How to activate Iphone 4 linked to another apple ID?

I recently bought an iphone 4 off ebay, and it's been restored to brand new except the fact that to access it I need the password for the apple ID linked to the phone. I've been asking the seller of the photos for help for a good 2 months now but he just won't reply. I've also messaged ebay bit they haven't done anything. Is there any possible way to be able to use my phone?

Unfortunately you've called victim to a security feature that Apple intentionally, and with good reason, added to the iOS system. In order to activate the phone you'll need the login information from the original owner. The reason for this is because theft of iPhones is extremely high. In order to discourage this, iPhones running iOS7 are locked to the Apple ID currently being used on that phone. As a thief would have no way, other than social engineering, to activate the phone, the thief is less inclined to try to steal the phone. As much of a pain as it is for people buying used iPhones, it works. It works really well.

My advice to you is to contact Paypal and set up a claim. If the original ad did not specify that the phone was ID locked using Find My iPhone, you have a basis for a claim. Before buying a used iPhone again, I'd run through this resource with the owner: http://support.apple.com/...cale=en_US -- That's the procedure to ensure that the iPhone is not locked to an Apple ID again. Unfortunately this will not be possible over eBay as you can't visually ensure the steps are being taken, but in person you'll be able to avoid this situation in the future.

At this time there's no jailbreak that can occur without the phone being activated, and there isn't a patch after jailbreak to prevent it so far as I know. Contacting PayPal and starting a claim is the only recourse you have. I discourage you from trying to resell it as is.