New PayPal rules tomorrow

General
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"PayPal Purchase Protection is intended for end-use consumers; therefore, purchases made for the purposes of filling retail inventory or any purchases made with the intent of reselling the item(s) are excluded from PayPal Purchase Protection.

The intent of this change is to ensure that the retail consumer continues to avail the PayPal Purchase Protection while the “business entities” buying their inventory and supplies do not abuse the purchase protection when their supplier relationships and agreements go sour.

Users who make commercial purchases are still able to use the Dispute phase, and can even resolve Claims with their suppliers who are willing to amicably solve the problem.

However, if the dispute is escalated, and PayPal identifies that a Claim is opened on a commercial transaction the claim will be denied.

Scenarios where this exclusion does not apply:

The purchases of collectibles which may be resold at a later point to collectors so long as these are not bulk purchases.

The purchases completed as an end user and where the buyer may later decide to sell the item due to a wrong size or a change of heart.

The trade in used goods and luxury items between consumers."

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Tldr?

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How can they prove “intent of reselling” ?

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TL;DR - Individuals purchasing collectibles (whether buying for a permanent collection or for reselling) are still covered by Paypal protection

Unsure what “bulk purchase” means, however (i.e. at what # of booster boxes is a purchase considered a “bulk purchase” and thus not covered)

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Here’s my read on it -

PayPal is tired of people buying “too good to be true” listings that people feel inclined to buy anyway because of PayPal protection.

They don’t want to stop helping regular customers because they understand that a regular consumer who has a bad experience and can’t get their money back would stop using their services.

But for the businesses / flippers of the world, they’re basically saying “we know you need us anyway, and you should know what you’re doing anyway, so tread carefully and stop abusing our protection policy.”

But to @chrisbalestra, 's point, this is also very vague and it is completely unclear what sort of standard they will use to determine who is buying products with the intent to re-sell. We need much clearer guidelines.

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I think the language is more directed at bulk purchases rather than resellers, so flippers are still protected.

Also worth noting: if someone classifies themselves as a business (i.e. as an LLC) this might also apply to them potentially. (This statement is far more speculative on my part, however)

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This is a good point.

Bulk purchases / quantities above what 1 family unit would realistically need could be a good standard for determining if a purchase is being made with the intent to re-sell.

To be clear, I am sure these changes have very little to do with the market for collectibles, which is peanuts compared to the totality of transactions that PayPal handles.

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This is sounding a little better than what a paypal rep told me about a month ago, they made it sound like anything not in original packaging wouldn’t be covered.

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So are y’all still going to use Paypal GnS for insured transactions while we figure out how “intent to re-sell” is defined?

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Would an individual still be protected if they were to buy a booster box and use G&S? Sorry if this was already answered in one of the previous posts.

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Yes, but if you buy 20 boxes you might have some troubles

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