Dispute resolution process

Whether it’s a simple misunderstanding or a human error, sometimes there’s a problem with an order. It’s just part of doing business. When this happens, buyers may open a dispute through PayPal, or ask their credit card issuer to reverse the charge (a “chargeback”).


In most cases, the easiest way to settle a dispute is for buyers and sellers to connect, figure out what happened, and work together to solve it. When this happens, usually no holds are placed on accounts, and customers are kept happy.

However, when buyers and sellers can’t come to an agreement, PayPal Dispute Resolution can hels them arrive at a solution. We make it easy for buyers and sellers to quickly and efficiently track, manage, and resolve disputes.

Once a buyer begins the dispute resolution process, we put a hold on that transaction’s funds until things are resolved. If the buyer and seller can’t reach an agreement, the dispute can be escalated to a claim. Then we’ll investigate and make a ruling.

If you’re notified that a customer has opened a dispute or requested a chargeback, read our guide to Resolving Disputes, Claims, and Chargebacks to learn what to do next.

You can also read our guide to Avoiding Disputes and Chargebacks to help prevent them from happening in the first place.

PayPal Seller Protection


If you´re an eBay seller and your transactions are eligible, you may benefit from our protection policy, in case of claims, reversals or chargebacks.


You can review the Seller Protection policy in the PayPal User Agreement to know the details about protection coverage and eligibility of transactions.


The transaction details page will indicate if your transaction may be eligible for Seller Protection.


If you sell or market to buyers in other countries, please read the PayPal Buyer Protection policy of the countries in which your target buyers are based as these policies will apply to you as a payment recipient or seller


Learn more about PayPal Seller Protection