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If you used your credit card to pay through paypal, you have two recourses.
1. Paypal typically finds the seller at fault and credits the money back to the buyer.
2. Using one's credit card to pay for purchases through paypal (versus direct withdrawl from a bank account) gives one more layer of protection.
Do report him to Paypal... chances are that he will have the money yanked out of his account.
I buy off Ebay all the time and I have very good trades. Sorry to hear it's not been the same for some of you fellow Boxster owners.
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