How does this Paypal scam work?

I put an item for sale online, and all the responses I got were the same. Someone who was excited about it, and willing to pay more but only wanted to pay through Paypal. Some of them asked me to ship it somewhere for them, some of them didn't. Obviously, they were all scams and I'm not going to fall for them, but I'm just curious how this particular scam works. Once they deposited the money into Paypal, wouldn't I be able to withdraw it? I'm not seeing where the scam comes in.

16 Answers

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  • 9 years ago
    Favorite Answer

    There are plenty of scams using Paypal's name

    1 - they send you an email saying money has been sent but due to new security measures it will not be credited until you send the tracking info. So you send the item, email the tracking info, then check Paypal and there is NO money in your account. You call Paypal who tells you they never emailed you, there was no transaction and they NEVER ask for tracking info before crediting your account

    2 - they send you money from a hacked Paypal account, you ship the item, then the real account holder discovers the theft, reports it to Paypal and the money is refunded from your account

    3 - they send you a fake Paypal email saying money has been sent but you have to click on a link to verify the transaction - which leads you to a fake but real looking Paypal log-in page that you log into -- and you just got your account hacked

    4 - they send you money from a real Paypal account, ask you to ship to a certain address, then file a chargeback. If you did not check with Paypal that the address they gave you was the "verified" address and you sent anywhere but the verified address, they claim they never received the item and Paypal refunds them. It doesn't matter if you have proof it was delivered to the other address along with an email from the buyer telling you to ship to that address. If you ship anywhere but the verified Paypal mailing address, you have NO protection and Paypal will always side with the buyer

    Unless you are selling through Ebay, make sure any listing says across the top and bottom in all caps

    ** LOCAL BUYERS ONLY, CASH ONLY, NO SHIPPING **

    and ignore everyone who wants anything else

    • Francesca4 years agoReport

      This exact scam just happened to us. Be AWARE OF THIS PERSON OR PAYPAL ACCOUNT. IF A PERSON WANTS TO SEND YOU TO GET A MONEYGRAM OR WESTERN UNION IT IS A SCAM. This email confirms that you have received an Instant payment of . . .don't BELIEVE IT

  • 6 years ago

    The best way to scam people is to actually use paypal. First thing you do is buy something from ebay that you really like at a decent price. When it arrives just put in a claim to paypal that the item doesn't work or isn't as advertised. Paypal will investigate which means do nothing for a week or so and then give you your money back while you get to keep the product...They will tell the seller that they will hold the money until the product is returned but that is simply a lie. You get the product for free and the seller just goes on with the loss.

    Trust me this is not untrue and is happening all over ebay and payapal,

    • MT2 years agoReport

      So true! Thus happened to us. Very disappointed with Paypal!

  • 4 years ago

    I have used Ebay for 15 years and have NEVER had an issue with Paypal or Ebay in being scammed. I have over 1000 transactions.

    I have received emails when selling on wallapop and CL trying the paypal scam. I let them know I only do F2F transacitons and definitely don t ship overseas.

  • 6 years ago

    Paypal protects the seller not the buyer.I have been ripped off by Paypal.You pay a fee to them for service and they do not honor that service.The item I ordered was not sent but Paypal got the money from the seller after it was not sent but I never got the money back not a cent so screw Paypal it is a scam it's self!

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  • Anonymous
    4 years ago

    This Site Might Help You.

    RE:

    How does this Paypal scam work?

    I put an item for sale online, and all the responses I got were the same. Someone who was excited about it, and willing to pay more but only wanted to pay through Paypal. Some of them asked me to ship it somewhere for them, some of them didn't. Obviously, they were all scams and I'm not...

    Source(s): paypal scam work: https://tr.im/kHAgc
  • Adrian
    Lv 7
    9 years ago

    If you use direct Paypal links, ones you type into the browser yourself, you are relatively safe. Never click a link in any email from these buyers. Never use any "trust site" or "Escrow" service the buyer recommends.

    Always check your paypal account first, that you have the money, directly.

    The other gotcha is, always sent with a tracking number. Many scammers claim they never received the goods, and Paypal refunds them if you cannot prove you sent it. The buyer always pays shipping, so always insist on a trackable shipping method. ALWAYS ship to the Paypal registered address, never anywhere else - the buyer can get someone else to arrange for that if they wish.

    Finally, some scammers use stolen credit cards to pay for things. This is more of a Paypal problem than yours.

  • 6 years ago

    Paypal in itself is a scam,even the executives of paypal have recently been convicted of fraud and embezzlement.a person who puts money into your account can request the money back after receiving the product they purchased and upon request paypal will deduct the amount from your account,then put a freeze on your account until matter is resolved.paypal automatically sides with the buyer even if the allegations are false.so the end result is they get your product for free

  • 5 years ago

    I received the following email for an item I posted on Kiijji. It was sent by MARYCOLE00571

    Thanks for your swift response,Due to the nature of my work,phone

    calls making and visiting of website are restricted but i squeezed out

    time to check this advert and send you an email regarding it.I am

    offering you additional $200 to the asking price because i am much

    interested and planning to beat other bidders on the post. I will be

    paying you with my credit card via my PayPal account,If my offer is

    accepted please kindly get back to me with the details below:

    1) PayPal Account Name:

    2) PayPal email address:

    3) Mobile Phone Number:

    4) Your Pick up Location?

    I can pay in right away.I am a sailor and do not have much time around

    me.Make sure you get back to me so that we can arrange for pick up as

    i will like the it to be picked,so no shipping.I insisted on PayPal

    because i don't have access to my bank account online as i don't have

    internet banking, but i can pay from my PayPal account, as i have my

    bank a/c attached to it, i will need you to give me your papal email

    address so i can make the payments as soon as possible and plea if you

    don't have PayPal account yet, it is very easy to set up, go to

    WWW.PayPal.com and get it set up , after you have set it up.

  • Anonymous
    5 years ago

    I am new to online selling, 3 times I have had purchasers pay w/paypal (that never went through) I mailed out the product but it was returned to me as "no such address" tried calling the phone #'s and emailing, no reply, the 3rd time I looked the address up first and there was no such address, so I emailed to confirm and got no reply, so I didn't send out the merchandise, have any of you ever heard of this? I'm not sure what the point would be.

  • sajjan
    Lv 4
    3 years ago

    Paypal Report Fraud

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