With the threat of negative feedback removed, in theory, unpaid item reports should be way up. However, eBay says that is not the case.

Ina Steiner has an article on this topic on her blog. In specific, she cites another article where sellers are specifically warned against filing UPIs (Unpaid Item).

I usually agree with Ina on most things but I have to disagree on this point. I think she is only helping to spread hysteria.

I have never shied away from filing UPIs. If you don’t pay me within 7 days, I start the process. If you pay within a week after that after, I stop the process and close the dispute and leave you positive feedback. If you never pay me, I file the dispute and get my money back. I have not been penalized in any way by eBay for filing UPI claims. I still get the preferred search placement, PowerSeller status and the good service discounts.

Failing to file UPI only results in your losing money (since you won’t get your fees credited) and bad buyers being allowed to strike another unsuspecting seller.

Please, do not buy into hysteria and heresy. I am telling you, as a seller reaping all the benefits of the new DSR system, filing UPI claims has no negative effect on your account under the new system..

PS: I just want to add a quick note here as a response to a comment on Ina ‘s post. One person is saying that his unpaid item rate is up over 2 times as much since they added these changes. I have to say, honestly, mine is no change. I still get the same number of unpaid buyers as before, no more, no less.