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Posted by u/fer 3 years ago
Ask HN: PayPal dismissed my claim, saying I didn't provide evidence (yet I did)
Hi.

I apologize in advance, but it looks like it's my turn for social media big tech support.

I had a situation where OVH abused a PayPal authorization to charge me 1200€ for a "private cloud" credit I never asked. OVH refuses to refund me changing the reason for it every time, but well, that's another topic.

I filed a PayPal dispute, I added exchanges with OVH as evidence, where they constantly insist on me having this "credit" still available for me to use, and my insisting on not wanting it for any purpose (the 12€ I added were enough for my test) and not having ordered it.

Finally, PayPal ruled in favor of OVH claiming that I "never provided documentation to prove this credit".

Not only I did (OVH messages), but nobody asked me for evidence at any point: I could have provided extra information/screenshots where it is shown. I am positive OVH was requested multiple times for documentation to support their claims, but that was never the case for me, not sure if that's normal.

Now I'm stuck with an absurd amount of credit on a cloud service I have no use for (and worse, it expires in a year), and apparently there's no UI option for me to contest this PayPal ruling. Phoning them I found no option to talk to a person.

Other than lawyering up and contacting consumer protection organisations, what else is there to do? Anyone at PayPal can give me a hint?

Thanks in advance.

kokanator · 3 years ago
Open an arbitration claim. Seriously.

The terms you agreed to states claims can be settled with arbitration. Opening a claim will cost a couple hundred dollars and will move them to action immediately.

Here is a great thread how this worked out for another person on HN.

https://news.ycombinator.com/item?id=31567673

tehwebguy · 3 years ago
It sounds scary but it's seriously worth doing & getting the hang of a legal (or legal-ish) process if it's new to you.
dfbsdfbwe2ef2e · 3 years ago
Is this a US specific thing, or is this kind of advice also valid in the EU? Excuse the ignorance...

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O__________O · 3 years ago
Aside from the filing fees, what financial risks are there?

For example, counter claims for damages, including but not limited to, the attorney fees of the opposing party.

dawnerd · 3 years ago
Had to do this too. Worked out great. Considering doing it again against another company which is a year past providing payment promised.
4364Synapse · 3 years ago
Do you have any alternative suggestions for people who are opposed to legal prosecution, under religious objections?

I am an Anabaptist, and we are strongly against legal proceedings outside of extreme circumstance.

Ancapistani · 3 years ago
I'm not sure if arbitration would be considered a "legal proceeding" - it's a defined process that both parties agreed to upon entering into the agreement in the first place.

It's "legally binding", yes... but so is the initial contract.

kokanator · 3 years ago
I am not familiar with what 'extreme circumstances' would be to a practicing Anabaptist.

However, when a corporation as large as PayPal blatantly ignores a significant financial claim from a singular individual rendering the individual helpless, it seems a bit extreme.

In this case you can use the system the Corporation set up to suppress your ability to fight back against them.

robocat · 3 years ago
That sounds like a religious question - cue joke about fate or acceptance or higher purpose? But thank you - I appreciate learning about parallel social systems.

The obvious answer is to either avoid getting in the situation or to suck it up and account for getting ripped off as the price of learning. Vet your choices more carefully, use prepay, avoid systems where you don’t control the direct debiting of your accounts.

More generally, ask the question of your social group who will have specific knowledge and strategies that fit in with the rest of your social rules. Asking here seems like you would get poor advice because we don’t have much motivation to have learnt appropriate hacks for your issue, and mostly will have little experience of your issue.

gnuj3 · 3 years ago
You what
dragonwriter · 3 years ago
Abitration is a private process that exists expressly as an alternative (though some contracts make it a mandatory alternative) to legal prosecution.
sdbaptist · 3 years ago
I can understand reading 1 Corinthians 6 as reason to avoid legal disputes between individual Christians, but what Biblical justification is there to avoid suing non‐Christians, especially a secular corporation?

Turn the other cheek, sure, but even Paul appealed to Caesar.

MiddleEndian · 3 years ago
People who don't want to do paperwork are unfortunately at the mercy of those who do.

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tpae · 3 years ago
Hey there, I'm currently banned from PayPal, and I actually went through what you did.

I filed an arbitration using a service called FairShake (https://fairshake.com/), and finally they decided to settle with me. They said they will give me my money, but I can no longer use any of their services including Venmo. I agreed and took the money.

Happy to answer any questions regarding my experience, feel free to telegram me @tdpae

yieldcrv · 3 years ago
I’ve gotten around venmo bans with a new email address, new card, and staying under the KYC transaction size limit

actually not necessarily even a new card if you’ve used AMEX Send thats valid in lieu of the exact same AMEX Card it was linked to

AinderS · 3 years ago
What you're doing may be considered "structuring" [1], which under the demented laws of the US can land you in jail.

[1] https://en.wikipedia.org/wiki/Structuring

gurchik · 3 years ago
Did they ever give an explanation for the ban or was it some no answer like "please review the terms and conditions"?
vorpalhex · 3 years ago
Bought a game service from the company. It was down/not functional. Asked the company for a refund, got death threats in return.

Went to paypal. Attached death threats from company.

Paypal sided with the company.

Hamuko · 3 years ago
I managed to get like 800€ back through PayPal after the company I bought something from went into bankruptcy, although that was probably because they never actually answered PayPal's inquiry. No idea what would've happened if they did.
TheOtherHobbes · 3 years ago
Does anyone know if there's real human review in these cases, or are they just an automated response?
willhinsa · 3 years ago
I don't know which would be worse, you have no chance of winning because their automation sides automatically with the large customer, or a human actually read those death threats and still sided with the large customer.
LorenPechtel · 3 years ago
Probably some idiot who didn't realize the death threats were evidence, not your action. E-mail based support (anywhere, not just Paypal) is generally terrible for actually understanding the whole thing being presented.
registeredcorn · 3 years ago
I'm assuming you are no longer working with OVH. Care to provide the death threats via screenshot or file dump? I'd be interested to hear the specifics on this.
vorpalhex · 3 years ago
Sorry, this wasn't OVH, it was a different company (small minecraft host).
acomjean · 3 years ago
Try your credit card dispute, if you charged it.

I know we submitted evidence that a car we rented was a minorly damaged vehicle (it was marked on the sheet during the checkout) and then tried to bill us for the repair after taking the car back. We submitted pictures of the damaged car in the rental lot, the paper work indicating the damage. The car company rejected our dispute. The credit card company didn't. I even enlisted our french intern (native speaker) to call said company and ask what is going on. They got the run around ("French bureaucracy is the worst")

They even blocked when said car company tried to charge again after the rejection. Good times.

cfeduke · 3 years ago
I had a similar problem with a criminal complaint. It's impossible to get a hold of anyone at Paypal, and if you do, they will play dumb, or transfer you to an "account specialist" where you are just left in hold limbo (I've left the phone connected for about an hour before it was forcefully disconnected). In my case I had to talk to my credit union and credit card provider and both sided with me against Paypal and blocked the charge. Paypal is now trying to collect the money through a third party, so I have to go to arbitration. Paypal is on the side of criminals - not intentionally - because they make money on the fees and don't have to pay much for customer support to handle edge cases.

The FTC recently took Walmart to court over similar behavior, essentially profiting off of crime.

laksdjf · 3 years ago
Your post is confusing.

It sounds like PayPal is asking you to prove you did not receive the cloud credits.

But what you should do is say you did not purchase cloud credits.

There is a difference between an unauthorized charge and goods not received.

fer · 3 years ago
I opened as "order not received" because I canceled the instance before it got delivered.

OVH argued that the charge was a credit and not the service itself and that I still have the credit (hence, it was delivered).

Then I said that the reason should be charge unauthorized, as I canceled precisely because of the unexpected amount of the bill, and I didn't perform a credit. The reason switched mid claim.

PayPal finally said that I didn't prove I had credit on OVH, which is indeed confusing (meaning I didn't spend it?). If I didn't order it shouldn't matter what's on their platform.

conductr · 3 years ago
> I opened as "order not received" because I canceled the instance before it got delivered.

If the order was canceled then how can it be claimed not received? The charge occurring on a canceled order is an unauthorized charge. I'd recommend to file that type of claim. They are different and OVH is being terse. It's something you can do before you call Saul.

glitchc · 3 years ago
Same thing happened to me over an eBay item many years ago. I bought a used SLR. The seller said two batteries would be included but the package contained none. It was an expensive camera with special batteries. I contacted the seller but they refused to ship batteries and refused to issue a partial refund. I opened a dispute with Paypal to obtain a partial refund. They denied my claim citing lack of evidence.

How can I provide evidence for an item I never received? All I had was the listing and the contemts of the package, yet Paypal sided with the seller. I quit using Paypal then and there, and won't touch them with a ten foot pole. A very consumer-hostile company.

jxramos · 3 years ago
Probably videotape the unboxing of the item and document that whole inspection process. I’ve heard about people doing that on used clothing websites like poshmark and eBay. The sellers document the condition of items before shipping to have evidence to dispute with. These sort of online deals became hostile in the past so now there’s like inventory documentation overhead to deal with.
flutas · 3 years ago
I've been on both sides of this table, and somehow I've lost both sides.

At this point I've given up using eBay due to it. The scammers on both sides know exactly what to say and do to somehow win even if you can prove you shipped the item / the item could never have been shipped to you (ah yes, a 13oz package somehow contained this heavy equipment).

esotericsean · 3 years ago
Something similar happened to me. I bought something on eBay for about $50 and then the seller never shipped it at all. I messaged multiple times and finally got a response saying something weird like "I didn't think you still wanted it." Of course I did...

Eventually he sent me a $7 partial refund and then I was locked out of doing anything at all. I even tried contacting eBay and because it had taken so long they were no longer liable. Frustrating, but I just let it go.

rasz · 3 years ago
>How can I provide evidence for an item I never received?

you could start by forwarding "I contacted the seller but they refused to ship batteries "

reeddavid · 3 years ago
Based on some of the follow-ups you've posted here, it sounds like the crucial factor is the 1200€ authorization and capture from PayPal.

With your initial dispute of "order not received", they pointed to the 1200€ credit and said, "here's what you ordered". This credit does indeed disprove any claim of "I didn't get anything for the 1200€ I was charged".

The problem is you don't want to receive any order; you want there to be no order at all, and no exchange of 1200€.

Which version of PayPal checkout did they use? I think there's a standard PayPal checkout, where you complete the transaction at a PayPal-hosted page. And there's an "express" PayPal checkout, where you login to a PayPal-hosted popup to complete some initial authorization, then complete the checkout process on the merchant-hosted site.

I think there would have been some point where you authorized a 1200€ payment on a PayPal-hosted site, do you recall that step? I think that step is critical to your claim here that they should return your money.

You mentioned "They had authorization for recurring payments, so they pulled those 1200 without my interaction." And also, "at no point that amount was shown to me" How did they get that authorization? Could you reproduce the checkout flow up to the point of PayPal authorization to see if the 1200 amount is shown in the PayPal-hosted part of the checkout flow, and whether it's hidden in the merchant-hosted portion of the flow?