Paypal - your rightsPaypal protection problems
Section 75 gives extra protection
Which? doesn’t think that either PayPal protection scheme gives consumers enough cover if your goods fail to arrive or there is something wrong with them.
Paying by PayPal does give some protection against ID fraud as the retailer doesn't see your card or bank details. However, Section 75 of the Consumer Credit Act doesn't apply to Paypal transactions.
Section 75 protection
Under Section 75, if you use your credit card to purchase items costing between £100 and £30,000, if the item isn’t delivered or there’s something wrong with it, you can make a claim against the retailer or your credit card provider.
This doesn’t apply for payments made via PayPal, even if you use your credit card to top up your PayPal account.
The two PayPal complaint schemes also offer inadequate cover in our view. For example, if you buy concert tickets from eBay more than 45 days in advance and they don’t arrive, you probably won’t know if you are being conned by the seller until the PayPal cover period has expired.
And because tickets are intangible until they’re delivered, non-delivered tickets will probably never be covered under the Buyer Protection scheme. If the seller has no funds in their PayPal account, the Complaints Policy is unlikely to work either.
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