Can't add funds to refund buyer during dispute

[ayhunoni]

My buyer did not recieve my item and opened a dispute before I could issue a refund manually. Paypal are holding the payment and my account is now in negative balance, if I click "Issue Full Refund" in the resolution centre I am told I need to add funds to my account (not sure why it can't use the money PayPal are holding from the transaction), but if I go to add money to my account I am told that I can't until all disputes are closed. How am I meant to resolve this issue?

[PayPal_RachelK]

Hi @ayhunoni,

Welcome to the community and thank you for your post. 

I do understand your concern with this. When a dispute is opened, any funds associated with the dispute are placed on hold. This is why you cannot see the funds in your PayPal balance. 

To issue a full refund you would need to either add funds to your PayPal balance, or use your bank/card. The amount on hold would not include the PayPal fee amount. To issue a refund, simply follow the steps here.

I hope this helps!

- Rachel 

[ayhunoni]

Yes, but the problem is PayPal does not let me add funds to my account until the dispute is resolved, but I can't resolve the dispute because I cannot add funds...

[Paypal_Ashley1]

Hello @ayhunoni, 

Thanks for posting within the PayPal Community. 

I understand you are having trouble resolving a negative balance. I know this can be a frustrating situation. So we may review the options available, please contact us for assistance. You can reach Customer Support by clicking Contact at the bottom of the PayPal website. They're also available through Twitter direct message or Facebook instant message. 

Thank you!