Expanded seller protection FAQs - PayPal

Expanded seller protection FAQs

Definitions

Eligibility and Enrollment

Coverage

Shipping

Claims

Definitions

What is expanded seller protection?

It is improved protection for sellers for their PayPal payments, currently available for registered eBay PowerSellers in the United States, the United Kingdom, Canada, and Hong Kong.

PowerSellers are covered for claims, chargebacks, and reversals for unauthorized payments and merchandise not received when transactions meet the terms of coverage.

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What is an unauthorized payment?

When someone makes a payment from a credit card, bank account, or PayPal account without the account holder's actual authority, the payment is most likely considered an unauthorized payment. Under expanded seller protection, sellers who meet the eligibility guidelines are protected if the payment was unauthorized.

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What is merchandise not received?

When a buyer pays for an item but claims not to have received it, it is considered a claim for merchandise not received, or item not received. Under expanded seller protection, sellers who meet the eligibility guidelines 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, or that PayPal has examined the buyer’s PayPal account history and confirmed the address.

We confirm addresses to help:

  • Guard against stolen credit cards
  • Prevent identity theft
  • Decrease chances of receiving a fraud-related chargeback

Learn more about confirmed addresses

With expanded seller protection, PowerSellers no longer need to ship to confirmed addresses to be protected against claims, chargebacks, and reversals for unauthorized payments for items sold on eBay.

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Eligibility and Enrollment

Who can participate in the exclusive offer for expanded seller protection?

The exclusive offer is available to you if you are a registered eBay PowerSeller and your country of residence and eBay registration is in the United States, the United Kingdom, Hong Kong or Canada.

To participate, you must also have a PayPal account that is registered in one of the countries listed above and linked to your eBay account. Your PayPal and eBay accounts must be in good standing.

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How do I know if I’m eligible for expanded seller protection?

If you’re eligible for expanded seller protection, we have already automatically enrolled you to receive the benefit and you should have received an email notification.

If you haven’t received notification, you can check your eligibility and enrollment status by logging in to your PayPal account and going to the Profile page. If you see a link called “Unauthorized payment protection” in the Selling Preferences column, then you are eligible. Click that link to view your enrollment status. If you do not see the link, then you are not eligible. If you meet all the criteria listed above, then please follow the instructions below.

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I am a registered eBay PowerSeller, but my PayPal account is not eligible or enrolled. What do I do?

If your PayPal account is not eligible for expanded seller protection, please:

  1. Add your eBay PowerSeller ID to your PayPal account by going to your PayPal Profile, selecting the “Auctions” link under Selling Preferences, and adding your eBay PowerSeller ID.
  2. Send an email to ExpandedSellerProtection@paypal.com with your eBay PowerSeller ID and your PayPal account primary email address.

We update eligibility twice a month. We’ll check that your eBay and PayPal accounts are in good standing, update your eligibility, and send you a confirmation email.

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I’ve lost my PowerSeller status. Am I still eligible for expanded seller protection?

If your account is enrolled for expanded seller protection and you lose your PowerSeller status, you will still be able to enjoy the benefits of expanded seller protection.

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What happened to enrollment?

Due to the number of support questions regarding enrollment, we have decided to auto enroll all PowerSellers.

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How do I know if I’m enrolled?

Log into your PayPal account and go to the Profile page. If you see a link called “Unauthorized payment protection” in the Selling Preferences column, then you are eligible. Click that link to view your enrollment status. If you are not enrolled, then click the “Enroll” button.

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What if I don’t want the additional protection?

We anticipate that eBay PowerSellers will be happy with expanded seller protection. However, if for any reason you wish to opt out, you may do so at any time by going to the Settings page for expanded seller protection in your Profile: Click the “expanded seller protection” link in the Selling Preferences section on the Profile page and choose the “Cancel Enrollment” button.

If you change your mind, you can enroll again as long as your account remains in good standing and you still meet the qualifying criteria.

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How long will the exclusive offer for expanded seller protection last?

There is no set timeframe, and we plan to make ongoing improvements to expanded seller protection.

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Are there any hidden fees?

No. There are no hidden fees - it’s available at no additional cost.

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Why are you offering expanded seller protection?

Sellers who use PayPal have asked for more seller protection, especially for international payments. We are committed to providing the safer and easier way to be paid online, and this is an important step in making PayPal safer for sellers.

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Coverage

What are the terms?

Please see the terms of coverage for US or Hong Kong.

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What are the transaction eligibility guidelines?

Expanded seller protection offers improved coverage to eBay PowerSellers in the United States, the United Kingdom, Hong Kong, and Canada.

  • Unauthorized payments

    To be eligible for protection against chargebacks and reversals for unauthorized payments, be sure to follow all the terms, including:

    - Providing proof of shipment

    -Shipping to the address on the transaction details page for items sold on eBay and the confirmed address for items not sold on eBay. (Protection for items not sold on eBay is only available to sellers in the US, United Kingdom and Canada or WorldSellers at this time.)

  • Items not received

    To be eligible for protection against chargebacks and claims for merchandise not received, be sure to follow the terms, including:

    - Providing proof of delivery that is viewable online

    - Providing a signature confirmation that is viewable online if item is $250 USD or more

    - Shipping within 7 days of payment, or within the date specified in your listing or website for pre-ordered and made-to-order goods.

See the US or Hong Kong terms for complete details.

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What is the difference between expanded seller protection and the current Seller Protection Policy?

Here is a summary of expanded seller protection and Seller Protection Policy coverage. For full details, see the terms for expanded seller protection or Seller Protection Policy.

Seller Protection PolicyExclusive offer for expanded seller protection
Eligible sellersVerified Business and Premier sellers in the United States, the United Kingdom, and CanadaRegistered eBay PowerSellers in the United States, the United Kingdom, Hong Kong, and Canada
Eligible paymentsPayments from buyers in the United States, the United Kingdom, and CanadaPayments from buyers in 202 countries
Protection for unauthorized payments
  • Chargebacks
  • Reversals
  • Chargebacks
  • Reversals
Protection for merchandise not received
  • Chargebacks
  • Claims
  • Chargebacks
Annual coverage limit$5,000.00 USDNone
Eligibility requirements
  • Ship to a confirmed address
  • Provide proof of delivery (signature confirmation of receipt for items $250 or more) for chargebacks and reversals for unauthorized payments
  • Provide proof of delivery (signature confirmation of receipt for items $250 or more) for chargebacks for merchandise not received
  • Ship tangible goods
  • No confirmed address required for items sold on eBay - just ship to the address that appears on the transaction details page
  • For items not sold on eBay, ship to the confirmed address (US, UK, Canadian and WorldSellers only)
  • Provide proof of shipment for chargebacks and reversals for unauthorized payments
  • Provide proof of delivery (signature confirmation of receipt for items $250 and more) for claims and chargebacks for merchandise not received
  • Ship tangible goods
Not covered
  • Local pickups
  • Digital goods, services, or intangible goods
  • Payments made using Virtual Terminal and Direct Payment
  • Local pickups
  • Digital goods, services, or intangible goods
  • Payments made using Virtual Terminal and Direct Payment

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What types of transactions are covered by expanded seller protection?

Transactions for tangible goods paid for with PayPal are eligible for coverage, except those that are processed through Virtual Terminal or Direct Payment. See the US or Hong Kong terms for complete details.

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What protection do I get for items not sold on eBay?

Registered eBay PowerSellers in the United States, the United Kingdom and Canada are protected against unauthorized payments for items not sold on eBay when they ship to a confirmed address. All sellers, regardless of their country of residence or PowerSeller status, are protected against claims or chargebacks of non-receipt on eligible payments when they provide online proof of delivery showing the item was delivered to the buyer’s address, and signature confirmation of receipt for items valued over $250 USD. See US or Hong Kong terms for more details.

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Why are payments processed through Virtual Terminal and Direct Payment not covered under expanded seller protection?

Expanded seller protection is available only for payments made from a buyer’s PayPal account.

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Why does expanded 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 expanded seller protection is proof of shipment or delivery. 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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With expanded seller protection, where can I ship?

You can ship to buyers in all 202 countries and markets where PayPal is accepted.

See the full list of countries

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Do I have to ship to a confirmed address to be covered under expanded seller protection?

If the payment is for an item sold on eBay, just ship to the address on the transaction details page, even if it is unconfirmed. If the payment is for an item sold off of eBay and your PayPal account is registered in the United States, United Kingdom, or Canada or you are a WorldSeller, you should ship to the confirmed address to be eligible for coverage under expanded seller protection.

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What if 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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Shipping Information

What is proof of shipment?

Proof of shipment is documentation or online verification from the shipping company that shows the shipping date, the address to which the package was sent, and official acceptance from the shipping company (for example, a postmark). It differs from proof of delivery because it doesn’t have to show that the package was actually delivered, just that it was shipped. The proof of shipment doesn’t need to show the full street address since some shipping companies don’t include this information. The city/state or ZIP code (or equivalent) are normally acceptable.

Learn more about proof of shipment.

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What is proof of delivery?

Proof of delivery shows the item was delivered to the recipient and should be in the form of an online tracking number that shows the address to which the package was shipped, the date the package was delivered, and a status of delivered. For items worth $250 USD or more, a signature confirmation of receipt is also required. The proof of delivery doesn’t need to show the full street address since some shipping companies don’t include this information. The city/state or ZIP code (or equivalent) are normally acceptable.

Learn more about proof of delivery.

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What if I use a shipping company that is not recommended by PayPal?

As long as you are using a legitimate shipping company and the information you provide contains all the requested pieces of information, we’ll accept your documentation (see our shipping recommendations for more details).

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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 "delivered" from the shipping company.

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How can I submit proof of shipment or proof of delivery?

If you are responding to a chargeback or reversal for an unauthorized payment, you can fax or upload scanned images of your proof of shipment in the Resolution Center.

If you are responding to a chargeback or claim for merchandise not received, we accept online tracking information as proof of delivery in the Resolution Center.

If you are a seller in Hong Kong and you do not have an online tracking number and cannot get a fax cover sheet in the Resolution Center, please fax your proof of delivery information to + 852-3550-8597. On the fax cover sheet, make sure to include the email address you use for your PayPal account and the PayPal case number.

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What if I’m using desktop mail software such as Endicia, USPS Click-N-Ship, or UPS WorldShip?

You should still be able to satisfy the minimum requirements by providing an online tracking number.

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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.

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Claims

Will expanded 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 expanded 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, if the transaction is covered under expanded seller protection, we lift the temporary hold and restore the funds to your account.

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What do I do if a buyer files a claim or chargeback for merchandise not received?

If a buyer files a claim or chargeback for merchandise not received, we place a temporary hold on the funds and send you an email to let you know. We also ask you to provide proof of delivery.

For items under $250 USD (or its equivalent in another currency), you need to provide proof of delivery that can be viewed online. For items $250 USD or more, you need to provide a signature confirmation that can be viewed online.

As soon as we receive your proof of delivery, we determine if the transaction is covered. If it is, we lift the temporary hold and return the funds to you – including the chargeback fee when applicable. If it isn't, we return the funds to the buyer's account.

For more information, please see the US or Hong Kong terms for expanded seller protection.

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What do I do if a buyer files a chargeback or reversal for an unauthorized payment?

If a buyer files a chargeback or reversal for an unauthorized payment, we place a temporary hold on the funds and send you an email to let you know. We also ask you to provide proof that you shipped the item.

As soon as we receive your proof of shipment, we determine if the transaction is covered. If it is, we lift the temporary hold and return the funds to you – including the chargeback fee when applicable. If it isn't, we return the funds to the buyer's account.

For more information, please see the US or Hong Kong terms for expanded seller protection.

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