Buyer lives in student accommodation and has asked to pay by credit card

 When I received a bid from someone with no feedback I messaged him before the auction ended and told him that if he won I would only accept payment via PayPal and would be sending the item (free) by recorded delivery. He was the highest bidder and only then did I get to see that his address is in a students hall. He has also now asked if he can pay by credit card. Under these circumstances I don't feel happy to send the item to a student hall. Am I able to refuse his winning bid and offer the item to the next highest bidder. If so how do I do this .Any advise appreciated thanks

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You can only cancel if the buyer agrees to it.  It's done at Resolution Centre, link at bottom of page.   But as long as you send using trackable postage and it's signed for (not necessarily by the buyer) they would not win a "not received" case with ebay.