Refund money on hold
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Hello. I have bought an item from a seller and I paid the product with Paypal. The item was wrong size so I had to return the product and the seller gave me my money back. Now the money is on hold on my account. I cant seem to find a solution to access that money. Can someone help me? Thank you.
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This is tricky since seller didn’t refund from within the original transaction and sent you a goods and services payment instead, just to annoy you. They can dispute the payment if they wanted to within 180 days from date of the payment they sent. But at the same time, you can dispute the original transaction within 180 days from date of payment and provide proof of return delivery, etc. If you do it, they can do it too. Or you could wait 21 days and PayPal will release the funds because to release the funds earlier, you’ll have to mark the transaction as order processed and ask seller to confirm receipt.
There are two methods to release money sooner depending on what you see on your screen:
Method 1:
Recipient has to change the order status or add tracking:
- Go to Activity page.
- Find and click the transaction to update, then click Get your money or Get money sooner.
- *If you sold a product, select Product to add tracking information or print shipping label directly.
- **If you received payment that do not require shipping, selling an intangible item or service, select Service or virtual product to confirm order status.
- Click Submit.
*Use one of the approved shipping carriers and PayPal release the hold 24 hours after the courier confirms delivery to the buyer’s address.
**Recipient will get their money 7 days after confirming the order status as Completed.
Method 2:
If there are no issues with the transactions such as disputes, claims or chargebacks, the funds should typically be released within 21 days from the date of payment.
In some markets, the transaction can be marked as "Shipped" or "Processed" to gain earlier access to the funds.
Here's how to mark your item as “Shipped” or “Processed” in the Transaction details:
- Log in to your PayPal account.
- Go to Activity page.
- Find and click the transaction to update.
- Click Add tracking info button.
- Click the Order Status menu and select Order Processed if selling virtual goods, performing a service or receiving a personal payment***, otherwise select Shipped and provide tracking number if available. If tracking is not available, check off the Tracking information not required box.
- If you need to change Order status or Tracking info later, click Edit tracking info in the transaction details.
***Some countries are without friends and family option and must use goods and services option.
Then, after 48 hrs from payment date, ask Sender to ‘confirm receipt’, here’s how:
- Go to Activity page.
- Find and click the original payment for the item.
- Click Confirm receipt.
- Click Yes to confirm that you received the order.
Note: Not all transactions will have the ‘confirm receipt’ option nor is required to confirm receipt. If customer does not confirm or confirm option not there, you’ll have to wait 7 to 21 days for PayPal to release funds. Allow an extra 3 days for the release of funds to process. If payment is still not release contact customer services to ask them to manually release it for you:
https://www.paypal.com/smarthelp/contact-us
Scroll down to click “Message Us” or “Call Us” option on the bottom.
Or reach out to PayPal at Facebook or Twitter:
Kudos & Solved are greatly appreciated. 🙂

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