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Seller Protection on eBay FAQ’s - PayPal

Seller Protection on eBay - FAQ

Definitions

Coverage

Shipping Info

Payment Review:

Claims and Chargebacks

Definitions

What is Seller Protection?

It is a form protection for eBay sellers with a registered PayPal account. It covers eBay sellers for claims, chargebacks and reversals for unauthorised payments and items not received when transactions meet the eligibility criteria. The coverage is only available for items sold on eBay that are paid for with PayPal.

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What is a claim?

A claim arises when a buyer and seller can’t resolve a dispute over a transaction and either party escalates it to PayPal for review. A buyer typically files a claim due to:

- Items not received

- Item significantly not as described

- Unauthorised payment

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What is a chargeback?

A chargeback occurs when a buyer asks their credit card company to reverse a transaction that has already been approved. A buyer typically files a chargeback due to:

- Items not received

- Item significantly not as described

- Unauthorised use of buyer’s credit card

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What is a reversal?

A reversal can occur for many reasons, including transactions for items not received or those that PayPal believes to be fraudulent. When a reversal happens, PayPal returns the funds to the buyer. See the full terms for complete details:

- Click here for Singapore sellers

- Click here for sellers registered in other qualifying countries

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What is an unauthorised payment?

When someone makes a payment from a credit card, bank account or PayPal account without the account holder’s permission, it is considered an unauthorised payment - for example, a payment made with a stolen credit card or bank account, or a child using his/her parent’s credit card without permission.

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What are items not received?

When a buyer pays for an item but claims not to have received it, it is considered a claim or chargeback for an item not received. Under Seller Protection, sellers who meet the eligibility requirements are protected if buyers claim they didn’t receive the item.

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What is a confirmed address?

It means that the buyer’s credit card billing and shipping addresses are the same. Confirmed addresses are only available in the United States, United Kingdom, and Canada. PayPal offers confirmed addresses as an additional way to increase security. (However, it is important to note that you can still receive a chargeback for reasons unrelated to fraud.)

With Seller Protection, sellers will no longer need to ship to confirmed addresses to be protected against claims, chargebacks, and reversals for unauthorised payments and items not received for items sold on eBay.

Learn more about confirmed addresses

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What is Payment Review?

Payment Review provides you with notification of unauthorised payments before you ship. PayPal provides you with notifications via email and at the top of every transaction details page when you log in to your account indicating whether it’s ‘ok to ship’ or ‘wait to ship’. Additionally, to know if your item is covered under Seller Protection, check the ‘Seller Protection’ section of the ‘Transactions Details’ page and ensure that it states ‘Eligible’.

Important: Only payments for qualifying eBay items will be covered under Seller Protection when the eligibility criteria are met. Payments for items sold outside eBay are not covered.

Learn more about Payment Review.

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Coverage

How do I know if my eBay item is eligible for seller protection?

In your ‘Transaction Details’ page, we will let you know if your item is ‘Ok to ship’. If the payment status indicates ‘Ok to ship’ and your item meets the rest of the eligibility criteria, your item will qualify for seller protection. If you shipped your item when the payment status still indicates ‘Wait …Don’t ship yet – Under Review’, your item will not be covered under Seller Protection. Learn more.

Additionally, to know if your item is covered under Seller Protection, check the ‘Seller Protection’ section of the ‘Transactions Details’ page and ensure that it states ‘Eligible’.

Important: Only payments for qualifying eBay items will be covered under Seller Protection when the eligibility criteria are met. Payments for items sold outside eBay are not covered.

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Where do I find the Transaction Details page to know if I can ship and if my item is eligible?

You may access the “Transactions Details” page by logging into your PayPal Account, by either selecting “Details” in the Status column or by going to the “History” page and then selecting “Details” for the transaction.

At the top of every ‘Transaction Details’ page, PayPal provides you with a notification indicating whether it’s ‘ok to ship’ or ‘wait to ship’. Additionally, to know if your item is covered under Seller Protection, check the ‘Seller Protection’ section of the ‘Transactions Details’ page and ensure that it states ‘Eligible’.

Important: Only payments for qualifying eBay items will be covered under Seller Protection when the eligibility criteria are met. Payments for items sold outside eBay are not covered.

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Are there any fees for Seller Protection?

Seller Protection is offered at no additional cost.

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Which countries qualify for Seller Protection?

Argentina, Australia, Austria, Belgium, Brazil, Bulgaria, Canada, Chile, China, Costa Rica, Cyprus, Czech Republic, Denmark, Dominican Republic, Ecuador, Estonia, France, Finland, French Guiana, Germany, Gibraltar, Greece, Guadeloupe, Hong Kong, Hungary, Iceland, India, Indonesia, Ireland, Israel, Italy, Jamaica, Japan, Latvia, Liechtenstien, Lithuania, Luxembourg, Malaysia, Malta, Martinique, Mexico, Netherlands, New Zealand, Norway, Philippines, Poland, Portugal, Romania, Reunion, San Marino, Singapore, Slovakia, Slovenia, South Korea, Spain, Sweden, Switzerland, Taiwan, Thailand, Turkey, United Arab Emirates, United Kingdom, United States, Uruguay, Venezuela.

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What if my country is not mentioned in the list of qualifying Seller Protection countries, what coverage do I get?

Seller Protection is not yet available to sellers outside the list of the qualifying Seller Protection countries. We are committed to providing a safer and easier way to be paid online and will continue to work towards extending Seller Protection to more sellers and countries. In the meantime, please visit the Security Centre to learn how PayPal helps protect you in other ways, as well as how you can protect yourself.

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With Seller Protection, where can I ship?

You can ship to buyers in all 190 markets where PayPal is accepted.

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What are the eligibility criteria?

To be eligible for Seller Protection, just follow the rules below:

  • Be an eBay seller with a PayPal Premier/Business account registered in qualifying countries
  • Accept only full payments from the same PayPal account (no partial payments)
  • Receive payment via PayPal for tangible items sold on eBay
  • Ship to the buyer’s address shown on PayPal’s ‘Transaction Details’ page when the payment status indicates it’s “OK to ship” Learn more about Payment Review.
  • Check eligibility in your ‘Transaction Details’ by logging in to PayPal, go to your Account History and click on the ‘Details’ link next to the transaction.
  • Provide shipping documentation and respond with the relevant shipping documentation within 7 days when a claim, chargeback, or reversal arises:
Unauthorised PaymentsItems Not Received
Proof of ShipmentYes
Online Proof of DeliveryYes
Signature Receipt (for items ≥ $250 USD)Yes

See the full terms for complete details:

- Click here for Singapore sellers

- Click here for sellers registered in other qualifying countries

- Click here to see 'what’s not covered under Seller Protection

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What types of transactions are covered by Seller Protection?

Transactions for tangible eBay items paid for with PayPal qualify for coverage if they meet the eligibility criteria.

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What types of transactions are not covered?

All transactions are covered, except in the following cases:

  • Digital goods (downloadable software), businesses, services or intangible items
  • In-person delivery or local pick-ups
  • Transactions for cars, boats and other vehicles
  • Unauthorised payments for transactions outside of eBay
  • Where adequate proof of shipment or proof of delivery is not provided

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Why is Seller Protection only available for items sold on eBay?

With Seller Protection, PayPal is offering industry-leading protection to its sellers. We decided to offer this protection as a trial for items sold on eBay and if all goes well, we will consider expanding protection to items sold off eBay in the future.

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Why does Seller Protection not cover deliveries made in person or intangible goods (such as digital goods or services)?

One of the most important requirements for coverage under Seller Protection is proof of shipment or proof of delivery to the PayPal transaction address in the event of a claim, chargeback or reversal. Since deliveries made in person and sales of intangible goods do not have shipping documentation that can be verified, we cannot currently extend protection for these types of transactions.

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If a child uses their parent’s credit card, is the charge eligible under Seller Protection?

Yes. Assuming the seller satisfies the eligibility criteria for Seller Protection.

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Does the removal of the Confirmed Address requirement for buyers result in reduced protection for sellers?

No. The requirement for confirmed addresses was removed from the Seller Protection eligibility criteria but does not reduce protection for sellers.

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Shipping Information

What is proof of shipment?

Proof of shipment is authentic documentation from a legitimate postal/shipping service that includes an official acceptance by the shipper, the date sent and the address to which the package was sent. It differs from proof of delivery because it doesn’t have to show that the package was actually delivered, just that it was shipped. See more information on proof of shipment:

- Click here if you’re a Singapore seller

- Click here if you’re a seller registered in other qualifying countries

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What is proof of delivery?

Proof of delivery is documentation from a legitimate shipper that shows the item was delivered to the recipient. Proof of delivery should be in the form of an online tracking number that, when verified online, shows the date the item was delivered and the address to which the package was sent.

See more information on proof of delivery:

- Click here if you’re a Singapore seller

- Click here if you’re a seller registered in other qualifying countries

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What forms of proof of shipment and proof of delivery does PayPal accept?

We accept documents from legitimate postal/shipping service that include an official acceptance by the shipper, the date sent, and the address to which the package was shipped (proof of shipment) or delivered (proof of delivery).

See more information on proof of shipment or proof of delivery:

- Click here if you’re a Singapore seller

- Click here if you’re a seller registered in other qualifying countries

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How do I get a proof of shipment or proof of delivery?

Proof of shipment: When you post your item, you will get a receipt or ‘certificate of posting’ from the postal/courier service. Please keep this receipt and make sure that it shows the required details.

Proof of delivery: The postal/shipping services you use must first have the ability to connect to the mail tracking website for the country you’re shipping to.

To determine if online proof of delivery is available with the postal/courier service you use and the country you’re shipping to, click the respective links below:

- Click here if you’re a Singapore seller

- Click here if you’re a seller registered in other qualifying countries

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What information is required for a proof of shipment or proof of delivery?

For unauthorised payments, you’ll need to provide proof of shipment documentation. Your documentation must show:

  1. Status as shipped, or shows a postmark
  2. Date of shipment
  3. Recipient’s address, showing at least city, zip/postal code, state, or country (or equivalent)

For item not received claims or chargebacks, you’ll need to provide online proof of delivery documentation. Your documentation must show:

  1. Status as delivered, or shows a postmark
  2. Date of delivery
  3. Recipient’s address, showing at least city, zip/postal code, state, or country (or equivalent)
  4. Proof of recipient’s signature, for items valued at $250 USD (or local currency equivalent) or more

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How do I submit proof of shipment or proof of delivery to PayPal?

Proof of shipment: documentation can be faxed*, uploaded, or entered (if online tracking number - log in to the Resolution Centre and follow the instructions).

  • For offline proof of shipment: Fax or upload the proof of shipment documentation
  • For online proof of shipment: Provide the tracking number you see on your shipment receipt

*If you choose to fax, please be sure to include the fax coversheet which you can find in the Resolution Centre.

Proof of delivery: Online tracking information for proof of deliveries can be entered directly in the Resolution Centre.

See more information on proof of shipment and delivery:

- Click here if you’re a Singapore seller

- Click here if you’re a seller registered in other qualifying countries

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What if the shipping company forgets to scan the item upon delivery?

Please follow up with the shipping company. We can only accept an official status of delivery from the shipping company.

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What if I’m using a drop shipper?

Even if you are using a drop shipper, you need to obtain the required documentation from the drop ship facility: either proof of shipment or proof of delivery.

See more information on required shipping documentation:

- Click here if you’re a Singapore seller

- Click here if you’re a seller registered in other qualifying countries

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Why am I required to ship to the buyer’s address shown on the PayPal transaction details page?

This requirement is for your safety. The address on the PayPal transaction details page is registered with and checked by PayPal. When the buyer asks you to send merchandise to a different address, it may indicate fraud.

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What if the buyer asks me to ship to an address other than the address on the transaction details page?

If you ship to a different address, you will not be eligible for coverage. If the buyer wants you to ship to a different address, we recommend that you ask the buyer to resubmit the payment with the new shipping address.

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Payment Review

How will I know when it’s ‘Ok to ship’ my item?

Within minutes of payment completion, we’ll notify you whether it’s ok to ship your item or not This is known as ‘Payment Review’.

PayPal will notify you via email and at the top of every transaction details page when you log in to your account indicating whether it’s ‘ok to ship’ or ‘wait to ship’. Additionally, to know if your item is covered under Seller Protection, check the ‘Seller Protection’ section of the ‘Transactions Details’ page and ensure that it states ‘Eligible’.

Important: Only payments for qualifying eBay items will be covered under Seller Protection when the eligibility criteria are met. Payments for items sold outside eBay are not covered.

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What should I do if PayPal alerts me to 'Wait to Ship' my item?

We strongly recommend that you do not post your item while we’re reviewing the payment as it will not be eligible for Seller Protection coverage. Typically it takes 24 hours for a payment review to complete. However, for payment by eChecks, it may take 3-4 days for clearance. Check the ‘Transaction Details’ page for more details. Learn more.

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What if I ship my item when the Transaction Details page is not yet showing ‘Ok to ship’?

If you ship your item when the ‘Transaction Details’ page does not indicate ‘Ok to ship’, you will not be eligible for coverage.

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What happens when PayPal tells me ‘Stop. Don’t ship’?

Don’t ship because the transaction is believed to be fraudulent or unauthorised by the account holder. In such cases, the payment will be cancelled and PayPal will reverse the funds from the ‘Pending’ balance of your account. Because the item remains in your possession, you won’t incur any loss.

Learn more.

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Claims and Chargebacks

What happens to the funds when a claim or chargeback occurs?

While the funds are being disputed, a temporary hold will be placed on the transaction amount while PayPal reviews your case. Once we validate your shipping documentation, and if the transaction is covered under Seller Protection, we will lift the temporary hold and restore your access to the funds. If it isn’t, we will return the funds to the buyer’s account. In addition, you will be responsible for PayPal’s chargeback fee, if applicable.

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Will Seller Protection give me access to funds if a claim, chargeback, or reversal occurs?

If a buyer files a claim, chargeback, or reversal for a transaction that is eligible for Seller Protection, we place a temporary hold on the transaction amount while we make sure the transaction meets the terms. Once we validate your shipping documentation, and if the transaction is covered under Seller Protection, we will lift the temporary hold and restore your access to the funds. If it isn’t, we will return the funds to the buyer’s account. In addition, you will be responsible for PayPal’s chargeback fee, if applicable.

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What happens when a buyer files a claim or chargeback for unauthorised payments or items not received?

If a buyer files a claim or chargeback for an unauthorised payment or items not received, we place a temporary hold on the funds and send you an email to let you know.

For unauthorised payments, you’ll need to provide a proof of shipment.

For item not received claims and chargebacks, you’ll need to provide a proof of delivery.

As soon as we receive your proof of shipment or proof of delivery, we’ll review it and determine if the transaction is covered. If it is, we’ll lift the temporary hold and restore your access to the funds when applicable. If it is not, we’ll return the funds to the buyer's account. In addition, you will be responsible for PayPal’s chargeback fee, if applicable.

For more information, please see the terms for Seller Protection:

- Click here for Singapore sellers

- Click here for sellers registered in other qualifying countries

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