Seller Protection from PayPal Canada - Learn How We Do It
If you are a Canadian PayPal account holder and your transaction is deemed eligible, PayPal will cover you in the event of an unauthorized purchase, an "item not received" claim, chargeback, or reversal. Learn more about what's eligible and what's not below.
If you're a non-Canadian account holder, visit the FAQs page to get coverage details for your country.
When you are covered:
- Your transaction is marked either eligible or partially eligible. You can check the status on the Transaction Details page.
- Your primary residence, as listed in your PayPal account, is in Canada.
- The item is a physical, tangible good that can be shipped.
AND you do the following:
You ship the item to the shipping address listed on the PayPal Transaction Details page. If you're not selling on eBay, make sure you ship to a Confirmed Address. This means that you're shipping to an address that PayPal has validated to help reduce chances of fraud.
We recommend you ship within 7days of receipt of payment.
For all transactions, keep proof of shipment and delivery that can be tracked online. If your buyer picks the item up in person, or you can't provide traceable proof of delivery, your transaction won't qualify.
For payments over $325 CAD (or local currency equivalent, including shipping and tax), be sure that you have signature confirmation of delivery in addition to proof of shipment (See above). If a buyer files a claim, you must respond to our requests for information as outlined in our communications to you.
When you are not covered:
- Items are picked up locally or delivered in person.
- You sell services, intangible items, or digital goods.
- You receive multiple payments for the same item.
- You've received a claim or a chargeback, and the shipped item is found to be significantly different than it was described.
- Example: You describe a new laptop, but send a used one.
- PayPal Direct Payments
- Virtual Terminal Payments
- PayPal Business Payments
- Items that are not shipped to the buyers shipping address listed on the PayPal Transaction Details Page are not covered. If you originally ship the item to the shipping address but the item is later redirected to a different address, you will not be eligible for PayPal Seller protection. We therefore recommend not using a shipping service that is arranged by the buyer, so that you will be able to provide valid proof of shipping and delivery.
Need more information? You'll find more Seller Protection specifics here.
Important Shipping Information
Depending on the type of claim or chargeback the buyer files, you will need to provide either Proof of Shipment or Proof of Delivery to get coverage.
If you're responding to an "item not received" claim or chargeback, you'll need to provide Proof of Delivery from a shipping company that meets the following conditions:
- It shows the status as delivered.
- It confirms the date the order was delivered.
- It includes the recipient's address, including a minimum of city & province, or city & country, or postal code (or equivalent).
- For payments of $325 CAD (or local currency equivalent) or more, it includes proof of the recipient's signature to confirm delivery.
If you're responding to an Unauthorized Purchase, you'll need to provide Proof of Shipment from a shipping company that meets the following conditions:
- It shows the status as shipped or delivered, or shows a postmark.
- It confirms the date you shipped the order.
- It shows the merchandise was shipped to the complete buyers shipping address on the Transaction Details Page.
Note: Proof of Delivery is an acceptable alternative to Proof of Shipment.