The way his buyers can get trapped is in no way fine. It is in many ways unfair, and doesn't really protect the seller at all, all it does is make the buyer unable to do jack shit to try and repay him. It actually hinders him and makes him getting his money back less likely in this circumstance. If I got trapped, couldn't pay back because I never even received the money, then reported and banned, do you think I'd be giving him his money back?I mean, a TOS is harsh for a reason. It's to protect the seller, I think this is fine.
