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 recognize 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 canceled 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 cancelations, 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.
To respond to a dispute, select View details next to the order in My eBay Sold or go to the Requests and disputes tab in Seller Hub.
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. For more information, please read our article on Getting paid for items you've sold.
If the dispute is opened for an item that doesn't match the listing, eBay will try to recover the item for you when you accept the dispute. However, keep in mind that eBay 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.
Dispute fees
If a buyer files a payment dispute, and you’re found responsible for the disputed amount, you’ll be charged a dispute fee by eBay. If you accept the payment dispute and issue a refund, eBay will waive the dispute fee, and you’ll be responsible for the refund amount issued to your buyer.
The amount of the dispute fee depends on which eBay site the listing was created on. Below, you'll find the links to our fees pages on international sites:
- United States
- United Kingdom
- Canada
- Germany
- France
- Italy
- Spain
- Australia
- Austria
- Switzerland
- Ireland
- Netherlands
- Belgium (Dutch)
- Belgium (French)
- Poland
How to accept the dispute
- Select Respond to case from the dispute notification.
- Select Accept dispute and buyer receives refund and select Continue.
- Select Accept to confirm the refund.
How to accept the dispute and request a return
- Select Respond to case from the dispute notification.
- Select Accept dispute and buyer receives refund and select Continue.
- Select Try to get my item returned.
- 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
- Select Respond to case from the dispute notification.
- Select Challenge dispute and provide proof and select Continue.
- Verify or edit the information, or upload new evidence.
- Select Submit.
How to challenge the dispute and request a return
- Select Respond to case from the dispute notification.
- Select Challenge dispute and provide proof and select Continue.
- Select Try to get my item returned.
- Verify or edit your return address.
- Verify or edit the information, or upload new evidence.
- Select Submit.
You can submit a text up to 1000 characters if you need to add details and explain your reason for challenging a payment dispute. When providing proof, it’s possible to upload up to 5 separate files of information such as tracking details, shipping labels, messages, and photos. eBay automatically compresses the files to help you stay under the limits set by payment institutions.
This data will be shared with the buyer’s payment institution to challenge the payment dispute.The information you submit may also improve your chances of qualifying for seller protections.
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. For more information, please read our article on Getting paid for items you've sold.
However, if you’re eligible for seller protections, eBay 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. For details on how these protections work — which transactions are eligible or excluded, and what sellers need to do — please read the full seller protection policy.
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 it'll share it on your behalf.
Once you've accepted a dispute, or challenged it and provided evidence, eBay will update you about the status of the dispute by email. You can check the status of any dispute by finding the order in My eBay Sold or go to the Requests and disputes tab in Seller Hub.
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.
Avoiding payment disputes
To help prevent payment disputes, you should always:
- Create detailed, accurate listings
- Include multiple, high-quality photos of your items
- Use a tracked shipping service with proof of delivery to the address provided by the buyer at checkout
- Include signature confirmation for items that cost over a certain amount. Learn more about signature confirmation requirements
- Be responsive to buyers who contact you through eBay Messages and work to resolve any issues
- Keep any messages and supporting documentation through eBay tools
- When issuing a partial refund, provide information to your buyer as to why you didn’t issue a full refund. For example, "as agreed, deducted 5% from the refund instead of returning the item''
