Sandy - sorry, looks like you and I were typing at the same time. Didn't mean to post over you. Good to see you though, hope your holidays are going well!
PSberg - Sandy's correct; if the recipient was charged a fee, and if it was both a US-US transaction and you didn't use a card, whatever option was truly selected was not a Personal payment.
In terms of the refund, how it would all work would depend on a few factors.
First, if the other party still had all the funds in their account that they received, and they issued a refund, PayPal would just return the money right then and there. We would add the fees that were charged back into the balance, then send the full amount back over to you. It would arrive instantly.
Second, If the account holder had withdrawn the funds, then they would need to use a bank transfer to cover the full amount of the refund (again, minus the fees, which would be waived). You would see a pending refund in your PayPal account as the bank transfer is processed, which can take 3-5 business days before it credits to your PayPal balance.
Once the refund is in your balance, you could then withdraw the funds.
Thanks!
Adrian
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