Problem with refaundation as friends and family

andromikonynyi
Contributor
Contributor

Hi!

 

2. 6 one guy (my customer) tried to refaund payment, he asked for refaund (issue refaund) and before he asked, i sent my money to friends paypal.. Now its like 4days after. That payment was 29dollars. My balance is now in -29, and on my friend's paypal same.. So we are both in - and I don't know why.. I thought that payment will just be in hold but im in - on my paypal, what is that reason?

 

And actually can he refaund payment if he sent it as friends and family? And why I am in - on my paypal balance and my friend too? And after refaund where will money come? Back to me or back to my friend where i sent it? And will I be still in -?....

 

 

Thanks for helping! 🙂

Login to Me Too
1 REPLY 1

PayPal_JonK
Moderator
Moderator

Hello @andromikonynyi,

 

It sounds like there is some confusion regarding how to properly issue a refund as well as PayPal's dispute process. To properly make a refund, you want to click the "Issue Refund" button in the transaction you'd like to refund, not send the other user a Friends and Family payment. The sender may still have the option to go to their funding source and start a dispute, leaving you in the negative. 

 

Also, since Friends and Family payments are not covered by Seller or Purchase Protection, when you receive a Goods and Service payment and send it back as a Friends and Family payment, the buyer can still open a dispute - which may also leave you in the negative depending on the result of dispute. 

 

In short, if you are selling a product or providing a service, always receive it in Goods and Services to maximize your Seller Protection, and if you are issuing a refund, issue it through the "Issue Refund" link in the transaction. 

 

Have a great day,

 

 - Jon K


If you find this or any other post was helpful, make our community better by giving kudos or accepting it as a solution.
Login to Me Too

Haven't Found your Answer?

It happens. Hit the "Login to Ask the community" button to create a question for the PayPal community.