PayPal Buyer Protection Policy


>> View all legal agreements

PayPal Buyer Protection Policy

Effective date: December 11th, 2019

These are the terms of a contract between you and PayPal (Europe) S.à r.l et Cie, S.C.A., 22-24 Boulevard Royal, L-2449 Luxembourg (“PayPal”, “we” or “us”).

These terms apply to how PayPal Buyer Protection affects you as a payer or recipient (payment recipient) of a payment for a purchase.  PayPal Buyer Protection is not a payment service.

The user agreement for the country where you are registered with PayPal as resident forms part of these terms. Capitalised words which are not defined in these terms are defined in that user agreement. As much as possible, these terms and the user agreement should be interpreted as a consistent whole. Where a conflict of interpretation arises, these terms override the user agreement to the extent of the conflict.


For reference:

  • a claim means a challenge to a payment that the payer files directly with PayPal, pursuant to these terms.
  • a dispute means a dispute filed directly with PayPal in the Resolution Centre pursuant to these terms.
  • not received or NR, when used to describe your purchase, means that you did not receive your purchase.
  • significantly not as described or SNAD, when used to describe your purchase, has the meaning given in section 9 of these terms.


1 What types of problems are covered?

  1. PayPal Buyer Protection helps you with either of these problems:
    1. You did not receive the item you paid for with PayPal – “Item Not Received” (“INR”)
    2. You received an item you paid for with PayPal but it is “Significantly Not as Described” (“SNAD”). Further information on what we mean by “SNAD” is set out in section 9.
  2. If your problem is a transaction that you did not authorise (including, without limitation, a duplicate or incorrect payment when using the PayPal Location Based Payments Functionality), please report the unauthorised transaction through the PayPal Security Centre at or following the link “Security Center” at the bottom of the home page of the PayPal Website.


2. What are eligibility requirements for PayPal Buyer Protection?
You must meet all of these requirements to be eligible for a payment under PayPal Buyer Protection:

  1. Your payment must be for an eligible item and made from your PayPal Account (see Section 3 for further details on item eligibility);
  2. Send the payment to the seller through:
    1. for INR claims: the Send Money tab on the PayPal website by clicking the “Purchase” tab, or the seller’s PayPal checkout flow, or
    2. for SNAD Claims: the Send Money tab on the PayPal website by clicking the “Purchase” tab, or the seller's PayPal checkout flow (including, without limitation, the PayPal Location Based Payments Functionality, if used by the seller).
  1. Open a Dispute within 180 days of the date you sent the payment and follow the online dispute resolution process described below under “How do I resolve my problem?” in section 5.


3. What type of payments are eligible for re-imbursement under PayPal Buyer Protection?

Purchases of most goods and services are eligible (including travel tickets, intangible items such as rights of access to digital content and other licenses), except for the following transactions:

  1. Purchases of real estate (including, without limitation, residential property)
  2. purchases of any interest in business (including, without limitation, any items or services forming part of a business or corporate acquisition),
  3. purchases of vehicles (including, without limitation, motor vehicles, motorcycles, caravans, aircraft and boats), except for personally portable light vehicles used for recreational purposes like bicycles and wheeled hoverboards;
  4. payments on crowd-funding and/or crowd-lending platforms;
  5. purchases of custom made items (unless they are claimed to be Not Received);
  6. purchases of items prohibited by the PayPal Acceptable Use Policy
  7. purchases of industrial machinery used in manufacturing
  8. purchases of items equivalent to cash (including, without limitation, stored value items such as gift cards and pre-paid cards)
  9. purchases of goods and services using Zong, Website Payments Pro or Virtual Terminal (if available)
  10. Personal Transactions
  11. gambling, gaming and/or any activity involving a chance to win a prize;
  12. payments made in respect of financial products and investments;
  13. payments to state-run bodies, (except for state-owned enterprises) or traders acting on mandates received from state-run bodies;;
  14. donations; and
  15. purchases of items which you collect in person, or arrange to be collected on your behalf (including at a retail point of sale) and which you claim to be Not Received.
  16. payments made in respect of gold (whether in physical form or in exchange-traded form); and
  17. PayPal Mass Payment transactions

PayPal may at its sole discretion automatically close any Dispute or Claim you file which PayPal has reason to suspect is not related to an eligible purchase as outlined above.


4. How much coverage do I get with PayPal Buyer Protection?

  1. If PayPal determines a Claim in your favour, PayPal will reimburse you the full purchase price of the item and original postage costs only.
  2. PayPal will not reimburse you for the postage costs you incur to return a SNAD item to the seller or another party PayPal specifies. If the seller presents evidence that they delivered the goods to your address, PayPal may find in favour of the seller even if you did not receive the goods. See section 10 for other protection you may be entitled to.

Alternatively, if you are a French customer, you may wish to contact the Direction Générale de la Concurrence, de la Consommation et de la Répression des Fraudes ( for advice on your consumer rights.


5. How do I resolve my problem?

If you are unable to resolve a problem directly with the seller, go to the Resolution Centre and follow this process:

  1. Open a Dispute
    Open a Dispute within 180 days of the date you made the payment for the item you would like to dispute. We may refuse to accept any Dispute that you open in relation to that item after the expiry of that period (please be aware of this if you agree a delivery time with the seller that falls after the expiry of that period).
  2. Escalate the Dispute to a Claim 
    If you and the seller are unable to come to an agreement, escalate the Dispute to a Claim within 20 days of opening the Dispute. It is your responsibility to keep track of these deadlines.
    You must wait at least 7 days from the date of payment to escalate a Dispute for an Item Not Received (INR), unless otherwise agreed by PayPal. If you do not escalate the Dispute to a Claim within 20 days, PayPal will close the Dispute and you will not be eligible for a payment under the terms of PayPal Buyer Protection. In certain cases, PayPal may permit you to edit or change a Claim after filing only if you wish to add further information or if you wish to change the reason of your Dispute/Claim from “Item Not Received” to “Significantly Not as Described” (but only if it relates to a single payment). Otherwise you may not edit or change a Claim after filing it.
  3. Respond to PayPal requests for information in a timely manner
    During the Claim process, PayPal may require you to provide documentation to support your position. You may be asked to provide proof of delivery, receipts, third party evaluations, police reports, or anything else that PayPal specifies. PayPal may require the seller to present evidence to PayPal in a timely manner that the Payment Recipient delivered to/performed for the buyer the purchase as agreed with the buyer, even where the purchase is not eligible for PayPal Buyer Protection under section 3. If the seller does not present such evidence in a timely manner, PayPal may find in favour of the buyer. If the seller presents such evidence in a timely manner, PayPal may find in favour of the seller even if the buyer claims to have not received the purchase.
  4. Comply with PayPal shipping requests in a timely manner
    For Significantly Not as Described (SNAD) Claims, PayPal may require you to post the item back to the seller at an address supplied to you by PayPal during the Claim process – or to PayPal - or a third party at your expense and to provide:

    If you use the service Colissimo National:

    - for items below € 200 EUR, PayPal requires only a physical Proof of Postage ; and
    - for items of € 200 EUR or above, PayPal requires a Proof of Delivery.

    For all other national shipping services (and international shipping), PayPal requires a Proof of Delivery, whatever the value of the item.

    The amounts in other currencies applicable to this requirement are: 325.00 CAD, 150 GBP, 250.00 USD, 28,000 JPY, 350.00 AUD, 330.00 CHF, 1,600.00 NOK, 2,000.00 SEK, 1,500.00 DKK, 800.00 PLN, 55,000 HUF, 6,000.00 CZK, 400.00 SGD, 2,000.00 HKD, 380.00 NZD, 2,750.00 MXN, 1,000.00 ILS, 8,250.00 TWD, 9,000.00 THB, 12,500.00 PHP, 500.00 BRL, 750.00 ARS.

    Please take reasonable precautions in re-packing the item to reduce the risk of damage to the item during transit. PayPal may also require you to destroy the item and to provide evidence of its destruction.


6. How is the Claim resolved?

Once a Dispute has been escalated to a Claim, PayPal will make a final decision in favour of the buyer or the seller. You may be asked to provide receipts, third party evaluations, police reports, or any other information or documents reasonably required by PayPal to investigate the Claim. PayPal retains full discretion to make a final decision in favour of the buyer or the seller based on any criteria PayPal deems appropriate. In the event that PayPal makes a final decision in favour of the buyer or seller, each party must comply with PayPal’s decision. PayPal may require the buyer to post an item back to the seller that the buyer claims is Significantly Not as Described back to the seller at an address supplied to the buyer by PayPal during the Claim process (at the buyer’s expense), and PayPal may require a seller to accept the item back and refund the buyer the full purchase price plus original postage costs. If a seller refuses to accept the item, PayPal may award the Claim in favour of the buyer, provided the buyer has provided satisfactory evidence to PayPal that the item was sent to the seller at an address supplied to the buyer by PayPal during the Claim process. In the event a seller loses a Claim, the seller will not receive a refund on his or her PayPal fees associated with the transaction or any other fees charged from your PayPal account by a third party associated with the transaction (such as the fees charged by a third party platform on which you make your sale).


7. Scope of coverage

Payment Recipients: As a Payment Recipient you are liable to PayPal if you lose a Claim from a buyer with a PayPal account registered anywhere in the world (whether under the PayPal Buyer Protection policy of the country of registration of that buyer’s PayPal Account or otherwise). This includes, without limitation, where you sell to a buyer who is a Full Program User and the buyer files a SNAD Claim, in which case you will generally be required to accept the item back and refund the buyer the full purchase price plus original shipping costs. You will not receive a refund on your PayPal fees. If you lose a Significantly Not as Described Claim because there is the reasonable suspicion that the return of the item would result in a violation of existing law (for example laws related to counterfeit), you will be required to provide a full refund to the buyer and in certain cases, buyer may be asked by PayPal to return the item to the seller. In the event of having reasonable suspicions of alleged counterfeited item, PayPal reserves the right to notify the relevant national or international Authorities and the buyer may be requested by such Authorities to provide the alleged counterfeited item making the return of the item to seller impossible.

If you sell or market to buyers in other countries, you should read the PayPal Buyer Protection policies of the countries in which your target buyers are based (the relevant PayPal Buyer Protection policies are available here and are also accessible via the “Legal” or “Legal Agreements” footer on most PayPal site pages) as these policies will apply to you as a Payment Recipient or seller.


8. What if my purchase is not eligible for re-imbursement under PayPal Buyer Protection?

You may also look to resolve a problem directly with the seller by filing a dispute through the PayPal Resolution Centre. To do so, you must file a Dispute in the PayPal Resolution Centre within 180 days of the date you sent the payment. Once you have done so, you should attempt to resolve the Dispute directly with the seller. If your payment is not eligible under PayPal Buyer Protection, PayPal will not make a decision on the Claim.


9. What is Significantly Not as Described (SNAD)?

  1. An item is Significantly Not as Described if it is materially different from the last description of the item that you received from the seller before you paid for the item (which, for exclusively online purchases, shall be taken to be the seller’s description of the item in the item listing). Here are some non-exhaustive examples:
    • You received a completely different item. For instance, you purchased a book and received a DVD or an empty box.
    • The condition of the item was misrepresented. For instance, the listing said “new” and the item was used.
    • The item was advertised as authentic but is not authentic.
    • The item is missing major parts or features that were not disclosed in the listing.
    • You purchased 3 items from a seller but received only 2.
    • The item was damaged during postage.
  2. An item is not Significantly Not as Described (SNAD) if it is not materially different from the seller’s description. Here are some non exhaustive examples:
    • The defect in the item was correctly described by the seller.
    • The item was correctly described but you didn't want it after you received it.
    • The item was correctly described but did not meet your expectations.
    • The item has minor scratches and was listed as used condition.


10. Assumption of Rights

If PayPal pays out a Claim, Reversal or Chargeback that you file against a recipient of your payment, you agree to transfer and allow PayPal to have your rights, benefits and remedies against the recipient of your payment. This is known in legal terms for you to agree to “subrogate” or otherwise “assign” to PayPal your rights against the recipient and third parties related to the payment, and agree that we may pursue those rights, benefits and remedies directly or on your behalf, in PayPal’s discretion.


11. Relationship between PayPal’s Buyer Protection and Chargebacks

Credit card chargeback rights, if they apply, may be broader than PayPal Buyer Protection. Chargeback rights are not limited to specific amounts per transaction, may be filed more than 180 days after the payment, and may cover intangible items. You may pursue a Claim or Dispute with PayPal, or you may contact your credit card company or credit card issuer and pursue your chargeback rights. You may not pursue both at the same time or seek a double recovery. If you have an open Claim or Dispute with PayPal; and subsequently file a chargeback with your credit card company, PayPal will close your Dispute or Claim, and you will have to rely solely on your chargeback rights If PayPal does not make a final decision on your Claim until after your credit card issuer's deadline for filing a chargeback or after your bank's deadline for filing a dispute, and because of our delay you recover less than the full amount you would have been entitled to recover from the credit card issuer (that is, the chargeback amount which is the amount paid through your credit card in the relevant transaction), we will reimburse you for the remainder of your loss (minus any amount you have already recovered from the seller). Before contacting your card issuer or filing a Dispute with PayPal, you should contact the seller to resolve your issue in accordance with the seller’s return policy (if any) as stated on their website.

Please note that where you opt to resolve the issue directly with the seller:

  • your right to raise a Dispute remains subject to the 180 day timeframe set out in section 5 a. It is your responsibility to keep track of these deadlines; and
  • if (whether as part of the seller’s return policy or otherwise) the seller directs you (and you proceed) to post the item to an address that does not correspond with our record of the seller’s address, we may determine that you have not posted the item back to the seller in compliance with section 5 d.


12. No Double Recovery

You may not receive a recovery, for a purchase under PayPal Buyer Protection for buyers if you additionally receive a recovery for that purchase directly from Payment Recipient or another third party.


13. Event tickets

In certain cases, if you purchase a ticket or pay for the right to attend an event from a Payment Recipient who is a UK registered PayPal Account holder (“Event”), all monies paid by you will be held by PayPal on trust for you, so that the beneficial interest in such monies remains with you until the performance of the Event in question.