This guide explains how to proactively refund customers and how to respond to disputes from PayPal. Proper and timely handling helps reduce chargeback rates and protect merchant accounts.
Before we begin:
- PayPal ACDC payment gateway has been connected to BettaMax.
- Have access to the store’s PayPal Business account.
- Identify the order that needs processing (Order ID or customer information)
Distinguishing between refunds and disputes #
Before processing, correctly identify the type of request to select the appropriate procedure. These two cases have different processing locations and levels of impact.
| Refund | Dispute/Chargeback | |
|---|---|---|
| Who initiated it? | Seller takes the initiative or customer requests it. | Customers open a case with PayPal or their bank. |
| Where to handle it? | BettaMax dashboard or PayPal | PayPal Resolution Center |
| Time | Usually 3-5 business days | It can last 30-75 days. |
| Affect | No impact on merchant accounts. | Multiple disputes can limit PayPal accounts. |
Refund processing #
Use this process when you proactively want a refund or when a customer requests one and you agree to it. All operations are performed directly within the BettaMax dashboard.
- From the sidebar, select Order > All Orders .
- Find the order you want a refund for, then tap the eye icon to open the details.
- Click Refund on the order details page.
- Choose your refund type:
- Full Refund : The entire order amount will be refunded.
- Partial Refund : For a partial refund, enter the specific amount in the box below.
- Enter the reason for the refund in the Reason field . This step is optional but recommended for future reference.
- Press Confirm Refund to confirm.
Dispute Response #
When a customer opens a dispute on PayPal, you receive a notification and have a specific deadline to respond. Failure to respond within the deadline means you automatically lose the case.
- Log in to your PayPal Business account at paypal.com .
- Go to Resolution Center and find the dispute you need to resolve in the list.
- Carefully read the reason for the customer’s complaint in the Case Details section .
- Choose a solution:
- Agree to a refund : Click “Offer a Refund” to end the dispute and refund the customer.
- Responses and arguments : Provide evidence including tracking number, packaging photos, and shipping information to defend the transaction.
- Submit your response before the deadline shown in the Resolution Center .
Common refund scenarios #
Below are the most common ways to handle refund situations. Identifying the situation correctly will help you choose the appropriate and faster solution.
Customer did not receive the item (INR — Item Not Received) #
Check the tracking information before processing.
- If the tracking shows “Delivered ,” provide proof of delivery in the PayPal Resolution Center to respond to the dispute.
- If the tracking is stuck or the package is actually lost: consider issuing a refund or resending the package to the customer.
The item is not as described (SNAD — Significantly Not as Described). #
Customers are required to send photos of the actual product through the support channel before processing their request.
- If the fault lies with the supplier: issue a refund and report the issue to the BettaMax team.
- If the product description on the store doesn’t match the actual product: update the product information after processing is complete.
The customer wants to change their mind (cancel after booking). #
- If the order is not yet fulfilled : cancel the order and issue a refund according to the procedure above.
- If the order is fulfilled : apply the store’s Return Policy (see How to set up the return policy page ).