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Rank: Starting Member
Groups: Registered
Joined: 11/12/2002
Posts: 312
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I'm planning to use PayPal to take payments for a service that I offer, but sometimes it isn't possible to fulfill the service. In other words, we can't guarantee success. I only want to charge customers if we are successful, but I need to guarantee payment.
Can I use paypal as follows:
1. Get the payment up front
2. If we are successful, keep the payment.
3. If we are unsuccessful, refund the payment.
And if this will work, are there any transaction fees? And is it a problem if the refund rate is high? (Say, 25-50%)
Thanks
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Rank: Starting Member
Groups: Registered
Joined: 10/22/2002
Posts: 239
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It is technically impossible to receive and refund payments with IPN so I'm afraid you are going to have to take full payment first and refund upon failure of your service or maybe charge a deposit and then installations?
I'm not sure what kind of services you are offering but you do know that it is stricly forbidden to sell securities, business opportunities, franchises and multi-level marketing via PayPal!
I hope it's not one of those?
Hope this helped!
Best regards,
Marcus Cicero
EliteWeaver UK
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Rank: Starting Member
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Joined: 9/16/2002
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You can do what you describe: 1. Get the payment up front 2. If we are successful, keep the payment. 3. If we are unsuccessful, refund the payment. There is nothing in our TOUs about excessive refunding but it would likely hit our Fruad Department's radar. Patrick Breitenbach PayPal, Inc. Dev Net: https://www.paypal.com/pdn
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Rank: Starting Member
Groups: Registered
Joined: 11/12/2002
Posts: 312
Location: ,
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Thanks for the responses. If I use PayPal I'll let the fraud department know (or someone else at PayPal) ahead of time. It's not one of those marketing scams, but I don't want to post the idea here.
Normally, if I were a credit card merchant, I would just "reserve" like $30 on the customer's credit card, and only charge it if we were successful, etc. Can PayPal do anything similar to this? Thanks
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