PayPal Debt Collection Complaint

Auto False statements or representation attempted to collect wrong amount

PayPal Debt collection department,

False statements or representation Attempted to collect wrong amount California

My name is - - - - and I am reaching out to you regarding a PayPal transaction dated - -, 2015. This transaction was in connection with a motorcycle that I sold. I am an - veteran and a - in the - -. On - -, 2015, I listed a - Kawasaki Ninja for sale on eBay. The terms of the listing agreement were : the buyer would be responsible for vehicle pick-up, deposit of $1000.00 - within - hours of the close of the auction, and $1900.00 USD within 7 days of the close of the auction. On - -, 2015, I received a notification from eBay that - - - had bought the - Kawasaki Ninja ( license number : - and VIN : - ) for the full amount listed ( $2900.00 ). - - sent $1000.00 within an hour after the purchase and then $2000.00 a few hours later. Both transactions were done using PayPal. On - -, 2015, - - emailed me his phone number so I could contact him to make arrangements for him to pick up the motorcycle. I called - - on - -, 2015, and he told me that


- -, # -, -, CA -. On - -, 2015 I called - - and left a voicemail to make sure he made it back to - safely and he responded by text that he already sold the bike to someone else. On - -, 2015 I filed a transfer of liability with the DMV to advise that - - purchased the motorcycle. On - -, 2015 I received a call from PayPal stating that - - claimed that he did not authorize the credit card transaction and was requesting a chargeback. On - -, 2015, PayPal advised that they disputed the chargeback with - - 's credit card company who had decided in the buyer 's favor. PayPal then advised me that I would be responsible for paying back $3000.00 USD plus a $40.00 fee. - - took the motorcycle into his possession on - -, 2015. He should be responsible for paying for the motorcycle under the terms stated in the listing agreement. I upheld my duty under the purchase agreement to surrender possession of the motorcycle to - -, so I am entitled to the purchase money listed in the purchase agreement. I have provided PayPal with all of the texts - - and I exchanged leading up to and after - - picked up the motorcycle, the transfer of liability that I filed with DMV, and the police report I filed with - Police Department. I have contacted PayPal - a week since - - to resolve the issue. They told me they filed a dispute with the Credit Card company but refused to send me any proof of the decision that was made. I 've also emailed the CEO to resolve the issue, and the account-review representative stated that the transaction was not covered under the Seller Protection Policy. PayPal 's User Agreement, Section -, states that vehicles, including motorcycles, are not eligible for reimbursement under PayPal Purchase Protection. PayPal violates its own User Agreement and has refused to take any legal or financial action against the buyer to pay for the transaction through other means, but instead sent my account to collections. I will be filing a civil lawsuit against PayPal if they do n't resolve this matter right away. I am asking that PayPal clear the $3000.00 negative balance on my account and pursue - - for the money he owes. Thank you for your anticipated assistance in resolving this matter. I trust that you will investigate the situation and ensure that a member of the - - is not defrauded.

PayPal customer in California
May 26, 2015

* Source: CFPB Complaint Database

PayPal response to complaint:
Closed with explanation

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(408) 967-1000
2211 N 1st St
San Jose CA 95131
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