Introducing the Unpaid Item process
As of July 12, 2004, eBay's old Non Paying Bidder (NPB) process will be replaced with the new Unpaid Item process. From this date, users will no longer be able to use the Non Paying Bidder process to send NPB alerts and file NPB warnings. Learn more about the new Unpaid Item policy and the Unpaid Item process.
1. Why did eBay replace the Non Paying Buyer process with the Unpaid Item process?
Ensuring that buyers pay for their items is one of the most critical components of a successful transaction for any seller. eBay is committed to providing the community with the tools and resources that allow them to complete transactions successfully, with a minimum of unpaid items.
According to our research, many Unpaid Items are a result of misunderstandings or miscommunication between buyers and sellers. The Unpaid Item process addresses these problems by introducing a direct messaging system for the buyer and seller to communicate via the eBay site without relying on email. The new process also enables sellers to get their Final Value Fee (FVF) credits faster (immediately if the buyer is no longer a registered user at the time the seller files or if the buyer is from a country to which the seller has designated in the Sell Your Item process that he or she will not ship). It also eliminates the mandatory waiting period if the buyer and seller mutually agree not to complete the transaction.

2. What benefits does this new Unpaid Item process have?
The primary benefits of the new Unpaid Item process are:
- Increased likelihood of completing the transaction through structured communication tools that facilitate positive outcomes.
- Better management of Unpaid Items through the new Dispute Console.
- Shorter waiting period for Final Value Fee credits - from 17 days to 14 days or fewer - and an immediate filing option if both the buyer and seller mutually agree not to complete the transaction.
- Immediate, one-step Unpaid Item credit in the event a seller encounters a suspended buyer or a buyer from a country to which the seller has designated in the Sell Your Item process that he or she won't ship.

3. What exactly has changed in the way that sellers file for Unpaid Items?
Previously, sellers with an Unpaid Item were required to file a Non-Paying Bidder Alert and subsequently request the Final Value Fee (FVF) credit. The new process enables the buyer and seller to complete the transaction through direct communication and speeds the process for getting an Unpaid Item credit if needed.
The process starts one of two ways. First, the seller can file an "Unpaid Item reminder" seven days after the listing closes. This reminder starts a set of onsite and email communications from eBay to the buyer reminding them that it is time to pay, giving instructions on how to do so, and allowing for structured communication with the seller. Second, the seller can file a "Mutual Agreement Not to Proceed." This option prompts the buyer to confirm the agreement. Once the buyer does so, eBay issues a FVF credit to the seller. The seller also receives a FVF credit if the buyer fails to respond in 7 days (and the buyer receives a strike).

4. Can the buyer delay the dispute and prevent me from receiving a Final Value Fee (FVF) credit?
No. The seller can either communicate with the buyer or close the dispute and receive the FVF credit after the buyer has responded at least once or if the buyer does not respond within 7 days. While we hope the seller will take advantage of the new process to work the situation out with the buyer, the seller can end communication at any time and receive their FVF credit.

5. How do I file an Unpaid Item?
Sellers can file an Unpaid Item by clicking on "File an Unpaid Item Dispute" in the selling area of My eBay and Services pages, as well as related areas in eBay's help system. Once the seller selects "File an Unpaid Item Dispute" they are prompted to provide an item number to begin the filing process.

6. What is the Dispute Console?
eBay created the Dispute Console, as part of the new Unpaid Item process, to enable sellers to better manage their Unpaid Items and act upon them. eBay buyers and sellers can access the Dispute Console in the Selling area of My eBay.

7. Are there any policy changes with respect to Unpaid Items?
Yes. There are several policy changes aimed at helping buyers and sellers complete transactions. The overall policy emphasizes that buyers must pay for the items they commit to purchase. The changes include:
- Sellers can file a mutual agreement not to complete the transaction immediately; however, if the buyer disagrees, the seller will not receive a Final Value Fee (FVF) credit and will not be able to re-file. The buyer will not receive a strike. eBay strongly recommends that sellers confirm mutual agreement before utilizing this function. If the seller is uncertain about how the buyer will respond, the seller should send an Unpaid Item reminder to ensure eligibility for a FVF credit.
- Items paid using PayPal and not refunded via PayPal are ineligible for an Unpaid Item credit.
- Partial refunds of Final Value Fees are not offered.
- Since February 2004, eBay offers a free re-list insertion fee credit if the seller re-lists an item and it successfully sells the second time.

8. What fees can a seller recoup if they have an Unpaid Item?
Sellers with Unpaid Items are eligible for Final Value Fee credits. Also, if the item is re-listed and sells the second time, eBay will refund the Insertion Fee for the re-listing. Please visit the re-list help page for more information.

9. Does the new filing process work with Selling Manager Pro and the third-party selling tools that I use?
Yes, Selling Manager Pro supports the new Unpaid Item process. We plan to make the new process available to third parties and expect that many of them will support it.

10. Why can't I get a Final Value Fee credit if the buyer doesn't mutually agree?
The goal of the new Unpaid Item process is to complete the transaction. The mutual agreement process, with its shortened timeframe, is tailored to buyers and sellers who communicate and specifically agree not to complete the transaction. We strongly recommend that sellers work out the details of this agreement with the buyer before choosing this alternative for recovering fees. If a seller feels there is a risk that the buyer will not agree, the seller should file an Unpaid Item reminder to ensure eligibility for a Final Value Fee credit.

11. What happened to the NPB Alerts I filed using the old NPB process?
If you filed an NPB alert prior to July 12, 2004, these alerts have been transferred to the new Unpaid Item process. If a Final Value Fee credit is needed for one of these transactions, you must request it using the new process. In order to do so, please go to the Dispute Console and locate the NPB alert in question. Click on the "View" link next to the transaction to see details about the dispute. On this page you will see a button labeled "Close Dispute" with options for requesting a Final Value Fee credit. Please keep in mind that you may have to wait up to 7 days before requesting your credit in accordance with the Unpaid Item policy.

12. If the buyer does not respond to a mutual agreement request, is the buyer assigned an Unpaid Item strike?
Yes. Buyers who do not pay for their item and did not participate in the Unpaid Item resolution process are given a UPI strike, even if the seller selected the "Mutual Agreement Not to Proceed" option.

13. Does eBay support partial Unpaid Item credits?
eBay no longer offers partial Unpaid Item credits because this feature was used so infrequently.

14. If I've refunded a buyer's PayPal payment, is that item still eligible for an Unpaid Item credit?
Yes, as long as you have refunded the entire payment using the PayPal "Refund Payment" option for the item in question. You can find the Refund Payment feature on the Transaction Details page in your PayPal Account. If you refunded only part of the payment, or if you refunded via PayPal Send Money, a check or some other means, the item is not eligible.

15. What else is eBay doing to reduce Unpaid Items for sellers?
eBay is pursuing several initiatives to help sellers complete transactions and reduce Unpaid Items in the marketplace. These initiatives include:
- Simplifying Payments - Making payment easier for buyers is a vital component to ensuring that transactions are completed. We are working hard to further integrate PayPal services and offer solutions such as Immediate Payment on Buy It Now listings.
- Buying Limits and Remedies - To ensure responsible buying on eBay, we are establishing buying limits and offering stricter remedies (such as asking users to register for PayPal or putting a credit card on file) to remove these limits.
- Buyer/Seller Communication - Many Unpaid Items are the result of inability of buyers and sellers to communicate through regular channels. eBay is working to fined new ways to alert buyers and sellers whose contact information is not updated or who use spam filters to block messages from eBay and its sellers.
- Buyer Education - eBay is investigating ways to improve the transaction process so that buyers know when commitment to buying occurs. This communication includes the total price of the item (including shipping) and the payment methods offered.

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