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This doesn't smell right at all...
I wonder if Paypal is perhaps tagging everyone who uses their subscription service that is above a certain dollar threshold? I mean if you're doing say $1000 a month or more with them, you're probably going to pay the $750 to avoid losing those sales. On the other hand if you're doing $50 a month with them, you're gonna walk.
With Paypal's model, you're not really getting a chargeback as such. When you receive a subscription, the money is transferred from that user's paypal account to your's. You have no idea how he funded his account. It could've been via his checking account, a credit card or used tractor parts on an Ebay auction. There's no way for you to tell.
If the user does a chargeback, he's actually charging back funding of his Paypal account. As best I can tell, their data doesn't associate a funding transaction directly to a site. They're more of a stored value system than a credit card processor.
Now with the other IPSPs, you have the option of not paying the $750 and just ceasing to accept Visa thru that processor. I wonder if Paypal will do the same? My hunch is they cant....and it's because they're not really a processor. Again, there's no way to determine where the funds being transferred from a user to a website originally came from. Would they perhaps just not let you accept payments from users who have a Visa tied to their account as the default funding method?
I dunno...lots of unanswered questions about Paypal and they're not answering them. My hunch is they do not know the answer themselves.
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