PayPal to reimburse Aussie eBayers

PayPal to reimburse Aussie eBayers

Summary: The Australian division of eBay subsidiary PayPal has confirmed it will reimburse customers left out of pocket by the collapse of local eBay seller EBS International.

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The Australian division of eBay subsidiary PayPal has confirmed it will reimburse customers left out of pocket by the collapse of local eBay seller EBS International.

EBS international sold equipment such as bikes and exercise equipment on eBay and other sites, but went into administration last week.

Those who paid for goods using PayPal but didn't receive them or a refund from EBS International will be reimbursed by PayPal. A PayPal spokesperson estimated the number of customers to be around 2,500, but couldn't name a dollar figure.

"Given the unique nature of this, and the size ... we're looking after our customers," the spokesperson said.

There wouldn't be a limit on the amount of money which the company would pay out, they continued, but added that the criteria for refund still needed to be worked out. "We don't know if everybody is due for a refund."

When the company has a better handle on the situation, customers will be contacted via message boards. At the moment, the spokesperson said, "it's all a bit fluid".

An eBay spokesperson responded to reports that the company could have acted sooner to shut down the EBS International by saying it followed its normal process.

It was in eBay's interest to identify companies with problems, said the spokesperson, as it has become a creditor as well. "eBay is owed just as much as buyers," they said.

Topics: Browser, E-Commerce, Enterprise 2.0, Tech Industry

Suzanne Tindal

About Suzanne Tindal

Suzanne Tindal cut her teeth at ZDNet.com.au as the site's telecommunications reporter, a role that saw her break some of the biggest stories associated with the National Broadband Network process. She then turned her attention to all matters in government and corporate ICT circles. Now she's taking on the whole gamut as news editor for the site.

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Talkback

4 comments
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  • Refund

    I received a refund from Paypal after lodging a dispute a month ago. Paypal initially refused to refund me even though I won the case, stating that EBS's account had no funds. But after a few emails and phone calls, I received the refund.
    anonymous
  • PayPal is a sham!

    This proves that PayPal's so-called "buyer protection" is a complete myth. If PayPal offered real protection, it wouldn't need to set up a "special fund" to compensate buyers.

    And why only compensate buyers who paid with PayPal? It was eBay that allowed EBS to keep selling items long after the complaints started rolling in.

    I stopped selling on eBay months ago after the insane changes to feedback. Now I will NOT be buying there ever again. Any smart buyers would go elsewhere - eBay and PayPal is simply NOT SAFE!
    anonymous
  • Trading on eBay is no longer safe

    eBay has completely pooped its own nest. In their attempt to force Paypal onto eBay users, and this proof that PayPal's so-called buyer protection doesn't really exist, they have basically made trading on eBay unsafe.
    anonymous
  • PayPal Stance Has Changed

    What began as a statement by Managing Director, Andrew Pipolo, that all customers who paid by PayPal would be refunded - has since dwindled to include only customers over the 'last few weeks'. Given that EBS did not trade for the previous two weeks, those few people who lost their money in the final week of EBS trading may gain a refund. Although, that's the story as of yesterday. Things could and will likely change yet again.
    anonymous