So, I won an item on ebay, and duly paid for it yesterday morning, on the same day that the auction finished. Later on in the day I emailed the seller and asked when I should come to collect it. Suggested two different days, and left the time up to them.
Later that day, I got a message from them saying they now needed the item and that they had refunded the funds. They did make a refund, but the item is now sitting in My Ebay saying "to be paid for". My question is, can they do that? And, is there any negative impact on me now that I appear to have a non-paid item even though I paid for it?
I've had auctions cancelled before, but never someone withdrawing when you try to arrange to pick the item up. I'm a bit 
about the whole thing.