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PayPal Complaint - Increased time for refund - Online Payment Service

Online Payment Service - Complaint
Review by ChuhBaca on 2011-12-14
I attempted to make a purchase via Yugster.com. They were having an issue with their servers, which caused my payment to be withdrawn, but not submit the order. I received an error the first time using Paypal, so I thought it was an issue with that payment method. I re-entered the order using my debit card as the payment method and received the same order.

Shortly after, I received an email from Yugster describing the problem and the steps they are taking to resolve the issue. They were very pro-active in acknowledging the error and issuing a refund. Well I can see the refunds were received by Paypal and my bank the very next day!

Here is the difference; The refund issued for the debit payment method was there the day after the occurrence. The refund issued to Paypal was there, but they placed a hold on it, so these funds are not available to me. I'm told this can be 3-5 days before it is available.

So, if a speedy refund is part of your consideration in using Paypal vs a debit or credit card, you may want to skip Paypal.
Comments:
Posted by madconsumer on 2011-12-14:
very helpful review!
Posted by clutzycook on 2011-12-14:
I hate Paypal. If I have the option to pay any other way, I'll do it. If it's the only option, I'll question if I need the item in question.
Posted by Cwazychicken on 2011-12-15:
Paypal is very slow at refunds. This week i asked virgin mobile to refund me as my phone broke and was not using the service, they told me to expect the refund in 5-7 business days as thats my banks policy. Hey its better than waiting 30 days for accidently ordering something for 100 bucks on facebook (wanting to order something for 5, assuming 5 dollars was posted at the first slot, doh!), to dispute it and get a refund! That was the worst....
Posted by Alain on 2011-12-16:
Very helpful information, ChuhBaca, and a good review!
Posted by Warybuyer/seller on 2011-12-25:
Paypal has always said that it would take at least 3-4 business days to receive funds withdrawn to your bank account and claimed that it's your banks's policy. It isn't. I asked my bank how soon funds would be available to me if they were transferred in electronically, and they said IMMEDIATELY. Ask YOUR bank!
Posted by ChuhBaca on 2011-12-26:
Hey Warybuyer, you are correct. The do blame your bank. I didn't have to ask my bank, they demonstrated it. I had attempted to make the original purchase with Paypal. When that didn't work I tried payment directly with my bank debit card.
Refunds were issued by Yugster at the exact same time. The payment from my bank was credited immediately while Paypal didn't let me access the funds for about 4-5 days!

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