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Some folks who ordered Mac OS X 10.7 Lion from the Mac App Store have discovered to their dismay that they were charged multiple times for the app. The problem seems to affect only those having PayPal connected to their iTunes account, but has effectively drained the accounts of some customers.
Initially, the reports, which appeared on Apple’s support forums among other places, said that Apple was blaming PayPal and PayPal was blaming Apple. It’s hard to determine exactly who made the mistake, but it actually have been both. This recent post on the Apple support forums says: “So I am on the phone with apple now – it appears that the app store treated my paypal account like a credit card – getting authorizations, and were not answered back like a credit card auth – so, it kept asking. Paypal took each of these “auth” attempts as a sale.
You heard it here folks….meanwhile – I wait for them to give my money back….UGH”
Another post said PayPal would be refunding his money. It would, however, take 3 – 5 business days. Considering what’s coming up at in a couple of days, meaning the beginning of the month and rent and mortgage payments, it’s got to be particularly upsetting for these folks.
One person even said he had nearly $4,000 in charges applied to his account. Another had $599 taken out.
Admittedly, the folks in trouble appear to be those who used PayPal to do a transfer from their bank account. We’d expect that those who would have used a credit card to make the payment via PayPal would have seen one of their card companies reject the charges, if they were done over and over again, as in this incident.
What’s worse is that some of these folks are facing overdraft charges and the like. Some are reporting, as well, that PayPal has been refusing to directly return the funds to their bank accounts, instead refunding it to customers’ PayPal account, which would mean a still further delay of 2 – 3 days to transfer from PayPal to a bank account by EFT.
Personally, when we use PayPal, we always use a credit card associated with with the account, and only use our bank account if we need to transfer funds from PayPal to our bank. The reason for this is more because of the credit card rebates than anything else, but this case shows still another reason to not pay directly from your bank account.