The number of people who have been screwed by PayPal is probably in the millions. I've shared my bad experiences with PayPal in the past, and now it looks like eBay is also fed up with PayPal - which I'm not surprised.
https://www.cnbc.com/2018/01/31/ebay-in-split-from-paypal-will-start-using-adyen.html
eBay recently announced that it will make Adyen it's primary payment processor, and PayPal its "offsite" or secondary payment processor. Good move by eBay in my opinion. I think eBay needs to go a step further, and simply eliminate PayPal altogether.
PayPal is a horrible company. It's at best a middleman company that doesn't give shit about its customers, and it has become an infested pool of scammers with horrible support, outdated and largely self serving policies. My slogan for PayPal is "Empowering Scammers". No other company has done a better job of screwing the genuine seller (and buyer) and helping scammers than PayPal.
In the early days of PayPal, you can make online purchases only if you had money in your PayPal account. Those were the golden years for PayPal - or rather its users. However, investors were not happy. Perhaps due to the bad economy a lot of people didn't have the money to fund their PayPal accounts upfront. It also took 3 business days even if you had the money to withdraw it from your bank account to your PayPal account. PayPal realized they were losing a lot of potential profit.
You see, PayPal makes money from transactions (and exchange rates). The more transactions, the more money PayPal makes. PayPal figured out they can do more "transactions" if they allowed customers to use eChecks, credit cards and debit cards (thus eliminating the 3 business days period, and allow customers to spend "credit money"). Investors were happy as the company's stock went up. Buyers were happy because they could spend money they didn't have, and sellers were happy because they made more sales. It seemed everybody won.
In reality, scammers won. The number of possible PayPal scams today is astonishing. Fraudulent chargebacks are the most common scam. Here is a user posting about it: https://www.paypal-community.com/t5...oes-PayPal-Allow-Chargeback-Fraud/td-p/658022
Most of these scams are possible because of PayPal's business model - but PayPal seems to be in denial and I think they need to be awakened with a class action lawsuit.
If PayPal required users to have money in their PayPal accounts, as it used to be the case, a lot of these scams would be difficult or impossible. If PayPal required real identify verification, as do banks for bank accounts, and reported scammers to the authorities, most of these scams would disappear - but PayPal remains idle, ignorant, and incompetent.
PayPal could for instance create a reputation system (like that of eBay) where real buyers are rewarded with positive feedback, and scammers with negative feedback. PayPal could show such information prior to finalizing a transaction allowing the buyer (or seller) to make a decision as to whether to proceed or halt that transaction. PayPal could show the number of dispute cases a buyer/seller has been involved in. PayPal could show how long a user has been registered, and a number of other useful information that would drastically reduce scams prior to a transaction taking place. They could do so much, but they don't because they don't care about their users. The greed is just too strong, and the desire to do the right thing, well, not there.
I know I won't miss PayPal when it's gone.
https://www.cnbc.com/2018/01/31/ebay-in-split-from-paypal-will-start-using-adyen.html
eBay recently announced that it will make Adyen it's primary payment processor, and PayPal its "offsite" or secondary payment processor. Good move by eBay in my opinion. I think eBay needs to go a step further, and simply eliminate PayPal altogether.
PayPal is a horrible company. It's at best a middleman company that doesn't give shit about its customers, and it has become an infested pool of scammers with horrible support, outdated and largely self serving policies. My slogan for PayPal is "Empowering Scammers". No other company has done a better job of screwing the genuine seller (and buyer) and helping scammers than PayPal.
In the early days of PayPal, you can make online purchases only if you had money in your PayPal account. Those were the golden years for PayPal - or rather its users. However, investors were not happy. Perhaps due to the bad economy a lot of people didn't have the money to fund their PayPal accounts upfront. It also took 3 business days even if you had the money to withdraw it from your bank account to your PayPal account. PayPal realized they were losing a lot of potential profit.
You see, PayPal makes money from transactions (and exchange rates). The more transactions, the more money PayPal makes. PayPal figured out they can do more "transactions" if they allowed customers to use eChecks, credit cards and debit cards (thus eliminating the 3 business days period, and allow customers to spend "credit money"). Investors were happy as the company's stock went up. Buyers were happy because they could spend money they didn't have, and sellers were happy because they made more sales. It seemed everybody won.
In reality, scammers won. The number of possible PayPal scams today is astonishing. Fraudulent chargebacks are the most common scam. Here is a user posting about it: https://www.paypal-community.com/t5...oes-PayPal-Allow-Chargeback-Fraud/td-p/658022
Most of these scams are possible because of PayPal's business model - but PayPal seems to be in denial and I think they need to be awakened with a class action lawsuit.
If PayPal required users to have money in their PayPal accounts, as it used to be the case, a lot of these scams would be difficult or impossible. If PayPal required real identify verification, as do banks for bank accounts, and reported scammers to the authorities, most of these scams would disappear - but PayPal remains idle, ignorant, and incompetent.
PayPal could for instance create a reputation system (like that of eBay) where real buyers are rewarded with positive feedback, and scammers with negative feedback. PayPal could show such information prior to finalizing a transaction allowing the buyer (or seller) to make a decision as to whether to proceed or halt that transaction. PayPal could show the number of dispute cases a buyer/seller has been involved in. PayPal could show how long a user has been registered, and a number of other useful information that would drastically reduce scams prior to a transaction taking place. They could do so much, but they don't because they don't care about their users. The greed is just too strong, and the desire to do the right thing, well, not there.
I know I won't miss PayPal when it's gone.
