How to handle Payment Disputes
Handling Payment Disputes
Your buyer may open a dispute with their payment institution if they believe there's an issue with their order.
A payment dispute is when a buyer initiates a chargeback or other type of dispute with their payment institution (for example, their credit card provider or PayPal). The final decision for refunding the buyer is made by the payment institution.
This is different to the eBay Money Back Guarantee, which is when the buyer works directly with you on eBay to get a refund on a transaction, for example, when the buyer opens a return request or reports that the item wasn't received. In these cases, the final decision for refunding the buyer is made by eBay.
When a buyer opens a dispute, the payment institution handles the process with the buyer. A buyer may open a dispute if:
- They didn't receive their item
- The item doesn't match the description in your listing
- They didn't recognise the transaction
- They were charged more than once for an item
- They were charged more than once for the transaction
- They changed their mind
- They cancelled the transaction
- They're missing a credit or a refund
If the payment institution decides the buyer is owed a refund, they'll reverse the payment and refund it to the buyer's original payment method.
Buyers can't use more than one resolution method to get a refund. If a buyer opens a dispute, any open order cancellations, reports that an item hasn't arrived, return requests, or eBay Money Back Guarantee cases for the same transaction are immediately closed.
Responding to a payment dispute
When a dispute is opened, you'll receive a notification from eBay. You must respond to the dispute within 5 calendar days of receiving the notification.
When responding to a dispute, you may choose to:
- Accept the dispute, or
- Challenge the dispute
Accepting the dispute
If you accept the dispute, the buyer will receive a refund. When eBay issues a refund to a buyer on your behalf, the amount will be deducted from the total of your Available, Processing and On hold funds.
If the dispute is opened for an item that doesn't match the listing, we'll try to recover the item for you when you accept the dispute. However, keep in mind that we can't guarantee that the buyer will return the item.
eBay may still choose to challenge the dispute on your behalf, and in this case, you won't be charged a dispute fee.
How to accept the dispute
1. Select Accept dispute and buyer receives refund and select Continue.
2. Select Accept to confirm the refund.
How to accept the dispute and request a return
1. Select Accept dispute and buyer receives refund and select Continue.
2. Select Try to get my item returned.
3. Verify or edit your return address, then select Accept to confirm the refund.
Challenging the dispute
If you challenge the dispute, we'll request supporting evidence about the transaction. If the dispute is opened for an item that doesn't match the listing, we'll try to recover the item for you. However, keep in mind that we can't guarantee that the buyer will return the item.
How to challenge the dispute
1. Select Challenge dispute and provide proof and select Continue.
2. Verify or edit the information, or upload new evidence.
3. Select Submit.
How to challenge the dispute and request a return
1. Select Challenge dispute and provide proof and select Continue.
2. Select Try to get my item returned.
3. Verify or edit your return address.
4. Verify or edit the information, or upload new evidence.
5. Select Submit.
The final outcome of the dispute is decided by the payment institution. Depending on the situation, you may need to cover the cost of refunding the buyer, and/or pay a dispute fee. If you don't respond, or the dispute results in refunding the buyer, and you're not eligible for seller protections, the amount will be deducted from the total of your Available, Processing, and On hold funds, and we'll charge a dispute fee. However, if you're eligible for seller protections, we won't charge you for the amount of the dispute and may also waive or refund the dispute fee, even if the payment institution decides to refund the buyer.
Recommended evidence to challenge a payment dispute
How payment disputes are processed
eBay will submit any relevant evidence you provide about the dispute to the payment institution. There may be situations where eBay already has enough evidence to challenge the dispute, and we'll share it on your behalf.
Once you've accepted a dispute, or challenged it and provided evidence, we'll update you about the status of the dispute by email.
In some cases, a payment institution may reopen a closed dispute. In this case, we may request that you provide additional evidence for challenging the dispute.
The payment dispute could take up to 90 days or more to be resolved, depending on the payment method or card provider. eBay may hold the funds from payout up to 30 days from when the dispute arises.
