Since PayPal is the payment gateway in Glopal's international checkout (which means that all payments are processed by PayPal; credit/debit card payments are supported and having an active PayPal account is not required from the buyer), you might encounter situations, where buyers will open disputes and claims within PayPal if they feel, justifiably or not, that they were wronged.
Below you can find information on what a PayPal claim is and how to handle it.
What is a PayPal claim?
A PayPal claim can be filed by either the buyer or the seller if parties involved in a PayPal dispute have not come to an agreement.
The escalation to a claim needs to happen within the 20 days within which the initial dispute needs to be resolved.
A claim can also be filed without a dispute being opened beforehand.
If a buyer insists their account has been used fraudulently, they have an option to file a claim without initiating a dispute first.
While during a PayPal dispute the discussion is had between the buyer and seller only, when an escalation to a claim takes place PayPal gets involved as an arbiter and the final outcome will be decided by them based on evidence provided by both initially involved parties.
What are the reasons behind a PayPal claim?
PayPal allows buyers to file a claim because of the following two reasons:
- Item not received (escalated from a dispute if agreement not reached)
- Significantly not as described (escalated from a dispute if agreement not reached)
- Unauthorized transaction (does not require a dispute being opened prior)
Who are the actors in a PayPal claim?
This part of the complaint process involves two parties, the buyer and the seller, and PayPal as the arbitrator.
The final outcome of the claim will be decided by PayPal based on information provided by both parties.
How to escalate a dispute to a claim?
If a buyer has filed a claim against you, you will be notified about it via email and a case will be created in PayPal's Resolution Center.
If you feel the initial dispute is not going to bring the desired outcome and would like to escalate it to a claim, follow the steps provided below:
- Log in to your PayPal account
- Go to the Resolution Center
- Click View next to the dispute you want to escalate
- Click Escalate this dispute to a PayPal claim near the bottom of the page
- Follow the instructions
- Click Escalate to a claim
How to respond to a claim?
- Log in to your PayPal account.
- Go to the Resolution Center.
- Click Respond in the Action column next to your claim.
- Select how you would like to respond and click Continue.
How will a claim be processed?
After the claim is filed, the non initiating party will need to respond within 10 days.
If no response is provided within 10 days, the claim will automatically be closed in the initiating party's favor.
If a response is provided, PayPal will begin reviewing the claim and all provided information (message exchange between the buyer and the seller, pictures, screenshots, etc.).
Usually it takes PayPal up to 30 days to review a claim and provide a verdict.
More complicated cases might however take more than 30 days to close.