Usually, when you make a purchase with your PayPal account, PayPal gives you the opportunity to dispute or get a refund if you aren't satisfied with the purchase.
It does this through its buyer protection program, and if you're looking to know more about this program, I've explained what exactly it is, what purchases are and are not eligible for it, and how to apply it when necessary.
What is PayPal Buyer Protection and How Does it Work?
PayPal Buyer Protection is a program that covers you whenever something doesn't go as expected with a purchase you made through PayPal.
In essence, you should get covered by this program if your purchase falls under any of the following categories:
- Item Not Received.
- Significantly Not as Described.
- QR Code transactions that didn't go well.
As a good example, I made a payment of $8 to Alipay through my PayPal account on the 28th, May, 2025. I didn't receive the item I paid for, so I requested a refund a few days after, since things didn't go as the seller described.
Funny enough, as soon as I requested the refund, the seller validated the refund and I got my refund on the 3rd, June, 2025.
I've had experience with this process, and believe me when I say that this is the very first time a seller genuinely validated my request in no time. Perhaps, they wanted to maintain a safe reputation on PayPal.
For sure, this process would have taken even up to 30 days for me to get my full refund if the seller did not respond, as I've witnessed with my previous cases, but either way, you'll be getting your money back, because your dispute is genuine.
Eligibility Requirements for PayPal Buyer Protection
Of course, not everyone or purchase will be eligible for the buyer protection program unless it meets the requirements.
Talking of requirements, here's what you'll need to be covered by PayPal's buyer protection program:
- Have a PayPal account in good standing.
- Pay for the eligible item from your PayPal account.
- Reach out to the seller to resolve your issue directly before filing a claim through the Resolution Center.
- Provide PayPal with the documentation and other information required when requested.
- Open a dispute in the Resolution Center within the applicable timeframe (typically 180 days after the time of purchase) and follow the dispute resolution process.
- Have not received a recovery or agreed to an alternative resolution related to your purchase from another source.
Once you meet the aforementioned requirements, you are ready to get covered by the program.
How to File a Claim with PayPal Buyer Protection
Now that you know all that's required to be covered by the buyer protection program, it is time to claim your coverage, and you can do so from the Resolution Center of your PayPal account.
To do this:
- Log in to your PayPal account (it can be in the app or your browser).
- Find the transaction in your Activity.
- Tap on the transaction and select "Report a Problem."
- Select the reason for filing a claim ("Item Not Received" or "Significantly Not as Described").
- Follow the prompts to submit your claim.
After filing your claim, give PayPal time to reach out to the seller, and if they don't get back from the seller within the timeframe, you should get your refund right away, which can take up to 5 business days to reflect in your linked payment method.
What Purchases are Not Covered by PayPal's Buyer Protection?
Usually, your purchase should be eligible for the buyer protection, but if it falls under any of the categories below, you won't be covered by the program.
- Real estate, including residential property.
- Vehicles, including, but not limited to, motor vehicles, motorcycles, recreational vehicles, aircraft, and boats, except for personally portable light vehicles used for recreational purposes, like bicycles and wheeled hoverboards.
- Businesses (when you buy or invest in a business).
- Industrial machinery is used in manufacturing.
- Payments that are equivalent to cash, including stored value items such as gift cards and pre-paid cards.
- Payments made in respect of gold (whether in physical form or exchange-traded form).
- Financial products or investments of any kind.
- Non-fungible tokens (NFTs).
- Gambling, gaming, and/or any other activities with an entry fee and a prize.
- Donations, including payments on crowdfunding platforms as well as payments made on crowdlending platforms.
- Payments to a state-run body (except for state-owned enterprises), government agencies, or third parties acting on behalf of state-run bodies or government agencies.
- Payments to any bill payment service, including PayPal Bill Pay for Business Accounts transactions.
- Payments that you initiate via a third-party platform using your PayPal Balance account and assigned account and routing number (PayPal's Direct Debit functionality).
- Significantly Not as Described claims for wholly or partly custom-made items.
- Item Not Received claims for physical, tangible items you collect in person or arrange to be collected on your behalf. This includes items bought in a seller’s point of sale location, except if you paid for the transaction in person using PayPal's goods and services QR code.
- Anything prohibited by PayPal’s Acceptable Use Policy.
- Payments are made using PayPal Payouts (formerly Mass Pay).
- Personal Payments, including payments sent using PayPal’s friends and family functionality.
- Payments that you have not sent using your PayPal account.
- Items intended for resale, including single-item transactions or transactions that include multiple items.
If your purchase doesn't fall under any of the aforementioned categories, you can always file a claim within the timeframes I've highlighted below for any of the dispute types covered by the buyer protection program.
PayPal Buyer Protection Timeframes
To help you understand when exactly you need to request a refund for a transaction that didn't go as expected, here are the timeframes you need to keep in mind for each of the dispute types.
| Claim type | Timeframe |
|---|---|
| Item Not Received | You must open the dispute within 180 days since the date you sent the payment to the seller. |
| Significantly Not as Described | You must open the dispute within 30 days of the delivery date of your order or within 180 days of the date you made the payment to the seller. |
PayPal Buyer Protection Limit
PayPal buyer protection covers most purchases, but there's a limit to how much a purchase amount can be covered. That said, your purchase worth up to $20,000 are eligible for the program coverage. So if you made a wholesale purchase of many eligible items (let's say a good number of sneakers) that go beyond the limit, you won't get covered by the program in case something goes wrong.
Are there Fees for Using PayPal Buyer Protection?
No, there's no fee for using the PayPal buyer protection because you are already doing business with a merchant that pays fees for PayPal services, and these fees are those that cover the entire process in case things don't go as expected.
Final Thoughts
PayPal Buyer Protection is one of the most convenient that you'll see in the market. It covers a wide variety of purchases, coupled with the fact that PayPal is one of the most widely accepted payment services out there.
If something goes wrong with a purchase that's eligible for the buyer protection program, you should be able to file a claim through the Resolution Center of your PayPal account.
This guide compiles the steps you need to take during the process, how long it takes, together with the items that are not generally covered by the program, so you'll know what to do in any situation.
