PayPal say some glitch causes eBay payments to reverse

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We’ve had a Tamebay reader send us some screen shots showing PayPal transactions for eBay purchases being reversed soon after payment was made.

PayPal Reversals

The normal email is arriving from PayPal saying transaction complete but shortly afterwards the transactions were reversed.

ON eBay inventory is reduced but there is no record of the sale anywhere on eBay neither in sales records, unpaid items, items waiting to ship or sold items. Again later it appears that eBay inventory is restored the to pre-sale level.

PayPal support said that they could “confirm that there is an issue with some eBay payments reversing for unknown reasons. We believe this has been caused by a system update that was ran last night which has a knock on effect today. We apologise for any inconvenience this may cause you and are working on it as a matter of level 1 priority to get it resolved“.

It may well be that you’ve been totally unaffected by reversed payments. It may also be that you’ve been affected by one and not even noticed. However it’s worth reminding people that rely on PayPal payments in order to ship sales that this isn’t the most robust way to gather sales – for the past 24 hours they may have shipped an item for which the payment has been reversed.

Have you noticed any unusual reversals on your PayPal account? We hope not, but if you have there’s probably little you can do as the sales will be considered has having not taken place.

9 Responses

  1. This first happened to us on June 3rd but there was a trace of the order in eBay. This meant that our order management system imported the order through the API and we almost shipped it. We got no notification of the reversal from PayPal but were lucky that the customer contacted us to ask why we “refunded” them.

    It looks like it has happened again three times on the 14th but since PayPal is throwing errors left and right I can’t check if these transactions actually showed up in eBay or not.

  2. I can’t even log into PayPal right now, and for the last 10 minutes. Anyone else?


  3. We had two last night at around 8pm but we had none today. No transaction was showing under eBay so no loss.

  4. Had 2 last night, this has happened before to us. Called PayPal CS today they was quick to point out it was Ebay fault.

    To add I raised the question to Paypal CS, why do you not send a notification when payment reversed as we work from paypal notifications and items have been sent…His response er dont know

  5. We had a customer contact us about this, and he said after paying, he was then told the item was out of stock and he was refunded.

  6. My issue is different, but something is happening at PP. Sent some money to mysef via email since I am out of the country. I had a balance of $600, the funds never arrived but received a notification of large withdrawal from my bank acc via PP. My bank is investigating then I contacted PP that said there were glitches but never clarify why if I have a balance in PP and I send it via email, why does PP has access to my bank account. My bank says the money was sent to a bank account in US that I am not related with. PP has es alated the issue and assured that they will get back in 48 hours and my funds will be refunded. Has anyone gone through something like this? Thank you


  7. I had 4 of these on tuesday, I only noticed when I logged into paypal for another reason. No notifications of sales on eBay. I contacted the customers to let them know there had been issues with PayPal and eBay in-case they were expecting orders.

  8. I had 3 reversals on Tuesday. Since Wednesday everything seems to be back to normal, of course there was no statement by either Paypal nor Ebay about this….


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