Paypal gets into free returns for online retailers

Some people just don’t see the draw in online clothes shopping. Oh sure, you can save money, and you don’t have to line up behind anyone, but what if the clothing doesn’t fit you? Well if that’s the chief concern, PayPal may actually have a fix.

And that fix is free returns.

“Aussies are big fans of shopping, and now more than ever they are looking for convenience and flexibility in how and when they make purchases,” said Emma Hunt, Director of Small Business at PayPal in Australia. “However, concerns around potential returns costs and complicated returns processes are preventing over half of Australian shoppers from embracing online retail.”

But that looks set to change, with Hunt announcing that PayPal’s “over five million customers will now be able to purchase items with confidence,” she said, “knowing that if their purchase isn’t quite right and they would like to return it, PayPal will be there to help.”

The announcement details that customers who need to send something back will be able to get shipping costs refunded back to them, provided the costs are up to $45. Anything over and you’ll likely only see the $45 maximum, with a refund requested within 14 days and subsequently paid back when it is approved.


PayPal’s return refund news comes hot on the heels of some research PayPal has commissioned, showing that online shoppers in Australia have managed to spend up a storm, with unwanted purchases amounting to over $450 million dollars on goods in the past year.

Even with excess stuff in our homes, stuff that we would likely have returned if it was a brick and mortar store, more than half surveyed didn’t try returning it because of factors like shipping costs, complicated return policies, and just the hassle of having to do such a thing.

As a result of this, and a result of finding nine in ten surveyed would have tried returning something if the retailer had a free returns policy, PayPal has brought in the policy, which goes into effect this week.

Now you just need an excuse to try it, which probably means buying something you don’t want or suspect won’t fit you, not that we’d ever suggest needless spending. Just make sure it’s not something digital, or for music or vouchers, or things you haven’t paid in full, because there are some rules, and we’d hate to see people caught out by the odd term or condition.