Many users describe this as a predatory practice because sellers can lose significant amounts on high-value items just because a buyer changed their mind.
When you refund a buyer, you must provide the full amount they paid, but PayPal keeps the original processing fee (typically ~2.9% + $0.30).
You don't pay any fees to refund a payment for goods or services. But we don't return the fees you paid when you got the payment.
Paypal-refund-fee-reddit Apr 2026
Many users describe this as a predatory practice because sellers can lose significant amounts on high-value items just because a buyer changed their mind.
When you refund a buyer, you must provide the full amount they paid, but PayPal keeps the original processing fee (typically ~2.9% + $0.30).
You don't pay any fees to refund a payment for goods or services. But we don't return the fees you paid when you got the payment.
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