Refund Cancelled Because No Extra Money In PayPal Account??

[barebonesdvds4sale]

Individual seller. Rarely sells anymore. This morning I made a sale but was unable to locate the item to ship. Emailed buyer and went ahead with the cancellation and refund process. Immediately got an email from ebay telling me that the refund failed. Buyer's money was still in Paypal account. I did noting with it. I called up ebay and they said that I have to have more money in my Paypal account then what the buyer paid for the item in order to initiate the cancellation process. What's that all about. I don't recall this ever being a problem in the past that is having no money in Paypal other then what the buyer paid and still being able to successfully initiate a refund. Thoughts welcome. TIA.

[dhbookds]

Does the money show being held?  I would check the paypal transaction.......  and call them about why those funds aren't available...... 

[barebonesdvds4sale]

>Does the money show being held? I would check the paypal transaction.......

When I log into paypal I do in fact still see that the money that the buyer paid is still there even (Is that what you meant?) after I initiated the refund and cancellation and then got that email from ebay telling me that the refund failed.

>and call them about why those funds aren't available......

Ok. Thanks. So I guess I should call up Paypal and ask them what's up having previously called Ebay. Sigh.

[mansons2005]

I think the issue is that PayPal no longer refunds the fee when you do a refund - so in effect, you actually need more money - the total refund amount PLUS the fee amount.

[pburn]

This. ^^^^^^^^^^^^^^^^^^^^^

[eunster1313]

As of last November Pay Pay changed their user agreement.

They no longer refund any of the fees they charge a seller to

processes a payment.

So if your Pay Pal balance is $0.00 and you make a sale you don't

have the full amount the buyer paid you to refund them for a return

or a cancellation anymore.

You  need to add money from another source to to your Pay Pal

account to make up the deffernce of the Pay Pal fees.

[corvettestainless]

This^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^

[pburn]

Hey, wait! I already said that!

[barebonesdvds4sale · Accepted solution]

@mansons2005

@pburn

@eunster1313

@corvettestainless

>>As of last November Pay Pay changed their user agreement.

Son of a bit@h!

I just called Paypal and they were able to refund the buyer but **bleep** on a cracker it cost me $6 and change which Paypal is charging me to cancel and refund the ebay order. When I called up ebay this morning I did what they told me to do which was to add money (I randomly added $10.00) to Paypal (which I totally did not understand at the time) because of my "insufficient funds" in my Paypal account other then what the buyer had just paid for the item.

So Paypal fees started last November. No doubt I got an email about that. Maybe I should start reading them. Thanks to all who replied.

[corvettestainless]

Great minds..... 🙂

[my_boston_baked_beans]

 Just had a similar problem with zero funds in PayPal to refund a buyer for a return. eBay refused to honor a refund unless I transfer funds from bank. It took 5 days for the transfer to complete, and used the allotted time frame eBay allowed (5 days). Called PayPal, and CS said by the end of 2020 eBay will have totally separated from PayPal hence these new regulations BY eBay NOT PayPal! Luckily, I informed the buyer what was happening and they waited  working with me.

PayPal suggested I keep funds in my account in case this happens again that I need to refund an eBay person...

[buyselljack2016]

---

@my_boston_baked_beans wrote:

 Just had a similar problem with zero funds in PayPal to refund a buyer for a return. eBay refused to honor a refund unless I transfer funds from bank. It took 5 days for the transfer to complete, and used the allotted time frame eBay allowed (5 days). Called PayPal, and CS said by the end of 2020 eBay will have totally separated from PayPal hence these new regulations BY eBay NOT PayPal! Luckily, I informed the buyer what was happening and they waited  working with me.

PayPal suggested I keep funds in my account in case this happens again that I need to refund an eBay person...

---

That has been posted here on the boards for years :  >  )

[my_boston_baked_beans]

What makes you the historian?

The final connection between eBay and PayPal completes at/by 2020 call PayPal if you doubt the information!

[lasantino]

this exact thing happened to me. It was very nerve racking.  

Anytime in the past that I processed a refund, the money was refunded from my paypal balance and then the rest directly from my linked bank account.

Apparently Paypal no longer does this. I literally could not deposit money in my account other than the 5 day bank transfer. Luckily I had a patient buyer and explained to her what was happening. However. I was very worried i was going to get a case not resolved by seller or some nonsense if ebay auto-closed the return when I didn't refund by the deadline.

[johnrj1226]

PayPal became eBay's main payments provider in 2003, a few months after eBay had acquired the company in a deal valued at $1.5 billion. The two companies split into separate public companies in July of 2015 and signed a five-year operating agreement to maintain a close relationship through mid-2020.      Jan 31, 2018