Posted By:
will watson"even though you may agree to let paypal handle the situation, if you report it to your cc company, they will investigate and take action if warranted under their own policies/practices. The cc company is not bound by your paypal agreement. Paypal does this, I presume, to try and prevent the cc companies from taking back money thereby costing paypal money. If they wanted to, paypal's recourse would be to claim that you violated your deal with them - but experience tells me they wont do that."
Josh, i wouldn't recommend filing a chargeback with your credit card if you purchased through paypal. paypal doesn't like when you "go over their head" and directly to your cc company. no idea why, but i suspect that paypal would be losing out on their hard(ly) earned money. i've heard numerous stories of paypal punishing people by freezing their accounts for doing this.
for anyone who wants to read about some of the paypal horror stories, check out www.paypalsucks.com . the site also has updates about the pp lawsuit. interesting read, and some of the horror stories will make you rethink using paypal. its great for buyers, but risky as hell for sellers