@everyoneisaclou Refunding is free. You just do not get back the PayPal fees you originally paid so you have to make up the difference to issue a full refund. For instance, you receive $5. PayPal takes $0.66 in fees, you get $4.34. You issue a refund in full and PayPal takes the whole $5 from your account. Where appropriate, say the wrong amount was sent in buyer’s error, you may consider only refunding the $4.34. Then the $0.66 won’t be taken from your account. If you lose a PayPal dispute/claim, you will not receive a refund of the PayPal fees that you paid in connection with the transaction. If you win the case you don’t get a refund of the fees either, you receive the net amount back. A ‘chargeback’ or ‘bank reversal’ refers to buyer disputing the charge directly through their card issuer or bank, not using PayPal’s buyer protection program/dispute resolution system. PayPal will still open a dispute case in your account to administer the chargeback or bank reversal. A ‘dispute’ refers to PayPal dispute filed from your PayPal account. A PayPal dispute can be escalated to a PayPal claim where PayPal steps in to resolve the case.
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