OK I've returned from my quilting retreat and decided to check out PayPal since there were no emails waiting for me. See last weekend they had sent an email to the Seller and were awaiting a reply before deciding whether it was an unauthorized transaction or scam or a legit transaction (which I doubt). Anyways when I checked the log and there were another two emails sent to the Seller this week but no replies received. Hmmmmm! Hopefully I'll hear something soon and shortly afterwards my money returned - $200 was definitely too much for me to lose!
When I went to the bank to apply for a low balance credit card on Tuesday, the clerk mentioned that they had received many calls of such through PayPal that weekend so I guess they are busy investigating more than just mine. I'll keep you posted. And let's hope it's good news!