PayPal refund scams: how overpayment and fake invoices work
Quick answer
If someone "overpays" you on PayPal and asks you to wire back the difference, or an email tells you to call a number about a refund or invoice, it's a scam. Check your PayPal account directly before you ship or send anything.
- Comes by
- Email, Phone call, Text, Website
- Pretends to be
- PayPal
- Last updated
How it works
PayPal's help center lists the refund-related versions it sees most:
- Overpayment. A buyer pays more than the price, then asks you to wire back the difference, or to pay a "shipper". The original payment may have come from a stolen card or account, so if it is reversed you lose the money you sent, the item and the shipping.
- "You've been paid too much." A spoofed email says someone paid $500 for a $300 item and asks you to ship it plus return the $200. Nothing was paid.
- "You've received a payment." A spoofed email says you have a payment waiting and asks for a tracking number before you check your account.
- Fake invoices and money requests. An invoice for something you never ordered, with an alarming note telling you to call a number to fix it.
The scammer wants your item and your money, or your login.
Red flags
- A buyer pays more than the price and asks for the difference back
- An email says you've been paid but you can't see it in your PayPal activity
- A request for a tracking number by email
- An invoice or money request for something you never ordered
- A note telling you to call a number to resolve an "issue"
- Pressure to wire money to a stranger or a "shipping company"
Example message
I accidentally sent you $500 for the $300 camera. Please ship it and wire the extra $200 to my shipping agent at [phone number]. Payment confirmation: [link].
What to do
- 1
Check your PayPal account directly
Log in to PayPal yourself and check your activity and the Resolution Center. PayPal says a real payment always appears in your PayPal activity, and it never asks you to share a tracking number by email.
- 2
Don't send the difference
PayPal says don't wire money to someone you don't know, and consider canceling an order if a customer overpays and asks for money back.
- 3
Don't call numbers in invoices
PayPal says not to pay a suspicious invoice, open its links or call any number in the note. Report it from inside your PayPal account.
- 4
Forward fake emails and delete them
PayPal's help center says to forward a suspicious email to the address it publishes there, then delete it from your inbox.
- 5
If you already sent money or logged in
Contact PayPal and your bank, change your password and turn on two-step verification. See what to do after a data breach if you shared more.
Report it
Check if your details are exposed with Serus
Scammers find your number and address on data brokers and people-search sites. Serus removes them.
Why you got it
These messages work when they're addressed to you by name or tie in something you actually listed for sale. Scammers get names, emails and phone numbers from people-search sites and breaches. Serus finds the people-search and data broker listings that show your phone number and address and removes them, and alerts you when your details turn up in a breach, so fewer scammers can build a believable story about you.
More PayPal scams
Frequently asked
Is PayPal a scam?
No. Scammers pretend to be PayPal or buyers on it. PayPal's help center describes these tricks and asks people to report them.
Can PayPal call me about a refund?
PayPal says it will never call from a number it lists to ask for your personal or account information, and it tells you not to reply, open links, download attachments or call numbers in a suspicious message.
Why can an overpayment hurt me?
PayPal says the payment may come from a stolen card or account. If the real owner reports it, the money can be withdrawn from your account while you've already sent your item and the difference.
Where do I report a fake PayPal email?
Forward it to the address published in PayPal's help center, delete it, and report it at ReportFraud.ftc.gov.
Sources
Something wrong or out of date? Tell us and we'll re-check it.
