Paypal Chargeback ? What is it ?

Hi guys, i always have people going on about this chargeback thing what occurs with paypal? Can someone fill me in on how it works and what you do to make it happen? I really have no clue what this whole drama is. ?

 

Say you are selling gold to me. We do the trade through paypal. After you give me the gold, and I sent you the money for it through paypal I claim it was a fraudulent charge. So I get the Runescape gold, my paypal cash back, and you are in the negative for your paypal account.

 

When the buyer gets the gold, he contacts the credit card company and reverses the payment.

 

^^^^that's why paypal is an unsafe payment method, most people selling virtual stuff use WU.