The idea of a deposit is to compensate for any inconvenience or losses caused by cancellation.
If there hasn't been any inconvenience or loss then you should be able to get some of it back.
They probably had to pay Paypal commission on your payment so that is one loss they could deduct. They also should have made it clear that deposits are non refundable in my view. I would try for a refund on that basis and see if you can negotiate some of it back.






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