Navagon: If you want to file a dispute with Paypal then you'll first have to contact MS to at least try to resolve the matter with them (no matter how futile it might seem to you).

It will take time and chances are there will be another charge before you've resolved it. So contact your bank and let them know what the situation is and what your options are.

Paypal are pretty good about resolving disputes, in my experience, but in this case they're the last ones you want to be contacting about this.

GameRager: Well it seems i'm in the crapper again. I found out earlier this month that I was being charged each month for some live stuff and other crap from M$ via my paypal account so I cancelled the continuous monthly charges via paypal's interface, then went out to use the debit card linked to it(since I have some money left) to buy groceries/etc thinking I was safe as the paypal charges were cancelled from re-occuring.

To make a long story short, paypal charged it anyways to my bank account and now i'm in the crapper with a crapload of overdraft fees.

Who do I contact to resolve this? The bank to get them to possibly turn around the fees? The paypal service(seeing as how they let the thing go through after I had cancelled it)? Or M$?

I'm thinking the bank but I dunno.

GameRager: So who should I contact first? The last time I had a major overdraft like this I contacted the bank and they waived the fees. But that wasn't paypal or M$ related, so I dunno.

If I contact M$ what is the fastest way to go about it with them and should I try to get the overdrafts refunded through my bank in the meantime or no?

Dischord: Contact both.

Let the bank know the situation, as it exists, and let them know you are also contacting Paypal to make sure that no more charges are passed. The overdraft fees can be waived, at the bank's discretion, and normally they will do so if it is due to error outside of your control.

Let Paypal know the fix you are in, as a result of them continuing to pass along charges you notified them to quit paying, and include a copy of the email you sent to them doing so, as an attachment.

Be civil with each, and act like a partner trying to solve a problem with them (you are!)

Good luck, and if you never authorized M$ to take anything, contact them as well.

wpegg: What did you buy form Microsoft (I'd avoid getting in the habit of M$, given you may need to be nice to them soon)?

There is something called continuous authority. I don't know if it's the same in the US, but in the UK it's how companies screw us. Basically in the smallprint they can say that they have the right to just take money out of your account. If that's the case it's possible that paypal are simply acting under that authority, so a scheduled payment cannot be canceled, you've basically given them the right to deduct the money. No idea if this applies to you, we can check once we know what you subscribed to.

GameRager: I cancelled that continuous authority thing when I found out about it, yet they rebilled me anyways(M$ via paypal).

wpegg: Who did you cancel it with, Paypal, or MS?

GameRager: paypal...M4 was basically taking funds from paypal which was taking from my bank...etc.

wpegg: I think that's your problem. The deal was with MS, you can't cancel a deal with them by stopping the payments. You need to cancel your actual subscription to the service, not block the payments. I think they were able to just charge it through anyway.

Dischord: There might be a problem with Microsoft if you didn't cancel prior to the deal period ending.

If you did, let them know to credit your Paypal account quickly, and make sure they know that the house of cards fell as a result of it.

Still contact the bank and let them know, as in the prior post(s).

GameRager: How can they just charge stuff through without authorization? Don't they have to dispute it first with you/paypal?

...

It wasn't a continuous period defined(year long/etc) deal. I could cancel at any time. I figured stopping it via paypal would be enough(stupid me I know). I didn't think they could just go over paypal and get them to charge my account without any future authorization.

wpegg: Sorry dude. I think you're going to have trouble here. The whole point of continuous authority is that they can do just that. Though I'm surprised paypal allow it.

However I don't konw US law, at this point you really want to get to your bank in person. Get into contact with Paypal (make sure you're totally honest, they will know otherwise). Get into contact with MS (I'm afraid I hold little hope there, as this is exactly what they were aiming for, but it's worth a shot). You must get into a dialogue with all parties. Knowing you, I would suggest you suppress your anger, and try to be very calm.

EDIT: To your advice, definitely contact other parties. Depending on what you have agreed to, you may have actually authorised that claim. That's the problem.

GameRager: How can they just charge stuff through without authorization? Don't they have to dispute it first with you/paypal?


GameRager: It wasn't a continuous period defined(year long/etc) deal. I could cancel at any time. I figured stopping it via paypal would be enough(stupid me I know). I didn't think they could just go over paypal and get them to charge my account without any future authorization.

************************
Addition: I contacted the bank and told them I didn't authorize that latest payment from paypal and they made me submit a claim and they're sending me an affadavit to sign & return. Should I still contact paypal or MS? And if so what should I tell them? Also any other advice of what else to do in the meantime?