Page MenuHomePhabricator

PayPal recurring: cycle of authorization reversals?
Open, Needs TriagePublic

Description

@SHust found a German donor with a recently created PayPal recurring donation who reported in ZD #745122:

I had set up a donation of 1,75€ a month with my PayPal account but I keep getting withdrawals followed by immediate refunds on my bank account today. I contacted my bank and they told me that in their system, “it is accepted as a payment and it goes into the authorization stage. Then the merchant collects funds but reverses the payment and it comes back as an Authorization Reversal.” They told me to provide you with this “AUTHARIZATION CODE N2WL9F”.

In my PayPal account there seems to be only a withdrawal so I don’t quite understand what the problem is. Could you help me with that?

When we look this up at the PayPal console, we don't see anything weird, other than a delay in the latest donation processing.

Transaction IDRECURRING PAYPAL_EC 8EC998837F3815055
Invoice Reference79636283.1 recur-1583680803

It was created on March 8th and PayPal says it will be retried on April 13th.

Could someone with log access see if there is something unusual happening here? I've never seen a case where a PayPal donor's bank says that either we or PayPal are issuing instant authorization reversals.

Event Timeline

This donation now says Apr 18, 2020 is the next time PayPal will attempt to charge this. I have asked the donor to log in to their PayPal account to see if PayPal gives them any visibility into what's going on, but it sounds sort of unusual ("withdrawals followed by immediate refunds") and may not be the usual error caused by Paypal requiring donors to have a back up payment method.

After checking with @EMartin we'll wait to see if the donor comes back with anything interesting - this one case is probably not worth escalating to our PayPal rep yet.

@EMartin we got another one just now, where a recurring PayPal is not processing, but the donor seems to have not received the usual email from Paypal:

ZD 747045
Transaction 1XV35489F6922022J
Invoice Number 60827101.1
Next payment due Apr 18, 2020

The donor said "I have just noticed that my monthly automatic payment of $5 was not paid through PayPal on the 13th of the month per my instructions. Will I have to set up automatic payment again, or is there some other way to reestablish the monthly donation?"

Maybe we should ask Matt if PayPal has stopped sending their standard emails (which are admittedly confusing, because they say that the merchant canceled the subscription)?

If he could let us know if the two donors in this task need to add a backup payment method or reached a withdrawal limit, we'd be in better shape to respond to these confused donors who want to keep donating.

Thanks Michael, I am raising with Paypal now.

From Paypal: Generally with recurring transactions we do require a secondary funding source as a back up for these types of transactions. Also we do try up to three times to pull the funds; if we are unable to capture payment we will then cancel the recurring payment. I have filed a ticket with our engineers just in case there was an problem and it would need to be fixed.

DStrine added a subscriber: jbolorinos-ctr.
DStrine subscribed.

@EMartin I'm folding T261994 into this task. The reports on this task are pretty old. @MBeat33 if you have more DS tickets recently, can you update this task?

No recent tickets, but we'll add any that come in going forward.