PayPal INR (Item Not Received) wins on delivery proof to the correct address. Aurai's book shows 68–75% win rate for physical-goods INR when the merchant shipped to the PayPal-provided address with valid tracking. Rate drops below 25% when the merchant shipped to a different address — even if the buyer explicitly requested it. PayPal Seller Protection has strict rules; representment does too.
What INR covers
PayPal INR — Item Not Received — is filed inside PayPal Buyer Protection. Buyer claims they paid but never received. PayPal decides the case, not the card issuer.
Evidence goes into PayPal's dispute interface. Response deadline is 10 days for the buyer-dispute phase; if it escalates to a card-network chargeback, the deadline follows Visa/Mastercard rules (30–45 days).
INR is separate from SNAD (Significantly Not As Described) — different evidence stack, different win rates. INR wins on delivery proof; SNAD wins on product-listing evidence.
The address rule
PayPal requires shipping to the PayPal-provided address for Seller Protection AND for INR representment. This is the rule merchants trip on most.
Common scenario: buyer places order, then emails asking to ship to a different address ("my work" or "a hotel"). Merchant complies. Buyer files INR, claims non-receipt. Merchant submits delivery proof to the alternate address. PayPal rules against the merchant.
Reason: PayPal's Seller Protection and INR-representment rules require delivery to the address on the transaction. Shipping elsewhere invalidates the coverage even if the buyer requested it in writing.
Always ship to the PayPal address. If the buyer asks to change addresses, cancel and re-run the transaction with the new address on file.
Evidence stack
For INR representment:
- Carrier tracking to PayPal-provided address. Delivery confirmation, tracking number, delivery date.
- Signature (if $750+). Above $750, PayPal requires signature confirmation for Seller Protection.
- Fulfillment timestamp. OMS record showing when the order was shipped, before the dispute filing.
- Shipping notification emails. Email to buyer with tracking number.
- Address match confirmation. Screenshot of PayPal-provided address alongside the shipping label.
Submit through PayPal's dispute resolution center. Attachments limited to 10MB total.
Seller Protection interaction
PayPal Seller Protection automatically covers eligible transactions for INR. Requirements: physical goods, PayPal-provided address, tracked shipping, shipped in the promised timeframe.
When Seller Protection applies, PayPal absorbs the loss on eligible INR — merchant doesn't even need to submit evidence. When it doesn't apply (digital goods, unprotected shipping, address change), the merchant is on their own.
Check the Seller Protection status on every PayPal order before shipping. Orders showing "Not eligible" are ones the merchant absorbs if disputed.
Frequently asked questions
What is PayPal INR?
Item Not Received. Buyer claims they paid via PayPal but never received the goods. Filed inside PayPal Buyer Protection.
Do I have to ship to the PayPal address?
Yes. Shipping to any other address invalidates Seller Protection and hurts representment — even if the buyer requested it in writing.
What's the response deadline?
10 days for the buyer-dispute phase. If it escalates to a card-network chargeback, 30–45 days depending on network.
Post reflects public documentation, industry surveys, and Aurai's own book of disputes as of the publish date. Visa, Mastercard, American Express, Discover, Stripe, PayPal, and Shopify are trademarks of their respective owners; Aurai is independent and not endorsed by any of them. Network rules change — always verify current official rules before acting on any specific tactic.