Tales of Transparency: Order Cancellations and PayPal

Beginning last October, PayPal changed the way it handled refunds and order cancellations that are completed with PayPal. Essentially, PayPal is now charging vendors 2.9% of an order’s value plus a 30 cent transaction fee any time a vendor issues a refund or cancels an order. So, a cancelled $100 pre-order would end up costing the vendor $3.20 (2.9% plus .30) even though the vendor was never able to fill the order. While we believe this tactic on the part of PayPal is unfair, we have no choice but to pass along this fee to our customers. We cannot run a business where we are paying our payment processor a fee for a transaction that never took place. So, beginning in January, any order that we cannot fill that was paid via PayPal will be subject to this fee deduction. We are sorry to have to do this and hope everyone understands that as a merchant we are being caught in the middle here and should not have to incur any unnecessary charges that are beyond our control. Please keep this in mind whenever you wish to use PayPal as your payment choice for items that we have not yet received.

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