I just started a store and got some orders but didnt activate the PayPal account. So the customers payments made via PayPal are on "Payment Pending" status caus I haven't/couldn't capture them. How long will they stay like this before they are automatically refunded to the customer? I ask because I actually want to refund the customer. I don't even have that item in stock yet it should have been not available on the website. I can't create a paypal to accept and then refund because the shop is actully EU based and Im outside of the EU without an EU vat registration or phone number I cannot open a EU paypal to accept the paymet and then refund, and shopify UK wont accept non EU paypals. I need the payment to be refunded.
I'm Miles from the Social Care team at Shopify. Congratulations on your recent sales. It's so lovely to hear you're business is doing well.
In regards to your question around the automatic refund from PayPal, this would be a question you would need to ask them. PayPal is a third-party provider, so we see exactly what you see. Each payment provider does have different rules around this, so it's best to have a chat with them.
From what I understand, PayPal doesn't refund a customer if their payment has cleared. They will hold the money until it is claimed by the merchant. In your case, I would suggest going to Settings > Payments to make sure PayPal checkout is deactivated if you don't have an account with them. If it's active, customers would still be able to checkout via that method. You'll need to speak to PayPal directly about any orders you have fulfilled that was paid through them so they can help you claim your money and work on a solution going forward for you too.