springy she has got her goods back,she told the buyer that paypal will pay her back for sending the item back , that might not be true,  what does she do know , 

If the buyer did accept paypals promo, the buyer will have to provide paypal of proof of postage, as far as a refund Ausbargain advice is spot on, plus seller can add a mesage or note with the refund, it should be on record with buyers inboxed emails, im almost positive it shows on buyers brought items that they recived a refund as well. Maybe someone who is more in the know will comment....
*we may be human, but we are still animals*

I'm just going by what I read about the free returns policy, but I think it states that to claim your free return the return process must be handled through the Paypal or eBay returns system.  Sending a refund as Send Money, even with a covering note, may not cut the mustard.  What's more, since it may be construed as an attempt to avoid the approved eBay/Paypal processes (which in fact it is, albeit for very good reason) would you really want your buyer to bring it to Paypal's attention?

 

If it were me, I would simply explain to the customer that she would not be eligible for the paypal free returns thing after all, as she did not register before buying.  Tell her that under the circumstances, you would be happy to refund the pruchase price, less fees and excluding the original postage (which you did after all pay out), but that she would need to cover the cost of return postage herself.

Cheers,

Penny

I think the mistake was even mentioning that Paypal would have paid the return postage. The OP should just have said that they would refund for item price only once they receive the item back with the tags still attached. If they had then done a partial refund of the item price only through Paypal they would not have got a defect.

 

If it were me and I had said Paypal would cover the return without explaining all the details and jumping through hoops required I would just take the loss and refund in full for the original postage but not the return costs.

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