Chargebacks on Premium Plugins?

Discussion in 'Spigot Plugin Development' started by KuramaStone, Jun 21, 2017.

  1. I have recently gotten several charge-backs on a premium plugin and would like to seek advice on how best to handle such a thing. It is labeled as an unauthorized transaction. The plugin was only $1.99 and I consider it not worth it due to PayPal may charge me an extra $20 but I think it would be good to have someone to explain such a thing in the event that one of my larger payments gets charge backed. What evidence would I have to provide to win such a case?
  2. Somehow I severely doubt that as if that were the case then you could buy every plugin on this server with $20~ and pay nothing for it.
  3. Yeah you can. Ive won a dozen or so.

    Explain the situation, it being a payment for intangible online goods, and that some kids sometimes pay with their parents paypal, with or without them knowing.
    Adding that if theres an issue with the purchase they can contact you via email/skype can also help.
  4. How did you do so? When I select the option to resolve now I am met with three options: Provide shipping information, say I have not shipped the item and provide a refund, or say that a refund has already been given. The only real option is to provide shipping information and that has the options of I can provide online tracking information or I can upload or fax proof that the item was shipped.
  5. Provide shipping information of course, its intangible, explain that they automatically receive download access.
    • Useful Useful x 1
  6. This is the message I have written.
    Does that sound decent?

    Also looking at the buyers for my plugin it seems that the user's name is not within the list. Could this damage my case?
  7. Thats basically what Ive written a couple times.
    And as soon as someone files a chargeback they get removed from the buyers list
    • Useful Useful x 1
  8. If the chargeback falls into my favor, are they added again?
  9. No, they are removed as soon as they dispute.
  10. Any screenshots you recommend I send?
  11. You can't do ANYTHING about unauthorized transactions. Screenshots from Skype is NOT considered proof. When an unauthorized transactions claim is made, PayPal, before contacting you, makes an evaluation whether there has been a possibility that someone have had access to their account. If PayPal decides that there has, there's unfortunately not a lot you can do with it.

    However, you can contact SpigofMC, and they will ban their account reasoned "Hacked Account," or something similar, as they will in most of the cases stand behind you.

    It sucks, had to pay a 20$ fee myself for a $1.50 plugin. I had all the proof, which I at the time considered proof (screenshots, etc), but inevitably I still lost the case. That's when I found out that it's simply not worth it. Pay back the $1.50, $2.50, or $30. Don't allow them to purchase your plugins anymore, and just be happy that others, who won't file a stupid chargeback claim, does buy it.

    Won't cut it for an unauthorized transaction claim. If you don't know what that means: it's basically saying that someone made the transaction which was not the PayPal owner themselves. The information which you suggested would help if it was a claim stating that the product is not as described, etc, but has nothing to do with unauthorized transactions, as that means the PayPal account owner didn't want to buy the item in the first place.

    #11 ExpDev, Jun 21, 2017
    Last edited: Jun 21, 2017
    • Like Like x 1
  12. But if you explain that it is intangible and that you cannot refund such an item, PayPal should be reasonable enough to let the seller win the disbute, right?
  13. M8, Ive had premium plugins up for ages, Ive had a dozen or so chargebacks, only lost 1 iirc.
    Almost all were "unauthorized", and a couple were "non received product" or whatever it used to be called.
    You can definitely battle them, not doing so and forfeiting all hope before trying is foolish.

    If you dont believe me and want proof of this I can get ya a couple screenshots of won disputes when I get home?
  14. It'd be better if you explained how you won them.
    • Agree Agree x 1
  15. Yeah, instead of trying to prove people wrong, you should tell people how you won them instead of making yourself look bad and talking all this shit.
  16. Choco


    Both of you, please read the entire thread before creating replies such as this. @simgar98 has explained how he has won the chargeback disputes

    • Winner Winner x 1
    • Friendly Friendly x 1
  17. You only get charged $20 if it's a bank dispute. In which case, you will not win under, almost, any circumstances.

    Unauthorised disputes are based off the idea that someone else accessed the account. The only thing the seller can do here is prove delivery of an item was made and off that idea, in some cases, the dispute may be thrown out. In the case of intangible items, it's considered easily 'returnable' so you will not win. Just hope PayPal finds proof that unauthorised access to the account was not made.

    You can also provide IP addresses used to make the purchase and as much data as possible to PayPal. If you can provide data for PayPal to use to prove that it was indeed the account holder that made the purchase, the dispute should be thrown out. You will, obviously, not be able to verify this data yourself. In the case of actual unauthorised access (or if they used a proxy to create such an effect), you'd just be giving PayPal proof that unauthorised access was made.

    Item not as described disputes are won by the seller usually, because PayPal's Buyer Protection never used to cover intangible goods - now it covers some categories of them. Dispute "specialists" still follow the old policy, some of them, seemingly; so you'll get away with winning them just by showing to help the customer, and when they escalate to claim just say the customer is acting fraudulently in attempt to receive a free product, provide proof of delivery and whatnot, and it'll get thrown out as not covered by policy (make sure you state it is an intangible, or virtual, good).

    Welcome to online payments.
    • Winner Winner x 1
  18. That is unauthorised access. The payment will be returned in such a case. Do not say that.
  19. Maybe you should read the thread, because it's regarding unauthorized transactions and not just charge backs in general -.-

    It's not a clear enough explanation. It doesn't make sense that explaining that the buyer receives "instant access via download" helps you win a case, when that has nothing to do with an unauthorized purchase, as I've already stated. If this won them the case against an UNAUTHORIZED TRANSACTION, then the PayPal employee must simply be dumb. I can believe that this would've been good information if it would have been a claim stating that they did not receive their product. But in the case of an unauthorized transaction, the paypal account holder DID NOT WANT (BUY) THE ITEM IN THE FIRST PLACE-- so why would they want instant access download?
    This is exactly a well written explanation on why you WON'T win it.
    #19 ExpDev, Jun 21, 2017
    Last edited: Jun 21, 2017
    • Agree Agree x 1
  20. The obvious solution - and I'm shocked it wasn't stated already - is call PayPal to investigate an unauthorized claim. I've done this several times and they've always resolved the case in my favor as no one is seriously going to get away from fraud that is blatant as charging back on a site. As stated before, the $20 fee is a credit card or bank, often a bank, chargeback. With the fee, again, you call PayPal and ask them to remove the fee. The first few times they will gladly remove it.