At the time you choose Friends and Family, did you understand that you were defrauding PayPal out of their transaction fee? Did you understand that as a result of that choice you had waived any and all buyer protection by PayPal? Just because someone is a ham does not mean they are trustworthy (MOST ARE), but a trustworthy ham has never suggested the Friends and Family option to me. It is generally the crooks that do. But even if a Friends and Family business transaction goes well, you are the crook. Because you defrauded PayPal. PayPal can afford it. I hope you can too.