What would happen in this scenario?

[Burst]

Ive always wondered what would happen in this sort of situation.

Lets say an account was suspended from ebay for listing violations or vero etc. So you ditch the account, change or remove everything you can, close the bank account and move on.

If a buyer from that account files a claim saying the items significantly different, paypal makes the account go negative. They would wait for your reply which would never happen because you forgot about the account. What happens next in a case like that?

The bank account is closed.
All the other information is made up.

What would happen next? Would the buyer get the money? Would PayPal lose out? Has anyone heard of anything similar happen?

[bbcoach]

Originally Posted by Orion

Ive always wondered what would happen in this sort of situation.

Lets say an account was suspended from ebay for listing violations or vero etc. So you ditch the account, change or remove everything you can, close the bank account and move on.

If a buyer from that account files a claim saying the items significantly different, paypal makes the account go negative. They would wait for your reply which would never happen because you forgot about the account. What happens next in a case like that?

The bank account is closed.
All the other information is made up.

What would happen next? Would the buyer get the money? Would PayPal lose out? Has anyone heard of anything similar happen?

Paypal takes the hit and chases down a ghost for the money, the account would just stay negative, it has in my experience.

[yaw1800]

yeah it stays negative and then "locks" .. thats pretty much the end of it

[sycore]

Originally Posted by bbcoach

Paypal takes the hit and chases down a ghost for the money, the account would just stay negative, it has in my experience.

The account will go negative, but that does not mean the buyer would get there money back. I won a case against a seller years ago, but never got my money. Got the message like "Paypal has decided in your favor. Unfortunately, there are no funds in the sellers account to cover the claim We will continue trying to obtain the funds from the seller."
The item was purchased through ebay, so I should have been protected but I still got nothing. It was under $20, so it wasn't worth my time and I have since screwed over ebay and paypal for more.
At least at that time, unless the buyer did a chargeback with their CC company, paypal will not automatically refund you the money from a negative account.

[aspkin]

Right, the buyer loses out, not PayPal.

[Jonas]

Every month or so I hear claims that paypal is increasing it's buyer protection and things like "paypal is giving you more protection than ever".

A year or two back it was "from the protection of AOL and eBay" whatever that means. AOL has a reputation that it keeps billing past cancellation, even after someone is deceased.