Topic: Offering PayPal for Bitcoin? You're likely to be labeled a scammer - Read why - page 8. (Read 28868 times)

Market value is what people are willing to pay for it. You end up paying a hefty premium when using PayPal, because sellers (like I used to be), have to compensate for the fact that we deal with scammers. Its more or less a convenience premium, and is most definitely "market value." If you don't want to pay it, use a money transfer, or another method of transferring cash.


It makes absolutely no difference that you aren't a scammer. The fact of the matter is that this payment type is used by scammers.

Although it may seem old-fashoned, you do a wire transfer. The idea of exchanges isn't bad, its that everybody gave one a monopoly. Use alternates. There are entire threads here dedicated to various options.

Well if more people were smart and used their brains instead of just believing everything they read without verifying its validity, then the people would have more power and freedom instead of the corporate world taking advantage of all the people.

I wish more people thought like you

I think the exchanges have a vested interest in scarring the shutout of the direct seller buyer so they call PayPal a scam

Absolutely true. Paypal BLATANTLY REFUSES to refund ANY TRANSACTION THAT IS NOT FOR A PHYSICAL PRODUCT.

I just learned this scam when I payed for a premium account at guru.com and they IMMEDIATELY DELETED MY ACCOUNT AND STOLE MY $35. I tried to refund with PayPal, but PayPal said NO WE REFUSE TO OFFER YOU A REFUND BECAUSE IT IS NOT A PHYSICAL PRODUCT WHERE WE CAN VERIFY TRACKING. The refund was DECLINED and I was subsequently NOT ALLOWED TO OPEN ANOTHER DISPUTE.

I went to my bank, and they also refused to refund, and send me to the fraud department where I could mail in a form saying that I was defrauded. But I still don't know if even my bank will refund the money.

So anyone who says "you could be scammed in PayPal" has NO IDEA WHAT THEY'RE TALKING ABOUT. Paypal WILL NOT FORCE A REFUND UNDER ANY CIRCUMSTANCES.

I don't know much about bitcoin, but I do know it is NOT a physical product which means it is IMPOSSIBLE TO REVERSE. AND NOT JUST GIFT PAYMENTS - ANY TRANSACTION WHICH IS NOT FOR A PRODUCT CANNOT BE REVERSED.

The only person who can be scammed in PayPal for a SERVICE OR INTANGIBLE PRODUCT is the one Sending Money, not the ones receiving it. Because the seller could refuse to send the item or service that was paid for, without any way to get their money back because paypal will DECLINE ANY DISPUTE AND WILL NOT FORCE A REFUND.

SAFE METHODS TO USE PAYPAL:

If you are THE ONE PAYING FOR THE ITEM (BUYER) and you have ALREADY RECEIVED THE ITEM, then PayPal is PERFECTLY SAFE because there is NO WAY THE SELLER CAN REVERSE THE CHARGES.

If you are THE SELLER, and you have ALREADY RECEIVED THE MONEY then it is SAFE TO SEND THE ITEM with PayPal.


DANGEROUS WAYS TO USE PAYPAL:

If you are THE BUYER and you have concerns that YOU MIGHT NOT RECEIVE WHAT YOU PAID FOR, then it is DANGEROUS to use PayPal in this case.

If you are THE SELLER and you have CONCERNS THAT YOU MIGHT NOT GET PAID AFTER SENDING THE ITEM, then it is DANGEROUS to use PayPal in this case.


IN SHORT

If you have ALREADY RECEIVED your end of the deal, THEN YOU ARE SAFE. Now it's up to you to be honest.

If you have NOT RECEIVED your end of the deal, THEN YOU ARE NOT SAFE, if you send then their end first.


TIPS WHEN USING PAYPAL

If using PayPal and you are afraid the payment may be disputed, ALWAYS USE GIFT PAYMENTS. Gift payments CANNOT be disputed.

From where I am to get it into USA it takes Lmost 3 % commission and some bad exchange rates as well

Plus a lot of personal data if the amount exceeds some value ( differs country to country )

Western union handles the "unbanked " world ...i.e say when an new immigrant ( say to USA ) wants to send money to his grandma  in some developing world country ....... Not for two people who are Internet savvy and having bank accounts

I called local money gram and western union and was surprised by their rates ....both in the order of 3% for just a one way transfer

The credit card companies and banks only help because they have a stake in it as well.  One loses money to them on a regular basis for charges on this or that.  So it's not really all that different from losing on a bad deal every now and then. 

While I understand paypal, why is it so damn hard to get it via western union?

Great information!

Too bad, PayPal seems pretty fast.

never thought of it this way ...hmmm...

Exactly. Plus bitcoin transactions can't be disputed. That's great if you're a merchant or a criminal, but if you are the poor slob who had your BTC stolen (or the merchant didn't deliver after you paid) you have no recourse.

At least a credit card company will help you get your money back if you get taken for a ride by a shady merchant.

i was just about to buy some bitcoins with paypal when i came across this.
i guess i have to look for alternatives.

Where do I find cheap bitcoins? Most people are selling it super overpriced much more than the market value

Easy now.... too much hype isn't a good thing.

Not only you can get scammed, you are also likely to get your PP account shut down. They really don't like bitcoins. My partner sold somebody BTC and the buyer mentioned he was sending payment for BTC in PP subject. Got his account blocked that same day.

Yeah, I mean you could theoretically use PayPal to purchase something like an Amazon gift card (or, maybe, a Visa/MC prepaid card), and trade that for BTC. But you will end up paying for fees and what not.

The real problem with PayPal is not sending money, it is accepting money. Because PayPal has a notorious history for seizing large accounts and refusing to return the money to it's rightful owner. There's nothing you can do in that situation as PayPal is not a bank in that it's not regulated and, thus, not FDIC insured.

Is there any way to buy BTC for PayPal and be secure as a seller? Like buying some item/gift card/voucher with PayPal and exchange that item instead?

agree 100%

I just said 100% because anything more than that would be objected to by the mathematicians here !! :-)

agree ...agree....agree....

and the sad part is that people here haven't understood what a beautiful market that is waiting to BUY from them ....IF they cross this payment hurdle / trust


regards

And if you're in a country that's not the US or in Europe, it's even more difficult, the fees are even higher, and it can take over a week. To buy BTC I could either submit a bunch of private information to the exchange (yeah, that sounds like a good idea) that will take over a week to authenticate AND pay exorbitent international transfer fees ($30 per transfer) that can take up to seven days to transfer, or I could be charged a 25 - 40% premium to buy "locally" in my local currency, or I could build reputation on http://bitcoin-otc.com and use PayPal to buy instantly.

PayPal is a fucking maggot pile, but it's so convenient.

I think you're confused. A chargeback is a forcible return of funds to the customer. Since you're the one sending the money as payment for coins, you'd be the one to issue a chargeback. The person selling the coins is the one who has to be cautious.

Also, a chargeback can occur even if the money is sent as "gift". For example, if the funds came from a linked credit card instead of your PayPal balance, the issuing bank can issue a chargeback.