PayPal vs GunTab
Buyers frequently get scammed with PayPal, but not with GunTab.
What is PayPal?
PayPal is an alternative to GunTab. It is a payment platform that transfers money from one party to another. It offers two main services:
- "Friends and Family" ("F&F"). This service is free, so does not include Purchase Protection.
- "Goods and Services" ("G&S"). This service costs 3%, which pays for Purchase Protection (unless the payment violates PayPal policy).
Do scammers use PayPal?
Yes, scammers frequently request payment by PayPal Friends & Family because it does not protect buyers. As indicated by StopGunScams.com, PayPal Friends & Family is one of the most commonly accepted payment methods for gun scams.
Side-by-side comparison
| GunTab | PayPal F&F | PayPal G&S | |
|---|---|---|---|
| Guns & ammo allowed | ✓ | X | X |
| Gun parts allowed | ✓ | X | X |
| Online | ✓ | ✓ | ✓ |
| Bank payments | ✓ | ✓ | ✓ |
| Card payments | ✓ | ✓ | ✓ |
| No amount limit | ✓ | X | X |
| Buyers safe | ✓ | X | ✓ |
| Sellers safe | ✓ | X | X |
| Safety guaranteed | ✓ | X | X |
| Guidance | ✓ | X | X |
| Automations | ✓ | X | X |
| Service fee | 2.9% or less | None | 3% |
| Fee on success only | ✓ | X | X |
How good is PayPal?
PayPal is a very popular way for people to handle payments online. But it prohibits gun-related transactions and makes users vulnerable to various scams.
Guns, ammo, parts, and accessories prohibited
Like all the payment platforms, PayPal strictly prohibits gun-related transactions. It says: "You may not use the PayPal service for activities that ... relate to transactions involving ... ammunition, firearms, or certain firearm parts or accessories". (Obviously "certain firearm parts or accessories" is ambiguous and could mean anything.) If PayPal catches you violating its policy, it will permanently ban you and may even seize your money and that of your family members.
"Hate to say it, but you might be SOL when they find out what you were paying for (gun stuff). They explicitly prohibit the use of their service for that." - 9outof10mms on Carolina Shooter's Club
Buyers vulnerable
PayPal F&F includes no scam protection for buyers, so buyers are fully exposed to scammers.
PayPal G&S includes scam protection for buyers. However, buyers are not protected if they are violating PayPal policy by buying ammunition, firearms, or certain firearm parts or accessories. Even if you pay the G&S fee for Buyer Protection, you are not eligible because "PayPal Buyer Protection does not cover ... products that violate PayPal policies".
Further, buyers are vulnerable to disgruntled sellers. If a buyer files a PayPal dispute or a credit card chargeback against a scammer, the scammer can retaliate by reporting a policy violation to PayPal. The buyer's funds will be seized and their account permanently banned.
Sellers vulnerable
Sellers are vulnerable to chargebacks on every payment. PayPal says: "If you receive a payment for selling goods or services that is later refunded or invalidated for any reason, you are responsible for the full amount of the payment sent to you plus any fees (including any applicable chargeback fee or Dispute fee)." That can happen if buyer issues a chargeback or files a dispute. Also, "payments to you may be invalidated and reversed by PayPal if ... You received the payment for activities that violated this user agreement".
Further, PayPal threatens: "If you are a seller and receive funds for transactions that violate the Acceptable Use Policy, then in addition to being subject to the above actions you will be liable to PayPal for the amount of PayPal's damages caused by your violation of the Acceptable Use Policy. You acknowledge and agree that $2,500.00 U.S. dollars per violation of the Acceptable Use Policy is presently a reasonable minimum estimate of PayPal's actual damages"
Plus, sellers are vulnerable to disgruntled buyers. A buyer simply needs to report a policy violation to PayPal to get the seller's funds seized and their account permanently banned.
Which is better?
In short, using PayPal for guns, ammo, or accessories is a big mistake. You have no protection from scams or chargebacks, and you even put your money at risk of being seized by PayPal. GunTab costs less, is totally safe, and even helps you complete your transactions. GunTab is clearly the better choice.