A paypal dispute is never something you want to deal with, so I'll go over how you can avoid them. We've all logged into our paypal account and seen the little icon letting us know that something has gone wrong. Sometimes it's justifiable because we did not perform the work we had said we would or the product we shipped out was not to our own quality guidelines and we hoped the client wouldn't care. If you haven't seen a paypal dispute, you're one of the few people out there who has dodged it somehow.
How to avoid a paypal dispute
Avoiding a paypal dispute is a tough thing to do if you're starting out, but they will come regardless of how long you've been working online. You could be running the best company with an amazing support team but someone still wants to open a dispute because they don't think you're working it out with them.
Here are a few things to do before making a sale in order to avoid a paypal dispute as much as possible.
In the end it's almost impossible to avoid a paypal dispute or claim against you, your service and your website. There will be people out there who will order from you when you're asleep and open a dispute an hour later because you haven't sent them a report, called them or emailed them. I've had people order from me and almost immediately open up a dispute with not reason at all. I would enter any information I could in the dispute boxes and they wouldn't respond for some reason, it was like they just wanted to tie up their own money for 45 days lol.
People are always out to get a free service so make sure you have everything in place to make sure the scammers can't get their money back. Their main intention is to file a dispute when you finish the work so they don't have to pay for it, it's sad. The only downside to winning a dispute is that the buyer can still file a charge back if they purchased using a debit/credit card. Paypal allows 45 days to open a dispute but a bank, at least in the US, allows you to file a charge back within 90 days. So if you win the dispute but the buyer used a credit card, they can still file a charge back and you'll almost never win when this happens. The good thing is that Paypal is more on top of their game than in the past because now they are helping defend digital transactions.