PayPay money withrawal even the state is "Canceled - Payment"

[kapas2004nl]

I made a purchase of 66.30 euros on a web page through PayPal. At that stage, the payment was in a pending state in PayPal. After canceling the order on the seller's website, the seller canceled too, and it was shown in PayPay that the order is canceled. The next day I received a notification in my bank application that a reservation is made by PayPal to withdraw the money already canceled. This morning PayPal took my money, and I do not know where they went. The seller canceled, and I do not see any money in the PayPal account. Can anyone help figure this out?

[kernowlass]

@kapas2004nl 

If you funded the payment to the seller using bank transfer. What PayPal do here is credit the recipient on your behalf (so there is no delay in despatching your item). Then if you receive a refund in the meantime they are unable to issue this until the original bank transfer completes.

[kapas2004nl]

@kernowlass 

I am trying to understand, my order was in "Pending" state, after the cancelation it changed to "Canceled - Payment". Even if that is the order of the events, the seller will get my money?

 On 10th of March I received the money reservation notification from PayPal, after the payment was canceled by the seller on the previous day.

[kernowlass]

@kapas2004nl 

You cancelled an order with a merchant, you did not cancel a processing transfer from your bank account that can rarely do a u-turn

So the transfer goes through to paypal who as the order has been cancelled and refunded then send the funds back to your bank account.

[kapas2004nl]

@kernowlass 

Thank you for the explanation.

Another question, if the seller does not honor the cancelation and money refund, is there any PayPal protection to automatically refund me from the seller? I am asking this, because PayPal is also notified that the seller canceled the payment. I am aware that it takes time everything to be processed by PayPal and the banks.