Another case of eBay buyer fraud recently surfaced. This seller sold a set of speakers. As it often happens the buyer claimed the item was defective. Seller paid for return shipping and received a small bubble-mailer envelope. When he opened the package it contained a pair of well worn smartphone earbuds.

Fortunately this seller has mastered social media and has around 31k YouTube subscribers. The seller produced this video telling his story. He also used flash cards to break down the eBay and PayPal plus shipping fees. Obviously he’s rightfully pissed! 😡

Fortunately for him his fan-base spread his eBay negative story through other social media channels. The “noise” as former CEO John Donahoe liked to say, got someones attention at eBay Inc. According to this video a resolution was reached between the seller and eBay buyer fraud corporate official.

I’ve seen so much of this kind of fraud on eBay. If a defrauded seller is able to make a loud noise in cyberspace eBay will step in and pay the seller. An example was this iPhone seller that had a large fan-base. An eBay official eventually reversed their PayPal funds hold decision.

As this seller says in his video – eBay and PayPal did collect their fees. This includes PayPal’s fee on the shipping charges. eBay knows that the buyer will probably buy another item. They will profit again and again and again from buyer fraud!

Since when did a corporations return policy override federal law? I’m not an attorney obviously. But a company profiting from FRAUD which this example clearly demonstrates must be illegal.

Calling this behavior a Racket might be stretching it a bit. The fact IS eBay and PayPal are indeed profiting from buyer return fraud by collecting seller fees.