Refund Didnt Work Right

[Leeroi3]

I originally had 40$ in my account, a friend sent me 30$ but not using F&F by accident, so my account got put on hold, so I refunded the money but it got taken out of my paypal balance, not the money he sent me, so im down 60$

[kernowlass]

@Leeroi3 

You can only refund from cleared funds in your balance or from a bank account.

Also when you refund any fee you were charged to receive the payment is not returned as part of that refund.

[PayPal_JonK · Accepted solution]

Hi everyone! Thanks for visiting PayPal's Community Forum. Thank you @kernowlass for your help getting a resolution started on this post. We appreciate all you do! I'd like to provide a minor clarification on refunds, though. 

@Leeroi3, welcome! I'm sorry to hear you've run into some issues receiving funds and issuing a refund. If you issue a refund from a transaction where 100% of the funds are placed on hold (after the fee is deducted), a refund you issue on that specific transaction will normally process from the held funds. I would recommend reaching out to our Customer Support teams to clear up what may have happened with your refund and the funds on hold. 

Best wishes!

 - Jon K

[kernowlass]

@PayPal_JonK 

Thanks for the information, can I just ask, if they make a 100% refund and the held funds are not 100% as the fees were deducted where does the remainder ie the fee element funds come from? Does paypal use the held funds and then the fee amount from there bank account to make it up to the full amount for a full refund? 

Also I have seen others on here that have tried to refund from held funds but the refund came totally from their bank account which made me think the refund from a balance had to be cleared funds.

Can you explain a tad more please?

[PayPal_JonK]

Hi again @kernowlass, 

Thank you so much for your great questions! They caused me to dive deeper into this and I think I was confusing myself with some older info. You were correct in your original post as refunds can only come from one place - they will either clear from an existing balance or the bank on file.

If there's a hold on funds for the transaction refunded, the payment hold will release to the PayPal balance after the refund begins. I think where I was getting confused was when I've seen the fee refunded in the recent past and then payment hold released, but it looks like that still wouldn't have bearing on where the refund comes from. It should either come from the existing balance or bank on file.

I'm going to double check a few one-off instances, so I'll post an update when I get some more information. For now, my apologies for any confusion!

Thank you as always for all you do! Cheers and have a lovely day!

 - Jon K

[Leeroi3]

Its all fixed thank you it was just a misunderstanding, but I made a new post if your interested haha!

[kernowlass]

@Leeroi3 

My last post was directed at @PayPal_JonK  not at you 😉