Cannot Refund

New Member
1 0 0

I decided to test out dropshipping but after my first order I decided to stop moving forward. I am trying to refund that customer their $9.99 back that they paid through paypal express checkout, but I get error 10007 and am told I do not have permission to refund the item. It is important to note I do not have my paypal setup to my shopify store because I do not have a business paypal, nor can I get one at the moment. It seems as though there is no way to refund this customer now and I have no clue what to do. Please help!!!

Shopify Staff
Shopify Staff
748 42 133

Hey, @Jamiejohnson !


Katy here from Shopify. I hope all is well with you and welcome to our Community here.


I am sorry to hear that you would not like to move forward with your business at this time, but I hope that you found the trial helpful. Perhaps it might be something you would like to revisit later down the line.


Regarding this refund, I understand your situation. When you create an account with Shopify you are automatically given a PayPal Express Checkout account with the email you used to sign up for your Shopify store. Though before you can collect payments you will need to complete this set up. We have more info on this in our help doc here. Thank you for confirming that the PayPal gateway is not yet fully set up. This is useful to note, as in order to be able to issue a refund for orders received via PayPal, you will need to have this set up complete.  PayPal have more info on this error code which may appear as a result of not doing so


If however you are unable to complete the set up at this time, there are some alternative options which may help:


  • One way around this would be to request that your customer cancel the payment to you. They can do so by logging into their own PayPal account, and selecting the 'cancel' button on their activity page.
  • Alternatively, any payments which are not claimed by the seller (you) within 30 days will then be automatically refunded to the customer. PayPal have more info on this here

If you do have additional queries on this, I suggest to reach out to PayPal directly. You may use the email address associated with your Shopify account along with the order authorization key to discuss this particular order. You can find this in the order timeline here for example.


I hope this helps, do feel free to let me know.



Katy | Social Care @ Shopify
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