topic Re: Paypal nightmare in General Credit Topics

Paypal nightmare

naptime — Wed, 12 Oct 2016 16:46:04 GMT

I had a situation a few weeks ago where my ebay and paypal were hacked. There were several hight dollar purchases made using my paypal and the credit cards attached to that account. The last purchase made was for $29,000.00 using an insta transfer from my bank account linked to paypal. I contacted paypal figuring I would be fine because I have had a many year relationship with them. Initially when I put in the claims they were instantly approved and the stolen funds were to be returned as credits to my account. When I called back about an hour later I was told my paypal was closed due to the "high risk" associated with my account and all claims were denied. I immediately called all the credit cards associated with the purchases to start the claims processs with them and closed the bank account that was attached as well. The only problem is the insta transfere was returned unpaid. This eventutally is going to bring my paypal ballance negative and I have no way to stop it as paypal will not re open the fraud cases. My question here is will paypal put this negative ballance into collections? I am extreamly worried about my credit rating being affected here.

Re: Paypal nightmare

Anonymous — Wed, 12 Oct 2016 18:08:42 GMT

THis is a nightmare and I'm wishing you the best. If PayPal insists on not re-opening your claims and your account was indeed protected like nothing hacked in the past, file a complaint with the CFPB thats the starting point, also make sure you file a police report. Sadly I had to do that for $15 transactions that kept hitting my PP account from someone named Robert and PayPal argued it was coming from my IP. I changed my PP password, turned on auth, set my mobile number for alerts and texts, removed all but one throw away card from the account also, reset my wifi routers and made sure I didn't see any device logged into that wasn't inside my home. Because right after that someone tried $12k from my bank account. Lesson learned on my behalf. In the end, I won the dispute but I only use my PayPal account to pay for MS Office 365 which they could see that was all it was ever used for in years.

Re: Paypal nightmare

naptime — Wed, 12 Oct 2016 18:26:20 GMT

I appreciate the info and yes there seems to be real issues in the way paypal tries to protect its clients. There was almost $90K worth of transactions processed thru my paypal in a few day period. Most of the trasactions drawing directly off my credit cards. Whats amazing here is that my paypal has at the max never seen more that $2-3k in transactions at any time. How they would let the language,phone number & mailing address be changed all from different IP's is beyond me. Not to mention the fact that they allowed a $29k insta transfer be completed without verifying the activity or funds availability seems extreamly lax on their part. I have no idea what they are thinking

Re: Paypal nightmare

Anonymous — Wed, 12 Oct 2016 23:11:49 GMT

If you file a police report of identity theft your credit rating will not be affected by any adverse actions by any creditor. The CRAs are required bunder the FCRA to delete any negative entries arising from identity theft You must file the police report though to protect yourself.

Re: Paypal nightmare

RobertEG — Thu, 13 Oct 2016 00:54:20 GMT

Billing related issues on revolving accounts are also subject to the much more comprehensive dispute process offered under the Fair Credit Billing Act.

I would consider filing an FCBA dispute.

Re: Paypal nightmare

tussking — Thu, 13 Oct 2016 01:11:37 GMT

Best of luck with Paypal...They are beyond screwed up in who they protect. That's why I will never open a paypal credit account.

I had been on eBay for 10+ years and sold a set of JBL studio monitor speakers (very rare). Sold them for $1700 and the buyer was in NYC and paid via paypal.

I waited till funds cleared into my bank account to ship. I boxed them and paid $100 extra for them to be packaged correctly and shipped them to the buyer.

So the buyer claims a week a later HE never got them. Yet I had proof they were delivered to the verified address. The instant I got the email from paypal stating they were pulling the $ back till the claim was investigated I called my bank to freeze my account. So I kept the $ but they sent me to collections and I have never been able to use Paypal again in my own name. Sad thing was I kept the money rightfully so and the speakers were delivered to the verified address and no I never got the speakers back.

Not only did Paypal tack on attorney fees and some other BS but they came after for about $2300 when all was said and done.

Good luck !

Re: Paypal nightmare

naptime — Thu, 13 Oct 2016 01:38:13 GMT

Thanks for the info Irish80 I am definetly going to file a police report

Re: Paypal nightmare

naptime — Thu, 13 Oct 2016 01:39:15 GMT

RobertEG How do you go about filling an FCBA dispute?

Re: Paypal nightmare

naptime — Thu, 13 Oct 2016 01:43:29 GMT

Soory to hear that tussking paypal is definetly not as "safe" as they would like you to belive. What ended up happening with the collection? Did it end up on your credit report?

Re: Paypal nightmare

RobertEG — Thu, 13 Oct 2016 06:09:18 GMT

The FTC web page has a good discussion of how to file a dispute under the FCBA.

Re: Paypal nightmare

Anonymous — Thu, 20 Oct 2016 03:18:11 GMT

paypal can seriously go to hell... what a joke of a company

Re: Paypal nightmare

RushXTC — Fri, 21 Oct 2016 19:58:46 GMT

**bleep**! That's scary! Good luck, I hope it all works out!

Re: Paypal nightmare

Anonymous — Sat, 22 Oct 2016 16:40:11 GMT

Sorry to hear this happened to you! I haven't used PayPal in a while. I just went through a fraud issue with my bank and that was a pain. This sounds even worse! I just logged into my paypal and decided I'd go ahead and remove my banking info so I don't have any trouble. Kept telling me I couldn't do it. Haven't used PayPal in a yr or two, so nothing processing, but the app and the site refused to remove my bank acct. So I closed paypal. I don't use it much, so not missing anything.

Re: Paypal nightmare

grillandwinemaster — Sun, 23 Oct 2016 01:20:48 GMT

These truly are horror stories from PayPal! I had no idea. I'm closing down my PayPal account. I certainly don't need the extra aggravation of something like this happening!

Thanks for the info OP, and also the dude with the speakers. Sorry this happened to you guys.

Best wishes in resolving these matters!

Re: Paypal nightmare

naptime — Mon, 24 Oct 2016 13:18:54 GMT

I completed all the steps outlined on the FTC website. In fact when I went to my local police precinct to file the report. The detective that handles identity theft cases made it a point to tell me how well prepared I was. So Thank You RobertEG for the very helpful information. I had one other question I was hoping you (or anyone else with the info) could help me with. I need the corporate address's as well as the Fraud/ legal department addresse's for Citi cards, Barclay cards , Capital one and Paypal. I would want to send physical copys of all documentation to every one of the card's/ accounts affected in my case. I will keep everyone posted on my progress/outcome and what I found both most and least effective in the hopes that this info can help someone else in such a situation. I truly appreciate anyone that reached out with assistance.

Re: Paypal nightmare

naptime — Tue, 25 Oct 2016 16:51:15 GMT

I fired off an email to about 100 different paypal related email addrress's today. And I also sent hard copys of everything I have so far ie police and FTC reports to all my cards/accounts affected. I will keep everyone posted on the results. Anyone going thru the same paypal or Identity theft related issues feel free to message me. I will help in any way that I can.

Re: Paypal nightmare

Anonymous — Tue, 25 Oct 2016 23:06:17 GMT

Good luck, I like how you're following through and not letting time become an enemy. That would be worse for wear. I hope everything works out and they catch the dummy behind all of this and give them life.

Re: Paypal nightmare

Anonymous — Tue, 25 Oct 2016 23:07:15 GMT

@Roodog26 In order to remove a bank account another has to be on there first. CLosing it is the only way out. You did right with that move.

Re: Paypal nightmare

mrgoattoo — Thu, 27 Oct 2016 17:25:28 GMT

WOW...that is really a horrible story. Sorry youre having to deal with this. I had heard of stuff like this years ago. I closed my Paypal account that had my banking information, also closed the bank account they knew the number to. Opened a new PayPal and a new bank account and this time didnt give PayPal any financial information other than a single credit card with a $1000 credit limit and made sure that the payment bank account is in no way connected to our savings account.

Way too much of this fraud crap out there for my liking

I was playing a round of golf a few weeks ago and got an alert on my Capitol One card saying that someone was trying to spend over $2000 on a website. CapOne locked down my card and my online signin until I called them. Thankfully they denied the transaction so I didnt have to do anything other than have them send me a new card with a new account number.

Hopefully this all gets resolved for you.

Re: Paypal nightmare

disdreamin — Sat, 29 Oct 2016 13:50:05 GMT

OP, good luck to you with getting this mess straightened out. I really hope it works out for you.

Your situation made me check my PP account - a while back, the bank I used was bought out, and I never provided my new account and routing number. So my PP is linked only to a dead bank account and a credit card. After hearing your story, I'm SO glad I didn't update that bank account info! I'm still contemplating closing my PP account though. I don't want to have to do battle against fraudulent charges when it seems like you have little, if any, protection against them through PP.

Thank you for sharing your story!