PAYPAL will not refund fee if order is cancelled and even not shipped ?

[uniwarehousewares]

the new policy from paypal is horror dream, now it will refund the money if order is cancelled before shipping, now adays online business is at peak, i can see after few years, again people will start going to markets physically, same like  we run cycle and than bicycle and than we need car , after running car so while we have problem in body and than doctors advise us to again run cycle for good health. new policies are hitting sellers, its going to be disaster after few years, paypal is flying in imagination.i dont understand what sellers should do?

[extrememobility]

I just cancelled and order for $345.00 due to no buyer communication for a pickup order and both Ebay and PayPal have refunded the fee`s !

[nmemoryof]

It is a nightmare.  I'm willing to cancel purchases for a buyer who discovers he made a mistake.  I MUCH prefer that to the alternative of being out shipping fees.   But PayPal won't accommodate.  What SHOULD happen is that the buyer is required to pay the PayPal fee.  Refund everything except the cost of processing.  That is what is fair.  That's probably not what will happen, though.

[nmemoryof]

The policy changes on May 7, 2019.

[tools*]

Keep an eye on PayPal's stock price on May 8. (Then again, investors rarely know what's really going on with a company.)

[klhmdg]

Once the order is paid for and PayPal has processed the payment, you are correct. PayPal will not refund the fees that they charge.

[pink.fish.rule]

The PP not refunding all fees doesn't start until May 7th

[uniwarehousewares]

its very bad for sellers, already if some buyer open case with paypal than he can get his money and now paypal is also going to charge sellers, i think what is going is going to take online sales in very wrong direction, paypal should be out from this game and ebay should not have this kind of paying method . seller pay fee to paypal and still paypal protect buyer...

[uniwarehousewares]

what you mean by all fees, you mean paypal will refund some fee?

[ed8108]

The risk and costs of internet selling continue to increase & I suspect will increase further in the near future.

Sell now. & don't wait till some latter time ?

[mam98031]

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@extrememobility wrote:
I just cancelled and order for $345.00 due to no buyer communication for a pickup order and both Ebay and PayPal have refunded the fee`s !

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@extrememobility 

Yes but the PP change starts on May 7th.  So after that it will be a zero refund of fees from Paypal for a refund in part or whole.

[paulhua3]

PayPal will get a lot of extra money by this change in policy, but for most of us it will cost little.  A big ticket refund will hurt, but refunding a small order once in a while shouldn't be a problem.  On about 500 sales a month I average less than 1 refund a month.  I realize some categories are more problematic and possibly may need some small price adjustments to cover any losses.

[mam98031]

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@paulhua3 wrote:

PayPal will get a lot of extra money by this change in policy, but for most of us it will cost little.  A big ticket refund will hurt, but refunding a small order once in a while shouldn't be a problem.  On about 500 sales a month I average less than 1 refund a month.  I realize some categories are more problematic and possibly may need some small price adjustments to cover any losses.

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You really shouldn't base everyone's experience with this on how it will work for you.  That really is unfair.  While I don't have a whole lot of returns / refunds either, there are plenty of GOOD solid sellers that do.  There are categories that return rates are much higher than in categories I sell in.  So while this change may not hit your pocket book very hard, for others it will be a BIG hit.

I understand why PP is doing this.  They provided a service and they should be paid for it.  I've always thought it was generous of them to refund our fees associated with a refund and just keep the transaction fee.

You are right, this will absolutely increase their income.  By leaps and bounds it will.  This is a huge change that will likely mean millions and millions of dollars to their bottom line.

[reallynicestamps]

@extrememobility 

Did the buyer pay? If he didn't there would be no transaction and no transaction fees.

I'm not clear if the "fees" would be the 30 cent service fee, which would be acceptable and even understandable.

But the actual payment?

If PP processes a $100 fee for me from my own country, I don't mind the 2.9% processing, but if they want the entire $2.90 plus the 30 cent processing fee, for a failed transaction, then Managed Payments starts looking good.

[postingid7659]

If you have a merchant credit card account and issue a refund do you still eat the fees there?  I wouldn't be surprised if you do.  

I expect that this move will drive large sellers away from Paypal if they can find a cheaper alternative.  I don't think it would happen overnight, but give it 90 days.