Here’s further lack of protection from Paypal for sellers of digital products.

On March 31, 2008, someone purchased an online legal form (lease) from me for $3.99. Today, I receive the following:

    An unauthorized account activity claim was recently filed against the following transaction:

    Buyer’s Name: Jennifer H
    Buyer’s Email: jrh—@h——.com
    Buyer’s Transaction ID: 3YS937020Y699183S

    Transaction Date: Mar 31, 2008
    Transaction Amount: -$3.99 USD
    Your Transaction ID: 3YS937020Y699183S
    Case Number: PP-449-264-543

    Seller’s Transaction ID: 1RB15459AR320452B

    To complete our investigation, you must provide additional information
    within the next seven days. Please log in to your PayPal account at
    https://www.paypal.com and go to the Resolution Center to view the details
    of this case. You will have the opportunity to enter any details or
    information regarding this case which will help PayPal investigate the
    matter fully.

    Thanks for your cooperation through this process. We are continuing to work
    to ensure that PayPal is secure for all users.

    Sincerely,

    PayPal
    Account Review Department

So here are my options from Paypal:

    Issue the buyer a full refund. (If you have not yet shipped the item to the buyer, selecting this option will settle the claim.)

    I can provide tracking information. (Because it can prove that the item was shipped to the account holder’s address, this information can determine the validity of the claim.)

    The buyer has already been refunded and I can provide proof of the previous refund.

    PayPal will review the information and determine whether the claim can be closed.

    Thank you for your cooperation.

So the buyer didn’t leave an address so I can’t print off the electronic file and send it to her and thus provide tracking info. So I’m just left with refunding the money as my only option. How do I know that the buyer isn’t being honest?

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