PayPal — Disputed Charge

Paypal is demanding payment for a disputed charge against me from April for an item that was received from the buyer- buyer admitted misunderstanding. I sold an item on Ebay back in April and received a disputed charge from the buyer in August. I shipped the item out promptly after the sale ended. It was part of a batch of items I sold, in which all of the other items were received. I have now contacted Paypal 6 times to resolve this issue. They recommended that I handle it outside of Paypal by messaging the buyer. Though I found it odd that Paypal told me to deal with this on my own, I was so tired of dealing with incompetent people at Paypal and went ahead and messaged the buyer. She messaged back within the day and admitted that the disputed charge was a misunderstanding as her Paypal account had been compromised $60,000 and when she had her bank reverse the charges, many of her Ebay purchases were caught up in the reversal/dispute charges. After receiving this email I immediately called Paypal and explained this to them and offered to send them the message from the buyer. Paypal responded by saying that the message was not a sufficient form of proof as I could have tampered with the message. Since then the buyer has sent me 2 messages with bizarre excuses and reasons why she couldn’t send the money to me. They said that there was no tracking number associated with the transaction. I went through Ebay’s shipping label service and was not given a tracking number. I have a confirmation email from Ebay shipping label service with a total of the shipping costs but not a detailed receipt. As a reminder this transaction happened in April- almost 6 months ago, so all of the transaction details on Paypal and Ebay are no longer available or are very vague. After several more phone calls to Paypal I notice that I am charged an extra $20 for having a dispute made against me in the first place. After complaining profusely, the $20 was reversed, but I was told I still owed the remainder unless the buyer sent me a money order. It has been a month since I received the message from the buyer saying it was a misunderstanding but I have still not received any notice saying the charges were dropped. I called Paypal today yet again after receiving several emails and phone calls from them that I still owe the balance. I spoke to the dispute department and they were so rude and unhelpful saying that it wasn’t Paypal’s problem and that it is the buyer’ banks decision as to whether or not the transaction should be reversed or not. Isn’t the point of Paypal to protect your money and to protect you from situations like this? Paypal is doing the exact opposite and at one point even blamed me for the fact that they’re getting charged money as well for the disputed charge. On top of that, when they recommended that I handle this outside of Paypal they also recommended that I send the buyer my address so I could receive the money order. This isn’t good business practice to encourage customers to disclose personal information to resolve disputes outside their company. I would like Paypal to reverse the negative balance on my account due to the disputed charge. After my account has reached a balance of $0.00 I would like to immediately close my Paypal account as I have had issues with them being rude, unhelpful, and uncaring in not only this matter but other complaints I have had in the past.