I got refunded without asking. No comms - didn't even know my order had been cancelled until saw the credit on my PayPal account. Had to search my emails to see what it was for (I'm always buying cheap tat from China so couldn't remember what it was for!).
wow, finally refunded without having to ask, only took them 22 days:|
That changed in Sep 2011. PayPal refund the buyer in full but retain the transaction fee from the seller. You may want to recheck your transactions. The fee applies to businesses in Europe, £0.20, and America, $0.30, so is feasible that it applies to China too. It is practically impossible to find on PayPal's website but a google search of PayPal refund 20p will give you plenty of results.
You shouldn't be charged fees unless it wasn't a full refund - whenever I've issued a full refund on ebay Paypal have always also cancelled/refunded any fees (otherwise the refund the buyer received would be short by the fee amount). I'm not too sure what happens with partial refunds tho but that isn't relevant here.
Refunded. Another company who likes to refund - joins Gearbest.