Worried about unauthorised payments or fraudulent claims affecting your bottom line? Discover how PayPal Seller Protection can protect your sales be it physical or digital goods as well as services.
Selling online is a challenge and often, it comes with risks that may put a dent in your profitability. These risks could include unauthorised transactions from the buyers’ end. In other cases, it could be claims where the buyer complains about not receiving an item they had paid for—all of which is then borne by the seller.
These risks shouldn’t impact your bottom line, and that’s where PayPal Seller Protection can come in handy to safeguard your transactions so you can continue growing your profits with peace of mind. Ahead, discover everything you need to know about PayPal Seller Protection, from which eligible transactions are covered, to how to claim refunds under Seller Protection for eligible transactions.
PayPal Seller Protection is a programme that protects your business and eligible sales from potential loss due to chargebacks, disputes, payment reversals, unauthorised transactions, and fraudulent claims. All merchants have to do is provide sufficient evidence against these complaints to receive a full refund on the eligible amount from PayPal. There’s also no limits to the number of payments that PayPal protects, as long as you meet the eligibility requirements.
Here’s how sellers can get reimbursed under Seller Protection for eligible transactions.
PayPal Seller Protection covers two types of buyer complaints:
Here’s how you can prevent issues related to Unauthorised Transaction and Item Not Received complaints:
Most PayPal transactions are covered under Seller Protection as long as the eligibility requirements are met. However, here are some instances where PayPal Seller Protection is not applicable:
Please refer to our User Agreement for the full and most up to date terms.
While Significantly Not as Described issues are not covered by Seller Protection, there are steps you can take to lower your chances of running into them. Here’s how:
Eligible transactions under PayPal Seller Protection include both tangible and intangible goods as well as services that the buyer pays for with their PayPal account. For example:
Tip: For tangible items, it’s also important for sellers to ensure that the buyer has provided their shipping address as part of the transaction. The seller should then ship the item to this particular shipping address logged on the Transaction Details page in their PayPal account. This would greatly help sellers because as long as the proof of shipment matches the shipping address provided by the buyer, the transaction is eligible to be claimed under PayPal Seller Protection.
To claim your eligible transactions, follow this step-by-step guide:
*Additional requirements: For tangible goods, sellers must provide proof of delivery for Item Not Received issues. For Unauthorised Transaction issues, sellers must provide either proof of shipping or proof delivery. For intangible goods, sellers must provide proof of delivery.
Proof of delivery refers to online or physical documentation from a shipping company that includes:
Proof of delivery for intangible goods refers to any compelling evidence that proves that the purchase order was fulfilled, such as:
Meanwhile, proof of shipment refers to online or physical documentation from a shipping company that includes:
There are no fees involved for PayPal Seller Protection if you have a PayPal Business account. PayPal Seller Protection automatically applies to your sales when buyers pay you from their PayPal accounts. We want to make it easy for you to protect legitimate sales, so as long as you fulfil the eligibility requirements, you can rest assured knowing that we have your back.
We understand how important it is to be able to sell online securely. PayPal Seller Protection allows you to set up shop confidently by protecting your online sales against loss due to claims and chargebacks. Learn more about PayPal Seller Protection here.