Why the system is automatically refunding my PayPal transactions?

When there is a mismatch in currencies between Cloudbeds PMS and PayPal, PayPal will not process the transaction automatically; the user must claim it manually. Otherwise, it will be refunded to the sender's account after a month.

This article describes the issue and the solution to prevent this situation in the future.

Why does the mismatch happen in PayPal?

This situation happens only with Not completed payments on PayPal's side.

The Not completed payments situation is due to a mismatch in the currency settings between PayPal and Cloudbeds PMS. If the currencies don't match, you must manually accept each payment on your PayPal account.

Example:

  • The property has PLN currency configured on their PayPal account. It means that the account automatically accepts PLN transactions with no additional actions.

PayPal transactions_1.png

If a guest makes a reservation using a different currency, the reservation will be confirmed, but the PayPal transaction will be displayed as Unclaimed, meaning:

  1. The reservation was created on Cloudbeds PMS.
  2. On the PayPal account, the transaction was not confirmed and was marked as Unclaimed.

PayPal transactions_2.png

  1. On Cloudbeds PMS account, the transaction will be displayed on the Folio only if you tick Pending in the filter Transactions.

Example:

PayPal transactions_3.png

  If you (PayPal account owner) don't access PayPal and accept (claim) this transaction manually, the amount will be automatically refunded to the sender account after 1 month.

How to accept the payment and prevent this situation

The PayPal account owner needs to access their account and claim the payment:

  1. On PayPal, click the Summary tab.
  2. Click on the desired transaction.

PayPal transactions_4.png

  1. Click to accept the transaction.

PayPal transactions_5.png

  1. Choose the desired option and click Submit.

PayPal transactions_6.png

Once accepted, the transaction will be displayed as Posted inside the folio on Cloudbeds PMS, and no refund will be processed.

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