Filing a Dispute with PayPal
What to Expect When Making a Claim or Refund Request Online
If an auction didn't go quite the way your expected, or you feel you've been ripped off, PayPal offers a tiered system to help protect online shoppers.
Shopping online and bidding on auctions can be a great way to get deals on hard to find items. Most sellers and auction sites are efficient and customer service minded. Keep in mind though, that every once in a rare while a deal doesn't go exactly as planned. PayPal, the internet's number one payment website, offers a handy resolution process to resolve matters and settle disputes between buyers and sellers. This simple step by step guide should ease the confusion and expedite the process if the need to file a complaint arises.
Try to Contact the Seller
If a buyer has been on the unfortunate end of an online transaction, particularly through Ebay, there are steps they can take to get their money back. The first step before filing any claims or disputes, should always be an attempt to contact the seller and work it out. The buyer should be specific in an email and explain to them why they feel they have been wronged, or deserve a refund. A good seller who is concerned about keeping positive feedback will often accommodate a disgruntled customer within reason. The PayPal resolution center says "Most disputes are the result of simple misunderstandings. It’s best to initiate communication with the seller as soon as you recognize a potential problem."
How PayPal Resolution Works
According to PayPal, there are two reasons to file a dispute.
- Item not received: You paid for an item but never received it
- Item significantly not as described: You received an item that was significantly different than the seller's description
Anytime within 45 calendar days of making a PayPal payment for an item, a dispute can be opened. The sooner a dispute is opened, the sooner it will come to resolution. If independant communication attempts have already reached a dead it, it may be best to go forward with filing a formal dispute by going to the "Resolution Center" tab on the PayPal web site . During the dispute phase, PayPal will open a direct line of communication between the buyer and seller. If am amicable arrangement is unable to be met, either the buyer or the seller can escalate the dispute to a claim within 20 days of the file being opened.
In the case of a claim, PayPal reviews the case and makes a decision. It is important to escalate a dispute to a claim within 20 days, or the dispute will be dropped. Once a claim or dispute has been closed, PayPal will not allow it to be reopened.
Opening a Dispute Often Gets Results
If a seller has been ignoring communication requests, quite often opening a formal dispute through PayPal will let them know it's a situation that needs attention. Hopefully, this will help get results. The buyer will get the opportunity to post a message explaining the problem, which will be posted on the buyer's PayPal account. This will be viewable to the seller and PayPal staff. The seller will be given the opportunity to respond.
How Long Does the Claim Process Take?
Once escalated to a claim, PayPal claims they will do their best to investigate the situation and reach a decision within 30 calendar days. This however, can vary depending on the number of cases PayPal is currently evaluating. During this time PayPal may contact either the buyer or the seller with additional questions. Provide information promptly and completely for best service. If the process nears the 45 day mark without resolution, it never hurts to give PayPal Customer Service a call just to check on the status. This seems to have amazing ability in jogging the process along. In the case of an item not being as described, quite often a claim will be found in the buyer's favor but will require the item to be returned and proof of postage submitted before a refund can be issued.
If the Seller Refuses to Refund
If PayPal finds the claim in favor of the buyer, a refund is issued. In the event that the seller doesn't have the funds in their account, PayPal will pay a portion or all of the refund through their Buyer Protection Policy. While this won't always cover the entire amount, some refund is better than none at all. Auctions should specify how much Buyer Protection Coverage is available for each item with amounts ranging from $200.00 to $2,000.00.
A Bad Experience with PayPal
In the rare event one finds themself on the short end of the stick, and a claim is filed in favor of the seller, don't let it ruin the experience of online shopping. Unfortunate circumstances do occur from time to time and should be considered the exception rather than the rule in a generally worry free process.
For tips on finding great deals at online auctions, check out Ebay Bargains, Steals and Deals.
