Log in to your PayPal account, find the transaction, under Order Status/Actions if you haven't marked the items as despatched yet there is a drop down menu next to Print postage label. Chose the refund option and refund the difference in postage cost. You can add a message there too if you want. If you have marked the items as despatched then just choose the refund option and refund the difference in postage costs. You will see that the refund is split into two parts. Some to you in refund of your PayPal fee and some to your buyer. Your buyer will get the full amount refunded and you will get your PayPal fees back in proportion to the amount refunded. Hope this makes sense!
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