Beware of accepting Paypal

[Nat C.]

I recently got stung with a vacation rental as I accepted paypal for the payment.

I had a vacation rental which I advertised on various online platforms, including the vacation rental section of craigslist. I took a one week booking for a property at a rate of $500 for the week. The renter was a foreigner and they paid via paypal on the day of arrival.

Everything went fine and they left after a week. About 2 months later I got an email from paypal saying the person had made a claim through their credit card company, which they had used to pay the $500 to paypal. No details were given to me about their claim, except that I was asked to write a response. I assumed it was an error and emailed back stating that the money had been paid for a vacation rental booking. 

About 2 weeks later I got an email from paypal that was like 'Sorry but the credit card company withdrew the funds and there was nothing we could do. Sorry about that.'

I'm quite annoyed and feel it's completely unjust. I provided the accommodation and have the proof yet there is no opportunity for recourse. 

Of course I have tried contacting the person who rented the property but they've never responded to my emails.

I had no idea paypal could just allow third parties to deduct funds from my account. I thought money in my paypal account was safe and secure. I want everyone to be aware it's not and be wary of accepting payment this way.

[Rhett Tullis]

One of the many reasons I never take credit card payments for rent.  I use dwolla and am pretty happy with it so far.  There is just way to much at stake to let the credit card company ruin your month.