A chargeback is initiated when the customer contacts the issuing bank to request a payment reversal. Many of these chargebacks could be avoided. The more you know the proper procedures, the less likely you’ll run into issues that might result in a chargeback. As your partner, we’re here to help you resolve unwarranted chargebacks, and with our Seller Protection programme, you’re protected for eligible payments against fraudulent transactions and items not received chargebacks.
When a customer files a chargeback through their credit card company, we will notify you and hold the funds in question as we work with you to resolve it.
Submit your supporting documents or evidence through the Resolution Centre to dispute the chargeback. We’ll represent you in negotiations with the credit card company, who makes the decision.
We’ll remove the hold once we’ve determined the transaction is eligible for Seller Protection.
Chargebacks arise for many reasons, but primarily for customer disputes and fraud:
Some chargebacks can be resolved easily without the merchant having to lose the sale. There are several ways to avoid possible chargebacks and disputes:
Provide your email address or customer service phone number, or even call buyers in advance when you're selling higher priced items, so that buyers can talk to you about an issue first.
Do your best to respond quickly and professionally to all reasonable buyer inquiries.
Suggest to your buyer in opening a dispute with the PayPal Resolution Centre instead of filing a chargeback with their credit or debit card company.
Ensure you publish your return and refund policies on your website, auction listings and correspondence with customers, in clear and simple terms.
Provide information such as pictures, measurements and other relevant details on the item you are selling.
Avoid additional costs from chargebacks. Always use the refund link in the PayPal Resolution Centre to issue a refund. Refunds issued outside of PayPal are not covered under our Seller Protection programme.
We will place a temporary hold on the funds in question and send you an email requesting proof of delivery.