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Why does paypal let this happen?
 

I have my timeline below of what happened and had a question for those vets. I had stealth accounts for long time but this is a situation that didn't happen to me before. So I closed my paypal by removing the bank account, CC, and paylist and then proceeded to shut down the paypal account for good. Question is when other buyers who get the letter from ebay and they do a dispute, what will paypal do after they favor the buyers? Are they allowed to charge my bank even though I removed it? I know some say close the bank account, but my bank I used for this one has a 90 day policy of closing if nothing comes through the account after the closing date for 90 days.

Timeline:

2/15/10 - Sold item, (approx. value $350.00)
2/22/10 - Buyer received delivery (USPS tracking confimred delivery)
2/26/10 - Buyer disputes not received and escalates claim
3/5/10 - Paypal refunds buyer and I have no item
3/8/10 - 2 Past buyers of mine said they received a letter from ebay stating that I was a fraud seller. Luckily these are 2 of my returing customers so they asked me first for more information.
3/13/10 - Took off BANK ACCT, CC, PAY LIST and CLOSED down Paypal.


I really did not want to close this account down as it had a very good feedback with 400 plus. But why does ebay do such things to make the scammers look good and blame the good sellers by misinforming past buyers.

Yes once you enter the bank account information it's in PayPal hands forever. One time they pissed me off and I removed the bank account and credit card and even closed the account (they let me close the account) a few days later they reopened it and put m bank account and credit card back on there and limited my account for suspicious activity WTF?

The only way paypal charges your bank account/cc is if you have something automatically taken out of your paypal account such as ebay fees.

it just isnt worth losing an account over, better to refund customer when they ask for it....

ebay wrote customers a letter? not heard of that...only heard of email saying youve got a retrospective take-down, which makes drama for no reason

I had that when I had a problem ebay sent emails to all my buyers.

The emails made me look really dodgy and a few of the buyers contacted me for clarification.

They do this from time to time, and its really not on as they make themselves judge, Jury and executioner.

Whatever happened to a fair trial?

If you're in contact with repeat customers, they can still pay you the old fashioned way.