Question: How Does Chargeback Work On PayPal?

The chargeback process is initiated outside of PayPal, between the card issuer and their cardholder.

If the transaction is protected by Seller Protection Policy, PayPal will cover the amount of the chargeback and waive the chargeback fee.

You can view the chargeback fee and process in the User Agreement.

Is it illegal to chargeback on PayPal?

A chargeback is not done via paypal, its done directly by the buyer via their card issuer. The card issuer makes the decision and paypal have to abide by that and recover the account holders funds for him. Normally if you are covered by seller protection then paypal would reimburse you.

Can you get your money back from PayPal if you get scammed?

You’re Protected If:

Report it within 60 days and PayPal will investigate. You will be covered by our $0 Liability for Eligible Unauthorized Transactions program. All you have to do is log in to your account and open a dispute to get the refund process started. If you made the purchase on eBay, start here instead.

How does a chargeback work?

A chargeback typically refers to the act of returning funds to a consumer. The action is forcibly initiated by the issuing bank of the card used by a consumer to settle a debt. To start a chargeback a consumer will contact their credit card company and ask for a chargeback. At this point, the dispute process has begun.

What is PayPal chargeback fee?

You’ll need to pay the PayPal chargeback fee if the purchase doesn’t fall under PayPal Seller Protection. The fee is currently $20 for transactions in USD; see the full table here. In good news, as long as PayPal processes the chargeback, you’ll only have to pay their fees.