How to Send a Refund From My Bank Account Through PayPal

1. Sign into your PayPal account. If you are not a registered user, follow the prompts on the main page to register. Your recipient must also be a registered PayPal user to receive the funds.
2. Click the 'Send Money' tab. Fill in the requested information. Type the e-mail address the recipient registered with PayPal, the amount of the refunded money and select either 'Goods,' 'Services' or 'eBay item' as the reason for the transaction. (There is currently no option for Refund.) Select 'Continue.'
3. Review your payment. Under the payment method listing, verify that the funds will be instantly transferred from your bank account. If your bank account is not listed, select 'Change' and enter your bank account information. In the 'Email to Recipient' field, type a short note notifying that the funds are intended as a refund.
4. Click 'Send Money' to send your payment. You should receive a message that the transaction is complete. Select 'My Account' and 'Overview' to verify the transaction.