This is a good example of HN users linking to the original source, not just TechCrunch.Much more information, better written (because it's actually happening to Sean @ Clicky not just being reported about) AND it has important practical updates.
I stopped using PayPal a long time ago due to their appalling customer service and the fact they think nothing of screwing sellers even when the seller is clearly in the right.
For example, in several (unrelated) cases I had items which were sent to buyers and had proof of delivery/receipt (sometimes I even received written confirmation from buyers to state items had been received and they were happy).
However whenever these people made a dispute (usually 1day after they expected to receive the goods), PayPal ALWAYS refunded them.
These disputes arose due to issues caused by shipping delays on international sales (and yes, I tell buyers several times during the order process on my sites that international shipping may be subject to minor delay at times especially during peak holiday seasons, so they should be aware of this).
The only thing PayPal is afraid of is your Credit Card company. they frankly do not care about sellers as they know an unhappy seller will stay with them, due to market dominance, whereas an unhappy buyer will kickup a fuss (in worst case using thier card company to claim a chargeback) which will cost them time and money. Also, as they want to increase usage of thier service, they will usually find in favour of the buyer in a dispute as it is the sellers money they give away, not theirs, and hence for them it is a win-win situation (happy buyer, less headache for them) at the seller’s expense.
Before worrying about the availability of their service, I would encourage seller to beware of the drawbacks of the service.
Ugh tell me about it. Paypal has got some of the worst customer service I've ever witness in my life. I've sent them several emails regarding the use of their services in other countries (the reason being we have some customers who work in Shanghai) and they're responses were either canned(which did not answer my question at all) or treated me liked an idiot and referred me to their documentation. Which by the way is in need of some work as well. They even had the gall to send me an email to rate their customer service!! PayPal FTL.
"Here is the solution that we used:
1. install geoip on your server
2. find the country your customer comes from using geoip
3. include &country=customer_country in the paypal url your customers are sent to
the country combobox will show the customer country as a default."
Their sandbox really sucks. 404s galore. I decided to develop on their live site which has been more reliable. No my credit card bill is 10 pages and every transaction has a reversal.
The documentation is lacking and inaccurate in many places. They don't consider these bugs so I was unable to provide them feedback.
Their support staff acts like bugs and other issues are not that important. I asked if they could provide a list of PP bugs to the public so that I could mitigate, if possible, and they said no because it would make them look bad.
I'd jump ship if there was another solution that provided the features.
I've had really good luck with paypal personally. This current issue is a pretty big deal, but I find it tough to beleive he found no satisfaction with the on-phone support. Maybe they have gone downhill lately.
Plus parts of http://news.ycombinator.com/item?id=200028 devolved into a conversation about Arrington.