PayPal and Refunds: What You Need to Know
Have you been scammed when sending money through PayPal to friends or family? Losing money can be extremely distressful, especially when the perpetrator is someone familiar. In this article we’ll look into whether PayPal provides refunds in these situations.
PayPal Offers Two Payment Systems
Goods and Services and Friends and Family are designed for buying and selling products online while the latter can be used to send money between friends or family members. However, there are some distinctions between the two services. When sending money through PayPal’s Goods and Services system, PayPal charges a transaction fee which varies based on both your amount sent and recipient location. However, when using the Friends and Family system there are no fees attached; however, PayPal does not provide buyer protection in these transactions. This means if you get scammed while using this payment option, PayPal won’t allow you to file a dispute and refund you your funds.
Unfortunately no. PayPal makes it clear on their website that payments made using their Friends and Family option do not qualify for refunds. Reason being, since there are no fees involved with these transactions, there is no buyer protection available by PayPal if someone attempts to scam you while using Friends and Family system. Thus if someone attempts to steal your money back through fraudsters who use Friends and Family system, PayPal won’t be able to assist in getting it back for you.
What Can Be Done If Scammed Through Friends and Family Payment?
If you believe you have been scammed while using PayPal’s Friends and Family payment system, there are a few steps you should take in order to restore your funds:
- Contact the Scammer: When first dealing with scammers, your first priority should be contacting them and asking for your money back. Perhaps there was some miscommunication or they never intended to scam in the first place
- File a Bank Dispute: If you sent money through PayPal with credit or bank accounts, filing a dispute against these may help undo your transaction and help recover your funds.
- Report the Scammer: If the scammer attempts to take your money without your knowledge or consent, report him/her immediately so PayPal can investigate and take appropriate action against them. Be mindful that this may not result in getting back your own funds.
Tips to Prevent Being Scammed on PayPal
While there’s no surefire way of avoiding being scammed through PayPal, here are a few steps you can take to reduce the risk:
- Switch Payment Types When Possible (Goods & Services vs Friends and Family).
- Verify Recipient’s Identity: Before sending money, verify that you know who it’s going to by going through their profile information and verifying their identity if possible.
- Do not click on suspicious links: Be wary of emails or messages asking for your PayPal login credentials or providing links that look suspicious, such as those containing malicious phishing attempts aimed at gathering personal information about you
- Keep Your Password Safe: Make sure your PayPal password is strong and kept private, and avoid accessing it via public Wi-Fi networks when accessing it.
If you become victim to fraud when sending money through PayPal’s Friends and Family payment system, there is no guarantee of receiving a refund. Be proactive to prevent scams. By adhering to these tips, it’s possible for you to reduce your risks of falling prey to PayPal scams and remain safe online!
References: