is if the buyer returns the merchandise. I did not find the information they gave regarding the program very useful to the seller, it was very unclear. (Am I missing something?? LOL!) Paypal Damon, please clear this up! Thanks -- coral
|
Coonr
|
posted on September 18, 2002 06:41:22 PM new
AS a seller, it is fine with me. The buyer pays.
|
twelvepole
|
posted on September 18, 2002 06:43:41 PM new
It won't be fine if Paypal takes the money back from you if the buyer returns the item.
Depending on how much this "insurance" is going to cost, I am willing to bet lots of items get returned and I am willing to bet that Paypal isn't going into the reselling business.
Ain't Life Grand...
[ edited by twelvepole on Sep 18, 2002 06:44 PM ]
|
kiara
|
posted on September 18, 2002 06:46:19 PM new
Won't this be an opportunity for more buyer fraud? Use it, get tired of it and then get a refund?
Sellers can opt out by going into their Profile and then Guarantee Preferences and untick the box as PayPal has automatically saved it that you will offer the guarantee.
|
punksushi
|
posted on September 18, 2002 06:50:47 PM new
hmmm. i didnt receive this email nor do i have that option under my profile.
|
Coonr
|
posted on September 18, 2002 06:54:21 PM new
The seller is not responsible as long as they ship the item in accordance with the SPP.
If the program is abused, it will not last. I don't see much difference in what Credit Cards and many retail outlets already offer, when they provide a supplemental warranty.
[ edited by Coonr on Sep 18, 2002 06:57 PM ]
|
twelvepole
|
posted on September 18, 2002 06:55:40 PM new
If a seller opts out of it, do you think they will see a drop in sales vs those that do offer it?
I don't know about buyer fraud, but will slow down seller fraud; but at the same time, think it will increase buyer remorse returns. Or just the... "honey this doesn't match anything we own."
Ain't Life Grand...
|
horsey88
|
posted on September 18, 2002 06:57:17 PM new
Kiara if you are correct in saying "as PayPal has automatically saved it that you will offer the guarantee." Why the hell is the buyer paying Paypal shouldn't they be paying me ??.......As for the automatic opt-in for everyone that is surely mimics the Ebay modus operandi....So much for Ebay's statement that they would allow Paypal as an independent enity. They haven't even taken over the reins yet and we are seeing all the new payfer bells and whistles.
|
twelvepole
|
posted on September 18, 2002 07:00:59 PM new
Coonr, you are correct. But I don't see Paypal not doing something to the seller if they start to get alot of returns back.
Ain't Life Grand...
|
horsey88
|
posted on September 18, 2002 07:05:02 PM new
They'll do something alright....Use your poor track record as a justification to raise your fees
|
trai
|
posted on September 18, 2002 07:07:43 PM new
Hmmmmm, I guess we all no longer run auction sites and now work for walmart.
I see no reason to give refunds simply because some buyer changed their mind six months later.
Nothing like teaching them more bad habits.
Will be fun to see what paypal has to say when they get over run by returns.
What bothers me the most is unless there is an auto funtion for this is how much time we will have to waste explaining to the buyer that they have to go thru paypal and not the seller.
The other thing is that they imply that if you do not offer this, that somehow you are not trustworthy. Ohhh yeah!
|
intercraft
|
posted on September 18, 2002 07:10:05 PM new
I called their offices about this program today. They would take the item in and keep it, for whatever purpose. They would refund the customer's money and we, as seller, would receive no chargeback.
If the customer says that the item was not received, then, through the new insurance, the seller would have to prove that it was sent. If it is 'lost in mail' then Paypal refunds customer money and no charge to seller. If seller has no proof of mailing, then the seller would be charged back for the item.
If you mail things First Class, in my opinion, then you are running into troubles. You are basically telling customer that they can get a refund by saying they didn't receive it. And then the seller gets charged back.
How is this different than before? The buyer is given the idea through Paypal. (if they are dishonest person, they will do it) Before it was the 'crafty' dishonest person who figured out this scam.
anyways, I 'unchecked' the box so my customers won't have the option of the insurance. I just don't want to be part of the 'pilot' program... 
|
horsey88
|
posted on September 18, 2002 07:13:12 PM new
Or on second thoughts they might make you join their Squaretrade at $7.50 a month if you want to keep using Paypal....Just like they have already done in the travel categories.
|
horsey88
|
posted on September 18, 2002 07:19:14 PM new
They can always resell the stuff on Ebay under an ID called paypalreturns
|
Reamond
|
posted on September 18, 2002 07:27:39 PM new
If you pay by credit card, the insurance is a waste of money.
|
dell666
|
posted on September 18, 2002 07:34:43 PM new
I have read everything and am grateful for the input. The paypalreturns is hilarious! Also, will they compare the item returned to the description in the sellers auction? Some sellers are not very accurate and that would invite returns, and some sellers are very careful with their descriptions, but the what would stop the unscrupulous buyer from leaving the item out in the rain for a weekend and then returning it ruined? If they can guarantee me no liability and no hassle then I would be OK offering this option. I can imagine PayPal is going to end up with tons of things over time.
|
Coonr
|
posted on September 18, 2002 07:44:56 PM new
Read the Terms of Use. You have no increased liability because of the program.
If the program is abused, PayPal will have to deal with it.
|
tooltimes
|
posted on September 18, 2002 07:52:33 PM new
I got the letter too and also unchecked the box. My first reaction was that it was a good deal but it was so confusing that I decided against it for now.
|
horsey88
|
posted on September 18, 2002 07:52:37 PM new
" You have no increased liability because of the program." as of today until the next unilateral user agreement change.
Does this sound familar ????....The program is costing us so much money that we have instituted a $1.00 guarantee fee.
After all "It's only a dollar"
|
Coonr
|
posted on September 18, 2002 07:59:14 PM new
They are already charging the buyer. 
|
bubblewrap
|
posted on September 18, 2002 08:13:02 PM new
I think this is just going to encourage more returns/complaints from buyers and that somehow us sellers will end up holding the bag instead of Paypal.
|
coralreef
|
posted on September 18, 2002 08:25:48 PM new
I don't know. It sounds too good to be true. I realize the buyers have to buy this option, but I just don't trust paypal....I don't like the way they have done business. How many posters here received the email? (for their offer of insurance.) I'm wondering how they selected the sellers they offered it to. -- coral
|
JACKSWEBB
|
posted on September 18, 2002 08:31:00 PM new
HOW DID THEY SELECT?? EVERYONE IS A POTENTIAL.
I JUST CHECKED MY "CONFIRMED BUYERS" 739 TRANSACATIONS USING PAY PAL.
IT MENTIONED SOMETHING ABOUT MY....
SORRY, THE WORD WAS TRUSTED.....
THEY HAVE NO CLUE AS TO MY TRUST WOTHINESS, JUST BECAUSE SOME0ONE USED PAY PAL TO PAY ME????
[ edited by JACKSWEBB on Sep 19, 2002 12:12 PM ]
|
trai
|
posted on September 18, 2002 08:38:56 PM new
I got the e-mail today yet I just talked to a seller who has done more than me with Paypal and he didn't get selected.
It must be a computer generated draw, who knows how they do it.
|
JACKSWEBB
|
posted on September 18, 2002 09:09:58 PM new
O.K. TIME FOR A CHECK IN WITH HOW MANY "CONFIRMED" DEALS YOU'VE DONE ON PAY PAL. YOU SAW MINE, SHOW YOURS. NOT THAT I CARE ABOUT MINE, MIND YOU. I NEVER EVEN KNEW WHAT IT MEANT TILL I JUST LOOKED.
AND THE BEAT GOES ON.......
|
coralreef
|
posted on September 18, 2002 09:34:06 PM new
I have 240 since December 2001. I quit taking paypal way back when they added fees. But I felt I was losing business so reluctantly signed back up with them. And my numbers show I was losing business....buyers love paypal! Also keep in mind that more than 50% of my customers are repeat customers.....some of them I even have their shipping addresses memorized, LOL!!coral
[ edited by coralreef on Sep 18, 2002 09:35 PM ]
|
JACKSWEBB
|
posted on September 18, 2002 09:39:37 PM new
CORAL REEF,,,DID YOU GET INVITED??? BY PAY PAL??
AND THE BEAT GOES ON.......
|
