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I was punished for alerting Paypal to a suspicious Payment I received

After alerting PayPal to a suspicious payment and following their instructions they have overdrafted both that account and business checking over $750
On April 20 someone contacted me on Skype to say he had paid for Online English Lessons from either me or a teacher who is employed by me. When I went to my Paypal account to check I saw a $200 from an American paypal account, this should have been a payment from a man in Algeria not an American woman in Indiana. I called paypal immediately to report the payment which I also saw was sent to an old email address, not the current business email and I have no payment package for the price of $200 ever. Paypal told me to email the woman the payment came from and they put the payment on hold thus freezing my account. After spending time that should have been spent teaching I called customer service every day for a week to understand why they were removing funds from the account. I was met with unhelpful call agents and disdain as if I had stolen this money.

I posted a complaint on Facebook warranting me a very polite response from their “social team” saying it had been researched the money returned and I would be credited $100 for being a good client. I received this credit while at the same time they repeatedly tried to deduct $194 from my business checking which then became over drawn with $250 in overdraft fees. I was told that I was not protected as a seller of “intangible goods” and must return the payment and that was why they tried to get it from my other account. Why am I being charged for returning a fee I never touched? If they had the money “held” why do they need me to give them the $194 ($200 minus their processing fees)?

I have had to restrict the business checking as well as my personal account and as the Paypal account is in a negative balance billing agreements I have with my website hosting company and other important business agreements have not been honored and I have lost control of the website that my students send payments on and prospective students contact me from. I have two teachers who have not been paid as well as the rent on my home and office. This has been devastating after trying to do the right thing. The woman who the payment came from never contacted me after I alerted her to the payment and the entire transaction is suspicious but I am being punished.

Posted: May 13, 2013 at 6:38 pm


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