I thought I read(maybe another thread on here?) that they can sell the debt on?
They do, but that doesn't mean that you've then entered into a credit agreement.
PayPal doesn't get very far when chasing these "debts" simply because they are of their own doing.
They can't actually impose a debt onto someone because of a choice they make with regards to a decision they've made on behalf of a transaction you made privately with another individual.
"Owing" them money is entirely down to whether you go along with their requests.
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