Customers who purchase a product on ClickBank using PayPal as the payment method are able to request a refund through the ClickBank customer service website, CLKBank, or from within PayPal directly. Likewise, ClickBank Sellers can process the requested refund through their ClickBank Master account or through PayPal.
Customers may request refunds for a multitude of reasons. To learn more about managing refunds and chargebacks, check out this article.
This article contains the following sub-articles. Clink the link from the list below to jump to the article section that best fits your needs.
- PayPal Refund Initiation Process
- PayPal Refund Success
- PayPal Refund Failure
- PayPal Refund Disputes
- PayPal and Chargebacks
- PayPay Refund FAQ
- Additional Resources & Related Articles
PayPal Refund Initiation Process
If a customer requests a refund through the PayPal website, ClickBank is notified by PayPal of the refund request and will update the order status in the seller's ClickBank Master account within a maximum of 24 hours of the request.
If a customer requests a refund through CLKBank and the seller does not issue or otherwise address the refund before the request ticket expires (typically within two business days), ClickBank will complete the refund and close the ticket.
PayPal Refund Success
If a customer requests a refund from PayPal or through CLKBank and the refund is successfully issued to the customer, the refund is complete. The transaction will be updated within both PayPal and ClickBank. Both CLKBank and the ClickBank Master account will display the ticket as closed.
PayPal Refund Failure
If a customer requests a refund for a PayPal purchase through CLKBank and the refund fails, ClickBank will indicate in the ticket that the refund has failed. Then, ClickBank will close the ticket and prompt the customer to work directly with the seller to complete the refund. At this point, ClickBank can no longer process the refund. Both the customer and the seller must work through PayPal to resolve the refund.
If the seller is unresponsive through direct contact, the customer may contact PayPal for additional support options.
PayPal Refund Disputes
If a customer initiates a dispute within PayPal, ClickBank sellers should resolve the dispute within the PayPal Resolution Center. These resolutions should be conducted within the PayPal platform, not on ClickBank.
However, if a customer has previously opened a dispute on PayPal and then requests a refund through ClickBank, ClickBank will attempt to process the refund. If we are able to successfully process a full refund, the dispute on PayPal will be closed.
In this situation, if a customer requests a partial refund, the refund will likely fail, the ticket will close, and the customer will be prompted to work directly with the seller. The dispute remains open in this instance until resolved on PayPal.
If the dispute is settled on PayPal before the requested refund is issued through ClickBank, ClickBank will update the ticket data and reflect the refund as successfully issued.
PayPal and Chargebacks
When a customer who has purchased a ClickBank product initiates a refund through their bank rather than from CLKBank or the ClickBank seller, this is referred to as a chargeback.
If a customer contacts their bank/card service to initiate a chargeback on a PayPal purchase, the updated transaction status will appear in PayPal. Since the chargeback process can take a significant amount of time without any money changing hands, ClickBank does not update or change the ticket status on ClickBank when a chargeback is initiated.
ClickBank will only change the status of the ticket when money moves at the end of the process. If the chargeback is issued to a customer, ClickBank will close the ticket and note it as refunded.
If a customer initiates a chargeback and then attempts to get a refund on ClickBank, the refund will fail. In this case, as with other failed PayPal refunds, the ticket will be closed and the customer will be prompted to work with the seller directly.
Note: If a seller notices that a transaction has a chargeback status within PayPal on a recurring subscription, the seller may want to cancel that customer’s subscription in order to avoid another rebill given that the chargeback process may take several weeks to resolve.
PayPal Refund FAQ
Q: Will there ever be any cases of a double refund?
A: Because of the ongoing communication channel between ClickBank and PayPal, sellers should not be concerned about instances of a double refund. When a refund is quested on PayPal, the transaction is updated on ClickBank. Likewise, when a customer requests a refund on CLKBank for a transaction that was facilitated by PayPal, PayPal is notified.
Additional Resources & Related Articles
- KNOWLEDGE BASE ARTICLE: Managing Refunds and Chargebacks
- PAYPAL HELP CENTER: How do I request a refund?
- PAYPAL RESOLUTION CENTER
- PAYPAL HELP CENTER: Disputes, claims, chargebacks, and bank reversals.
- KNOWLEDGE BASE ARTICLE: How do I get a refund for a ClickBank product I have purchased?
- KNOWLEDGE BASE ARTICLE: How do I connect my PayPal account to ClickBank?