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What Does PayPal Buyer Protection Cover?

Aside from safety, PayPal now offers an even better reason to pay through its service: PayPal Buyer Protection. If you’ve purchased your item through a PayPal-verified seller, you’re covered for your original purchase price plus shipping. This protection covers you only for nondelivery of tangible items and tangible items that are received significantly not as described — not if you are disappointed with the item.

If you’ve paid with a credit card through PayPal, be sure to make a claim with eBay first and then with PayPal. Do not make a claim with your credit card company. PayPal Buyer Protection is for PayPal purchases, and you’re not covered if you’ve made a claim with your credit card company.

You can find the latest information on this program on eBay.

Several types of protection are available to eBay buyers, as shown here.

eBay Shopper’s Assurance
Type Who Pays Explanation
Shipping insurance Buyer As the buyer, you must pay the seller the additional charge for package insurance. This will cover your purchase up to the insured amount while the item is in transit through the U.S. Post Office, UPS, or FedEx.
PayPal buyer No charge eBay agrees that you’ve been defrauded if you’ve paid for your purchase through PayPal, covering up to your purchase price.
BuySAFE bond Seller BuySAFE bonds back a preferred seller’s performance on the item, up to $25,000.
SquareTrade Seal Seller There is no warranty if you have been defrauded by a SquareTrade Seal member. Note that the Seal only assures the buyer that the seller’s positive feedback remains constant.
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