How does Paypal work?

How does the PayPal chargeback process work?

Ok, here's the issue. Stamps.com grabbed almost $300 from my paypal account when I opened up a backup funding source to be used for a rental car. I signed up with stamps.com back in '07 and never used them since. They have been trying to get money off my paypal debit card ever since from what they told me. The second that backup funding source was opened, they yanked out that money. So, I did a chargeback with my bank. The money was put into my bank account today, but paypal sent me an email saying my account has limited access. BUT when I signed into my account they said that I have a negative balance, which is the amount of the charge. WTH???? Does that mean I am in debt to paypal? Will paypal go after stamps.com? Will paypal go back into my account and take that money back? I don't know what's going on!!! Thanks for the informative answers!!!
Answer:

Look into this website, they have some excellent information about your question: http://pay-pal-merchant.blogspot.com/

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