How to prevent disputes
Most disputes can be prevented if you set clear expectations and remain responsive to your customers. Follow PayPal’s best practices to help keep your customers happy and reduce the likelihood of disputes.
The following are general best practices. Results may vary based on your business, industry, and customer base.
See PayPal’s Seller Protection Program for additional details about selling with PayPal.
Universal Best Practices for accepting payments with PayPal
Regardless of what you’re selling, you can set clear expectations with your customers by following these general best practices:
Make Contact Information Visible
- What to do: Display your phone number, email, and chat options prominently so customers can reach you before filing a dispute.
- Why: If customers can’t find how to contact you, they may instead contact their bank or file a dispute directly when an issue arises.
Be Responsive
- What to do: If a customer contacts you, respond as soon as possible.
- Why: Customers who encounter an issue may not want to wait for a resolution. The longer they wait to hear from you, the more likely they are to file a formal dispute.
Be Transparent
- What to do: Be upfront about what your product or service includes, delivery timelines, limitations, and refund and return policies.
- Why: When customers know what to expect from your product or service, they’re less likely to be surprised or unhappy, and therefore less likely to file a dispute.
Use a Billing Name Your Customers Expect
- What to do: Make sure your business name on statements matches what customers expect.
- Why: If a customer doesn’t recognize your business name, they might not recognize the charge on their statement. When this happens, customers will often file “Unauthorized” disputes.
Document Everything
- What to do: Keep records of all transactions, communications, and delivery confirmations.
- Why: If a dispute arises, you’ll need these details to show what happened and support your responses.
Please see our other guides on preventing disputes for more information:
