Policy Updates

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Notice of Amendment to PayPal Legal Agreements

Issued: March 19, 2020 (for Effective Dates see each individual agreement below)

Please read this document.

We’re making changes to the legal agreements that govern your relationship with PayPal.

We encourage you to carefully review the notices below so that you are familiar with these upcoming changes.

There is no further action needed from you as these changes will take place automatically on the Effective Dates shown below. In the event you would prefer to decline these changes and close your account, you can do so prior to the Effective Date without incurring any additional charges.

Updates to the PayPal Alternative Payment Methods Agreement

Effective Date: March 19, 2020

You can find the current  PayPal Alternative Payment Methods Agreement by clicking here or accessing it via the “Legal” or “Legal Agreements” footer on most PayPal site pages.

1. No additional fees for receiving international APM payments

We have amended section 3 (Using APM functionality) to clarify that the additional percentage-based fee for receiving international commercial transactions set out in the User Agreement does not apply when you receive APM payments.

Updates to the PayPal Acceptable Use Policy

Effective Date: March 19, 2020

You can find the PayPal Acceptable Use Policy currently in force by clicking here  or accessing it via the “Legal” or “Legal Agreements” footer on most PayPal site pages.

1. Contact information

The contact information in the sections headed “Activities Requiring Approval” and “Violations of the Acceptable Use Policy” has been updated.  Instead of sending an email to PayPal, you can complete a webform to submit your query or filing under those sections.

Updates to the User Agreement

Effective Date: June 16, 2020

• Please click HERE  to view an updated copy of the intended changes.

You can find the current PayPal User Agreement by clicking here or accessing it via the “Legal” or “Legal Agreements” footer on most PayPal site pages.

1. Actions We May Take If You Engage In Any Restricted Activities - Violations of the Acceptable Use Policy (new section)

We have added a new section which sets out our rights to deduct amounts in respect of damages which arise when you use your PayPal account primarily for the purposes of your trade, business, craft or profession and you violate the Acceptable Use Policy.  The new section reads as follows (shown with headings of the root clauses for context and abridged for brevity, with amendments underlined):

“…

Restricted Activities And Holds

…

Actions We May Take if You Engage in Any Restricted Activities

…

If you use your PayPal account primarily for the purposes of your trade, business, craft or profession and you violate the Acceptable Use Policy, then:

• in addition to being subject to the above actions you will be liable to PayPal for the amount of PayPal's damages caused by your violation of the Acceptable Use Policy;

• you acknowledge and agree that USD 2,500.00 (or the prevailing equivalent in the currency of the country in which you reside) per violation of the Acceptable Use Policy is:
  • a reasonable minimum estimate of PayPal's actual damages considering all currently existing circumstances, including the relationship of the sum to the range of harm to PayPal that reasonably could be anticipated;
  • reasonable and proportionate in its application to the provision of the Services to you; and
  • necessary, but no more than sufficient, to protect PayPal’s legitimate interest in your compliance with the Acceptable Use Policy; and

PayPal may deduct such damages directly from any existing balance in any PayPal account you control.

…”

2. Other Legal Terms – Our Rights – Information About You

We have amended the section headed “Other Legal Terms – Our Rights – Information About You” to clarify your obligations to provide PayPal with information about you to facilitate our actions described in the user agreement, enable us to reduce the risk of fraud or comply with our regulatory (including anti-money laundering) obligations.  The section headed “Other Legal Terms – Our Rights – Information About You” now reads as follows (shown with headings of the root clauses for context, with amendments underlined):

“…

Other Legal Terms

…

Our Rights

…

Information About You

We may request information from you as we reasonably require to facilitate our actions described in this user agreement, enable us to reduce the risk of fraud or comply with our regulatory (including anti-money laundering) obligations. You must comply with these requests in a timely fashion.  This may involve you faxing, emailing or otherwise providing to us at your own expense identification documents and information about your finance and operations (such as your most recent financial statements and merchant processing statements).

…”

3. Other changes

​Sections of the PayPal User Agreement have been amended to clarify and reorganise existing wording and correct minor typographical errors including the following existing sections: