Yup, that's the one. Whatever reason, this is not acceptable. I agreed that the bag was to be sent to my home address and everything was good. One of two things has happened here:
a) She lied and said the bag got stolen so she could keep it herself or sell it to someone for a higher price. She initially wanted to send an invoice via PayPal rather than I pay through Pay Now button in eBay. It cost her 75 euros, which she also complained about. Therefore I suspect that the money is the main factor here. Combined with the fact that she accepted my bid at 200 euros less than the Buy It Now price it makes it more likely.
b) Wore my bag after I paid for it and someone did actually steal it.
I rarely buy pre-loved items, and after this it's going to be a while before I do it again
I just wanted second opinions regarding the feedback and what I should do. As I said, usually I buy expensive things new in stores, so I don't really have muck experience with transactions on eBay going wrong.