Paypal sent out a notice of policy change today. It said that if you get paid by paypal and your customer returns the goods and asks for a refund that any fees paid to paypal will not be refunded to the seller. I was dumbfounded by this. I use Paypal Here with a credit card reader at my shop where I sell $3000 bicycles. I thought I must be reading this wrong. So if my customer asks for a refund, Paypal is keeping the 2.9% from the transaction? Here is what I emailed support and their reply: CRIMINAL.
My message: 'I just received a Notice of Policy Update. One of the updates states - >"We’re changing how we treat refunds. If you refund (partially or fully) a transaction to a buyer or a donation to a donor, there are no fees to make the refund, but the fees you originally paid as the seller will not be returned to you." > >Does this mean that if a customer purchases a $3,000 item and then returns it for a refund that I will not recover the 2.9% merchant account fee paid to paypal? Please advise.
Paypals response: " Thank you for contacting PayPal Customer Support. My name is Brittany and I am happy to assist you. That is correct. If an item is returned it would no longer cancel out the fee from the original transaction. This change goes into effect May 7th. Have a great day."
I am outta here. F paypal!
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