Safety tips

Paxful offers more than 300 payment methods to buy and sell bitcoin. Some of these payment methods require additional caution. As a seller, you should be aware of these specifics to increase the safety of your bitcoin and to have an overall pleasant experience on Paxful.

Cash Payments

  • Ensure that the buyer deposits cash in your name, and ask for the receipt. 
  • Make sure that you are trading with the actual person making the deposit. Avoid dealing with third parties in such situations.

Online Wallets

  • Ensure that the buyer’s account is verified on the wallet service provider (i.e. verified PayPal account).
  • Ask for the buyer’s ID. Make sure the user’s full name matches both their ID as well as their online wallet account.
  • Ensure that you are trading with the owner of the account and that no third parties are involved. 
  • For extra precaution, you can ask the buyer to write on a piece of paper the confirmation of the purchase of bitcoins along with the trade ID, including the trade amount and take a picture of it. In case of a chargeback, you can show this picture as evidence.
  • Paypal specific tips:
    • Ask for Selfie with ID and a note saying “I am making payment of x.xx to email address + real name.
    • Make sure the person has sufficient balance in their account and they pay directly from their account. If they pay by card, a chargeback is much less likely to occur. Stick to low amounts and limit new buyers to one trade per day/week to limit chargeback risks.
    • Accept payments only from verified PayPal accounts to ensure they have a bank account linked to it. This will help in case of chargebacks as PayPal will have information about such users.
    • Make sure that payment comes as a single transaction from the Paypal account owner.
    • Prefer payments as “Friends and Family”.

Debit/Credit Cards

  • This method is just as risky as online wallets as you could easily be charged back. Use the same precautions as for online wallets. 

Gift Cards

  • To avoid gift card deactivation, ask for a receipt and make sure the gift card is bought with cash.
  • Be aware of card resellers. If the card was obtained from third parties there is a risk of the card becoming invalid during or after the trade. Ask everyone to provide a picture with your username and trade ID. 
  • Be careful when accepting e-codes or gift cards bought with debit/credit cards as any debit/credit card purchase can be charged back.

Here is some additional information about our rules for selling bitcoins. Also, check out our guides on selling bitcoins and creating a sell bitcoin offer.

 

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