Thats a pretty good assessment of the discussion I had with them on the phone... I think what they were trying to avoid is getting stuffed for large scale disputes, like if you buy a £10k VMC on ebay. It wasnt meant to hit the small stuff but its too generic. Apparently some people have bought large scale goods like that via a paypal account set up specifically for the transaction and a CC. Then when there's a dispute about the suitability of the machine they put in a buyer claim on paypal and a chargeback request on the CC. that leaves paypal in the lurch... they cant take the money back off the seller unless the goods are returned but now they get stuffed for the buyers amount due to the new CC chargeback rules which as a merchant they are bound by.