PayPal Only Protects PayPal

I WAS SCAMMED VIA EBAY/PAYPAL DESPITE BEING THE SELLER AND RECEIVING THE MONEY:
 
I have used PayPal for years, although mainly to purchase I hasten to add. Recently however I chose to sell a Brand New IPAD via ebay. So sale completed, both ebay & paypal contacted me with the postal details of the winning bidder. The money cleared and I transferred the cash into my bank and then sent the item.
 
Two weeks later I had an email from PayPal stating the transaction had been disputed with a reference number, so I could logon to PayPal and give my side of the story. Unfortunately the PayPal website didn't recognize the ref (Claim) number which PayPal had emailed me, so I couldn't reply to the disputed claim on the unworkable website. It was out of hours so I waited until the morning. By the time I logged on in the morning the £490 had been refunded without any consultation or correspondence from myself, despite that being my money - The IPAD is now long gone, sent by recorded delivery. (At this point I'm now -£490 in the RED)
 
I have written to PayPal because the website is so bad you simple go around in circles. I have had a single automated email stating they have received my letter and will be in touch, that was 10 days ago.
 
This morning I have had an independent debt collecting company phone me stating that they now own the debt and want a payment of £490 today or they will begin legal proceedings.
 
Lessons Learnt: The only person protected by the PayPal system is PayPal.
They have little to no concern for the customers of PayPal, they are great when things are going well but quick to wash their hands with you and transfer your case to an independent debt collecting company when there is a problem.
There is no human side to the company, it is always another departments problem, you are on your own until the debt collectors get in touch, but at least you can talk to them, even if they care little about how you ended up in debt, they only care about recovering the money.
 
SUMMARY:
PayPal is a very dangerous tool. It works very well but if con-artists work the system, which they are doing daily, PayPal will not protect you or your loss, it is easier for PayPal to hand you over to the dept company than chase up the criminals, they no where to find you and everything about you, the criminals simply disappear until they find there next victim, they guy that robbed me had done the same with dozens of others via an ebay account. Use PayPal with care, I followed the procedure but was not protected by the PayPal system, its all in the pages of small print you agree to when you start using PayPal.
 
I say again, THE ONLY PEOPLE PROTECTED BY PAYPAL ARE PAYPAL!

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