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We welcome your ideas on how we can help improve our documentation and merchant integration services and features. We can't guarantee that ideas will be implemented but your ideas and kudos on ideas will give us valuable insights and feedback we can showcase to our product and developer teams.

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Fees when refunding payments

Fees when refunding payments

Not sure if I am submitting this suggestion is in the right place or not. If in the wrong place please let me know where to submit.

My suggestion is for PayPal to create a new business account option that would allow for sellers to refund payments which would also include the Pay Pal fee. Much like it was prior to the November change. In order to get this service it would require a $20 or $30 monthly fee or subscription billed to the sellers PayPal account.

The way this service would work would be to allow sellers to send refunds to buyers without PayPal keeping the transaction fee. For example A buyer buys a gas scooter from my store with shipping to California for $759.00 and pays through PayPal however as stated on my website we can not ship gas scooters to California due to CARB (California Air Regulation Board) restrictions. PayPal's transaction fee was $22.31 when I send the refund the system will include the $22.31 transaction fee as part of the $759.00 and it will cost the seller nothing other than the monthly subscription fee for the service. Maybe there could also be a time limit such as 48 hours to make a refund without being charged the service fee. After 48 hours the service fee becomes non-refundable. Another benefit that could be added to this service would be to only charge a service fee if the buyer uses a credit card or debit card to make payment. For instance if the buyer uses there PayPal balance to pay or a direct bank transfer there is no service fee. If they use use Credit or debit cards then there is a service fee.


The current set up charges the seller the transaction fee regardless of weather the payment was refunded or not. (seller is loosing money just because customers are not reading). I have already lost $128.76 this month alone due to these types of transactions and the current system.


If you have any questions comments about this please let me know