Web Hosting Talk : Other Forums : Web Hosting Lounge : Is it normal for...

[MrEdwards]

Is it normal for people who are in business to have customers file a complaint with PayPal (or other provider) every once in awhile or is this a rarity?. I've been using them for about two years without problems but in the last 3-4 months I've begun to notice that customers have begun filing complaints claiming that various products are not being "Sold as advertised" which basically implies that the customer was duped into thinking he was getting something other than what he was actually promised.

Is there some kind of scam going on in the business world right now where customers get a free ride by purcasing something and then later find an excuse to claim fraud, hoping for a refund?

[Hostkookster]

Typically the banks seem to sway in favour of the consumer. We use PayPal and have never had a problem with this. There is a dispute procedure that PayPal undergoes to legitimate the claim by the purchaser. Of course it's much harder to support your side when you haven't sent them a product but instead provide a service.

PayPal only gives insurance to those who have a physical product that they need to send away. There is no sellers insurance for things like hosting services hence the increase in "scam" complaints.