How does PayPal Seller Protection work? Is my transaction eligible?

PayPal Seller Protection is provided to our sellers for free. Your eligible transactions are safeguarded by Seller Protection when your buyer raises claims, chargebacks or reversals for the following problems:
  • Unauthorised transaction: Buyers claim that they didn’t authorise the purchase, they didn’t make the purchase, or they were victims of identity or credit card theft.
  • Item not received: Buyers claim to have never received the goods they purchased.
For an eligible transaction, we’ll reimburse you the full amount of the eligible payment and waive the chargeback fee if applicable.

Is my transaction eligible for Seller Protection?
To be covered by Seller Protection, your transaction should meet all the eligibility criteria required for a Hong Kong account holder. The transaction should be marked as "Eligible" or "Partially eligible" for Seller Protection on your transaction details page.

Please note that certain items/transactions aren't eligible for Seller Protection. For example, claims or chargebacks for items significantly not as described, items delivered in person, or digital goods. Learn more about what's not covered.

How does Seller Protection work?
If a buyer files a claim, chargeback or reversal against you, we’ll place a temporary hold on the funds in your PayPal account. This is done to ensure that you’re aware of this issue and there are sufficient funds available to cover the full amount of the claim, chargeback or reversal.

Next, we'll ask you to submit proof of postage and necessary information in the Resolution Centre:
  • For an unauthorised transaction, proof of shipment is required.
  • For items not received where the transaction value is less than US$750, proof of shipment is required. For items not received where the transaction value is equal to or greater than US$750, proof of delivery with signature confirmation is required.
If we determine that your transaction is eligible for Seller Protection, we’ll lift the temporary hold on the funds and restore the funds to your account.

If we determine that your transaction isn't eligible for Seller Protection, the funds will be returned to the buyer’s account. You may be responsible for a chargeback fee if applicable.