No refund of fees for returns/refunds

allyjohn
Contributor
Contributor

Dear PayPal Team,

 

This change in refund of fees for payment refunds is not acceptable to me as a PayPal customer. The products that I sell are low in volume and high in value. As such the very occasional refunds I have to make have a relatively high level of fee cost which I am not willing to accept as a loss.

 

I will probably have no choice but to find another merchant account for my online transactions if you are implementing this policy.

 

Sincerely,

 

 

 

 

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1 REPLY 1

angelleye
Advisor
Advisor

I can understand your frustration, but you have to realize this is a perk that PayPal was giving us all that the vast majority of payment processors do not give.  

 

Square is the only one I see that still advertises they will do this, but they charge a higher rate for ALL of your website transactions than PayPal does, so you would be trading a higher overall fee for everything in exchange for a refund of the few times you have to refund.  That doesn't seem like a good trade to me.

 

You may find other options that will show they refund their fees.  If so, I'd be curious who you find so that I can compare all the other details about them.  Payment processors have many layers of fees depending on how they're structured, and it's easy for them to sell you a low "teaser" rate that will only be true for a small percentage of your transactions (if any).  

 

You didn't offer much info about your order flow or procedures, but implementing an Authorization and Capture flow may be something that will help you avoid unnecessary refunds altogether.  If you happen to be using WooCommerce, here's a guide for how you can do that in Woo.  If you're not using WooCommerce you would just need to check whatever platform you're using to see if they offer this option or not.  

 

I have provided a lot more info about this in an article I wrote here, which includes this video that you might find interesting.

 

 

 

Angell EYE - www.angelleye.com
PayPal Partner and Certified Developer - Kudos are Greatly Appreciated!
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