Hacked paypal account - Intangible goods sold - 3 parties - who gets screwed?

Discussion in 'PayPal' started by Sir Tom, Jun 9, 2006.

  1. #1
    What would happen in a situation such as the following:

    -Person A hacks a paypal account and uses the funds available to buy an intangible item from person B.
    -Person B decides to purchase an intangible item from person C and pays using the funds that were received from person A (IE: stolen funds).

    Stolen funds went from Account A to Account B to Account C. All sales were intangible.

    Who does paypal take the money from (IE: who gets screwed)? Do they debit person A, B, or C's account? Would the scenario change if person C has withdrawn the money?

    Does anyone know of ways to ensure the funds are legit besides waiting 45 days for them to actually clear? Paypal has called me before and asked if I really sent the funds myself or if my account was hacked; but they refuse to do this on the sellers behalf (IE: they do it when they want and only when they want).
     
    Sir Tom, Jun 9, 2006 IP
  2. KingSEO

    KingSEO Peon

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    #2
    This has happened to me.

    I sold a service to a fraudster, he payed with a hacked account. I had to repay and pay the paypal fees (which were noticable).

    I suppose that in your scenario paypal would trace the money. But theres no way knowing. Usually they just freeze everyones funds until they've decided on something.

    Theres only one advise I can give about paypal, stay out of trouble. Trouble on paypal = you risk your cash. They will fuck you over regardless, the only chance you have is to play nice with them. And nice means you give them their extortion money.
     
    KingSEO, Jun 9, 2006 IP
  3. mjewel

    mjewel Prominent Member

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    #3
    Generally, the person who initially received the stolen funds is on the hook. If they can recover funds from the person who stole it, you would be entitled to a refund. It doesn't matter if "C" has withdrawn the funds. If this was stolen merchandise, they could attempt to recover it from "C".
     
    mjewel, Jun 9, 2006 IP
  4. EGS

    EGS Notable Member

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    #4
    I've called PayPal and they've said that person A would be fucked...but if they were unable to pay for it or put up a serious fight, then person C would be the one getting fucked. Basically, everyone but the fraudster.. :rolleyes:
     
    EGS, Jun 9, 2006 IP
  5. edr

    edr Guest

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    #5
    Go figure. Actually it's anyone but PayPal. You'd think there would be some sort of private insurance protecting PayPal accounts much like FDIC.
     
    edr, Jun 9, 2006 IP
  6. KingSEO

    KingSEO Peon

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    #6
    Hehe yeah.. only thing for sure in ANY scenario is that paypal doesnt lose any money.. AND they get the percentage.
     
    KingSEO, Jun 9, 2006 IP
  7. mahmood

    mahmood Guest

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    #7
    This is new to me. How do they hack a paypal account and how can we prevent our account being hacked?
     
    mahmood, Jun 10, 2006 IP
  8. gphantom

    gphantom Peon

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    #8
    Yes id like an answer to a similar question too...
    If person A sold funds to Person B saying they were genuine then Person B sold them to person C.
    Those funds are seized by Party A and person C and person B lose their money.even Paypal wont give us the money back with proof because intangible goods are not covered with buyer seller protection.
    Gameim.com is person A and they continue to sell fraudulent funds on a regular basis from their hundreds of websites. and no one is stopping them..
     
    gphantom, Nov 28, 2008 IP
  9. dota

    dota Banned

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    #9
    is it money laundry?
     
    dota, Nov 28, 2008 IP
  10. TTS

    TTS Peon

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    #10
    It is person B who gets it up the ass. Whoever really belongs to person A's account finds out the transaction was unauthorized and files an unauthorized account activity claim with Paypal. Paypal then freezes the funds in person B's account for the amount of the transaction. Paypal does their investigation so you need to provide any proof you may have.

    Since it is an intangible item you obviously have no tracking info to show Paypal your best bet if you are the seller is when you get that payment, email that Paypal account to confirm they did indeed make the transaction. If you don't get any response, refund the transaction. If you do get a response then you can send the email as proof that the buyer did confirm the purchase. If Paypal does not use it the local authorities will as online fraud is serious stuff these days. This is indeed accurate info as I have personally experienced this exact scenario very recently

    Oh and person C is not affected by this unless person B is an ass hat and decides to do the same to him or her
     
    TTS, Nov 28, 2008 IP
  11. aqualisman

    aqualisman Banned

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    #11
    Gameim.com really do ?
     
    aqualisman, Nov 28, 2008 IP