eBay Seller Disputing Refund and eBay want me to wait

Hi everyone,

I recently bought a games console from an eBay seller. I bought it via Paypal last Friday, and collected it in person last Saturday. Upon collection, the seller gave me some free games as they said that they had no luck in selling them and they were just lying around. Once I took it home, I realised it didn't come with one of the necessary cables - the cable wasn't listed in the ebay listing so no biggie, I'll order one and test it out when the cable comes.

So the cable arrived on Thursday. Upon testing it, one of the controllers wasn't functional at all, and the other one seemed to work sporadically, but is otherwise alright. I'm worried that it is a fault with the console controller ports, but its a passing thought for now until I can get my hands on a new controller to test it.

I sent the seller a message on eBay asking for either a refund for the amount of a new controller, or to send through a new genuine controller and I would return the faulty one. The seller refused saying it worked perfectly when we left and it had taken me too long to let them know it was faulty. Well obviously this wasn't fair as the new cable had only just arrived, so we emailed back and forth with her continuing to refuse a refund/replacement, and even tried to say that we were 'even' because of the free games. After a while, they then agreed to send through a cheap replacement controller only and that this was a goodwill measure. I refused this as the controller that broke was a genuine controller and I did not want a cheap replacement. I said I would lodge a dispute with eBay and Paypal, and would send back the free games.

I called eBay for their advice and they said I have to wait until 29th Jan to lodge a case and that it would be better for me to let eBay handle it rather than Paypal. I have sent back the games via registered post. Is there anything else I can do? Would Paypal be quicker in resolving the case? I just don't want to wait until the 29th..

Thanks in advance