What is a chargeback, and why did I get one?
Chargebacks happen when your customer disagrees with a credit card charge and asks the credit card company for a refund.
Customers initiate chargebacks for a variety of reasons:
- An item is different from its description or is defective.
- An item hasn’t been received.
- A credit card charge isn’t recognized.
- A payment is processed multiple times.
- A payment is unauthorized.
We know that chargebacks can be frustrating, so we suggest you review the PayPal Chargeback Guide for information on minimizing or avoiding chargebacks.
We’re sorry, the page you’re looking for is no longer available. To search again or contact us, please visit our Help Center.
What is a chargeback fee? A chargeback happens when a buyer asks their credit card issuer to reverse a transaction after it has been completed. When it’s filed, the amount of the transaction and the chargeback fee will be deducted from the seller’s PayPal account.What are reserves? Why is there a reserve on my PayPal account? A reserve is a balance amount temporarily held in your PayPal account. It helps make sure that you’re able to cover potential transaction losses from chargebacks , claims or payment reversals filed by your buyers, where no other funds are available. The reserved amount will be unavailable for use or withdrawal.How do I view the status of my dispute or claim? You can view the status of disputes, claims, chargebacks , or account limitations in the Resolution Center. Here’s how:How do I resolve a negative balance in my PayPal account? Your PayPal account balance could become negative if your transaction is reversed for any reason, such as a chargeback or a lost claim, and there aren’t enough funds in your account to cover for the amount.What is PayPal Seller Protection? PayPal Seller Protection is a form of protection that we provide for sellers with a PayPal account. It is available for eligible payments made through eBay and outside of eBay which involve buyers purchasing through PayPal accounts in any country. If your buyer files a reversal, claim or chargeback against you due to unauthorized transactions or for items not received, PayPal will cover the full amount of your eligible transaction and waive the chargeback fee if applicable.How does PayPal Seller Protection work? If a buyer files a claim, chargeback or reversal against you, PayPal will place a temporary hold on the funds in your PayPal account. This is done to ensure that you are aware of this and there are sufficient funds available to cover the full amount of the claim, chargeback or reversal. You should log into your PayPal account and submit the necessary documents via the Resolution Center.What kinds of transactions are not eligible for PayPal Seller Protection? Here are some examples for your reference: Claims or chargebacks for items which are significantly not as described. Items that you deliver in person, including at a physical store.What is PayPal Buyer Protection? PayPal Buyer Protection is a form of protection that we provide for buyers with a PayPal Account. It is available for buyers that make purchases on and off eBay through their PayPal accounts worldwide. If a buyer is eligible for PayPal Buyer Protection, and files a reversal, claim or chargeback due to unauthorized transactions or for items not received, PayPal will cover the full amount of the transaction.Why is my payment temporarily held? The seller is new to selling on PayPal, or is still building up their history of successful transactions. The transaction involves items in higher-risk categories like electronics or tickets, where we see higher levels of chargebacks and disputes. The seller may have performance issues, or a higher rate of buyer dissatisfaction or disputes.Why is my account limited (Seller)? Another reason why your account could be limited is seller performance indicating your account is high risk. For example, receiving an unusually high number of claims and chargebacks from your buyers is an indication of poor seller performance. If you start selling an entirely new type of product, such as a higher-cost item like jewelry, or if your typical sales volume increases rapidly, your account may be limited while we do a review.What is Preselling? Some heightened risks include: High likelihood of negative customer experiences from chargebacks , refunds, or fraud. Non-compliance with our Anti-Money Laundering Policy.
Related articles are currently unavailable
Video is not available
You were logged out to help protect your account.