We’re with you every step of the way.

A chargeback occurs when a customer asks their credit card provider to reverse a transaction. We’re here to help you through the chargeback process and, with Seller Protection, your eligible transactions are protected against fraudulent payments and claims the item was not received.


If a chargeback is filed, we’ll email you and place a hold on the funds in question.


You submit supporting documents through the Resolution Centre.


If the transaction is eligible for Seller Protection, the funds will be released back to you.

Reasons for chargebacks.

  • The customer claims they never received the goods as promised at the time of purchase.
  • They received an item that was very different from your description, or the item was damaged when they received it.
  • The customer claims they didn’t authorise the purchase, or they were victims of identity or credit card theft.

Avoiding chargebacks and disputes.

There are several ways to avoid possible chargebacks and disputes:

  • Provide contact information.

    Provide your email address or customer service phone number, or even call buyers in advance when you're selling higher priced items, so they can talk to you about an issue first. You can also do this using our customer service message feature.

  • Be responsive.

    Post items quickly and use a shipping method provides tracking. Send the tracking number to your customer and keep a copy of the tracking results for your records. Give realistic delivery dates and don’t over-promise. Respond quickly and professionally to buyer enquiries.

  • Suggest dispute resolutions.

    Suggest your buyer opens a dispute through our Resolution Centre instead of filing a chargeback with their credit or debit card provider.

  • Provide a clear return policy.

    Ensure you publish your return and refund policies on your website, auction listings and correspondence with customers, in clear and simple terms.1

  • Give accurate descriptions.

    Provide information such as pictures, measurements and relevant details about the item you are selling. Make sure customers can easily identify the purchase on their statement by updating your credit card statement name.

  • Issue refunds when possible.

    Avoid additional costs from chargebacks. Always use the refund link in our Resolution Centre to issue a refund. Refunds issued outside of PayPal are not safeguarded under our Seller Protection.

1Please note, some laws and credit card provider policies stipulate that buyers have chargeback rights for merchandise that is not delivered or is defective, even if the seller indicates a no-returns policy for all sales.

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Frequently asked questions

What happens when a buyer files a claim or a chargeback?

If a buyer files a claim or chargeback, we’ll place a hold on the funds in question and email you a request for proof of shipment.

Once we've received this, we’ll determine the transaction’s eligibility for Seller Protection. If eligible, we’ll release the funds.

We’ll assist you when working with the credit card provider on a chargeback. However, we must abide by their final decision and release the funds to the party they find in favour of.

If you’ve resolved a PayPal dispute by issuing a refund and we subsequently receive a chargeback for that transaction, we’ll notify the credit card provider that the dispute has been resolved. If you receive a credit for a claim under our Seller Protection policy, you’re protected against chargebacks for that transaction.
Learn about Seller Protection and proof of shipment

What are the most common reasons for chargebacks not being protected by PayPal Seller Protection?

Delayed or no response. If you do not respond with proof of shipment through the PayPal Resolution Centre within 10 days, we may decide the transaction is not eligible for Seller Protection.

Proof of shipment requirements were not met. At the very least, your documentation must include: The date the item was sent; and
An official acceptance by the shipper, such as a postmark or online tracking status. (Tracking status that shows the item was delivered is also acceptable.)
It must also include either:
The recipient’s delivery address, showing at least the state, city and postcode (or international equivalent); or
A receipt from Australia Post showing at least the recipient’s suburb, city or postcode (or international equivalent).
Tip: You should keep a record of your online tracking results for at least 180 days after the transaction date.

The order was not shipped to the customer’s address on the transaction details page.

The item sold was delivered in person or picked up.

The transaction was for an intangible good, such as software.

For full eligibility requirements, see our Seller Protection Policy