Hi, I have a problem with a seller who didn't ship the item I purchased (not auction related). I have known the seller at ebay and didn't have any problems for several direct deals by using online payment service, like PayPal or C2it. Recently, he offered me another deal and asked me to use another (not well known) payment service, Xcompte.com. I sent the money out for the deal but he stop contacting me, nor shipped the item. Xcompte did start the investigation by their buyer protection policy and didn't succeed to collect the fund even if they tried collect the money from his bank account and credit card company, according to them. Then, I request a charge back to my credit card company (Citi Bank) and it is in process. Meanwhile, I filed a online fraud case to FBI. Even if the chargeback didn't finish, I received an email from Xcompte. They said that they lost money because of my chargeback request and threatened me that they'll file a law suit based on their company policy (terms of use: they pointed out that they are not resposible for loss of money in the process of money transfer). They also said that I should be responsible for the additional fees (lawyer fee and interest) as well as the money itself unless I cancelled the chargeback request. What would you think about this case? I heard that PayPal allow customers to request a chargeback for their non-receiving goods if they failed to collect the money. Is that true? I am wondering how I have to respond(handle) the situation because it is my first time to experience this kind of case. I would appreciate if you give me an advice. For your reference, due to the limit of money amount for one time, I made three charges by dividing the amount ($1400.00 total).
NOT AN EXPERT...BUT I "THINK" YOUR CREDIT CARD POLICY OVER-RULES THEIR POLICY... I DON'T THINK THEY COULD CHARGE YOU ANYTHING!!!
Your credit card lender (Citibank) should take care of it if you disputed it. I would think they could take it off due to that you didn't receive the item. Oh, and another thing...it is against Ebay's policy for sellers to do transactions via email such as yours (without ebay) therefore I wouldn't buy from someone unless I had bought it off Ebay. I use paypal alot and they have a policy also to protect from fraud.
The chargeback is under process. Hopefully, I won't be charged. How about their service fee? I didn't have a time to think about it. I think it should be deducted out of chargeback amount. Also, does anyone think that the Xcompte will file a law suit for that small amount? If that is the case, how can I do it? Will the credit card company also be involved in the law suit?
The credit card company "MAY" act on your behalf... They could send a simple letter to them and say if they want to TRY...GO AHEAD...MAKE OUR DAY!!! They have HUNGRY LAWYERS ON RETAINER OR PAYROLL
Here is their chargeback policy.... "If any chargeback claim occurs (as the result of a dispute or for any other reason), you agree to provide all necessary documentation for the resolution of the claim. If you are a seller, you acknowledge that Xcompte.com does not control the outcome of the chargeback decision reached by the buyer's issuing bank in a credit card transaction, you agree to accept the decision of the issuing bank as final and legally binding, and you recognize that you may not receive payment if the issuing bank rules against you. You further agree to indemnify Xcompte.com for any claims made against Xcompte.com with respect to any chargeback amounts. If you are a buyer in a credit card transaction, you agree to accept the decision of your issuing bank as a final and legally binding decision and recognize that your issuing bank may remit funds to Xcompte.com even if you remain dissatisfied with the transaction or the resolution of the dispute with your seller. " Sounds like you owe them nothing by their own policy.... I would contact your bank right away and see what they say. It only states that xompte.com 'may' terminiate your accout if 'excessive' chargebacks occur. NOTE- they do not define 'excessive', so the magic number 'could' be "1". Good Luck... Shawn
They will not fight the CC company too hard. If they sue the CC company they take the chance of not being able to accept that card anymore. If I had an online payment system, I would not take the chance of getting a letter from Visa or MC saying you can no longer accept there card. It world destroy their entire business model.
They aren't going to do jack. They'd have to deal with the CC company in any action they brought, and they know they'd end up paying fees for filing a frivolous suit. Not only that, if their merchant accounts were terminated, they'd be out of business. Gib
