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Ebay seller lied about shipping?

I bought a PSP on ebay on Saturday. It was free shipping [UPS Ground] with buy it now or best offer. The seller made a counter offer of 159.99 and offered [free overnight shipping] on the message in the counter offer. I had accepted the offer late Saturday night and the seller is from NY so I am NOT expecting the package today(Monday) as over night has to be shipped out before 1pm. I was expecting it Tuesday or Wednesday. Now when I checked my email this afternoon(3pm. Same time as seller) I noticed I got an email with tracking number stating it was [UPS 3 day select]. I am in no hurry to get the item but I am a little upset the seller lied about the shipping method as one of the reasons I accepted the counter offer was cause he offered "FREE overnight shipping", otherwise I would have preferred paying less on the PSP. Am I allowed to file a dispute about this on Ebay? And if so would it be best now while it's in transit or when I receive the item? I emphasized on Free because I am a bit new to Ebay and how that works. I am not sure if maybe he expected me to pay something extra or do something for overnight shipping as overnight shipping is supposed to be a little more expensive. He had typed free overnight shipping on the message under the counter offer. Sorry if there was any confusion.

Public Comments

1. When its recieved. I have had many people try to pull 'fast ones' like this over me and one time someone ended up stealing 100$ off my account, and ebay was NO HELP at all. I think he got a 3 month ban. Free is FREE, and you should ream this guy out over it. I would be VERY upset.
2. Yes, if it fails then file paypal into dispute. Happened to me on a guitar i bought there, took a bit of time but it worked for me. Broadcast the sellers name.
3. When you communicated with the seller, it was through Ebay correct? If so, Ebay should have documentation. Just provide a copy of the email they wrote with the counter offer and promise of next day service. Then provide the tracking number if the 3 day select you claim to have. Though i'm not sure what monetary value Ebay can "give you back" I think the only thing you can do is leave negative feedback on the seller so you can warn others .. also you are getting" FREE" shipping, just not overnight. so actually, you should be capsing OVERNIGHT.. Paying extra for free overnight? that doesnt even make sense. sorry. The way it sounds is that the seller just plain old lied to you. As I said, report it to ebay as outlined above, and see what they say. Just leave the seller negative or neutral feedback, and most importantly. CONTACT THE SELLER!! and see what they say. Its possible they will give you some money back...