Pay Pal Limited with negative balance - what will happen? Collection Agency?

[Dagamoth]

Debt Collector for paypal

Hi, I was just wondering if you could give me a little advice. I just got a call from ER Solutions based in Renton Washington and they are saying that they were calling to collect a paypal debt. The "debt" in question is from 2004 when someone paid me with either a hacked account or stolen credit card. I had withdrawn the $300 (roughly) before they did a chargeback and after I had delivered the goods. ER solutions said I need to send a written letter to them to dispute the debt if I want to.
Some more might be important information:
I was under 18 when I opened the account.
I was over 18 when the chargeback happened.
I have not heard from paypal since the chargeback in 2004.
I live in Ohio.
Currently on unemployment.

Should I send a letter to ER solutions or should I just ignore it? Is there a statue of limitations that has been passed? If I send them a letter does it validate the debt in any way (or increase a statue of limitations)? Can ER solution put a collection notice on my credit report?
Any help or suggestions would be much appreciated.

[John14789]

What age did you put on the paypal account when you registered?

Because you can't register a ebay/paypal account if your under 18.

Do you have proof of delivery?

[Dagamoth]

I have no idea what age i put down when i registered. I was probably around 15 so it would have been in 2000 or 2001 when you didn't need to provide bank account or credit card. I don't have proof of delivery as it was back in 2004 when the chargeback happened.

[John14789]

Did you provide paypal with a SSN?

If not then don't worry about paying the debt and ignore it.

If you did you can't fight back and prove your innocence because you don't have proof of shipment. You'd have to pay back the debt if you have provided them the SSN.

[Modee]

Read this thread. It is self explanatory about what will or may happen.