Policy Updates

 

>> View all legal agreements

>> View past policy updates

Policy Updates

 

 

Notice of Amendment to PayPal Legal Agreements

Issued: May 29, 2019 (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.


 

Notice of amendment to the PayPal User Agreement.

Effective Date: May 29, 2019

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

2. Other changes

Sections of the PayPal User Agreement have been amended:

  • to clarify and reorganise existing wording, including the following existing sections:

Section

Amendment

8.2 Currency Conversion

The last four paragraphs of this section become new section 8.3 (Currency Conversion Choices).

; and

  • correct minor typographical errors.

 

Notice of amendment to the PayPal User Agreement.

Effective Date: August 19, 2019

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

1. Refused Transactions and Refunds

We are amending sections 4.6 (Refused Transactions) and 5.7 (Your Refund Policy, Data Protection, Privacy Policy and Security) and A3.1.2 in Schedule 1 (Table of Fees) to clarify what happens when a payment is refused or later refunded by the recipient (including where the original payment involved a currency conversion and where a currency conversion (and, in some cases, a currency conversion fee) applies to the returned amount). 

Section 4.6 is amended accordingly for payers receiving returned payments and is also renamed “Refused Transactions and Refunds sent by the recipient.”. 

Section 5.7 is amended accordingly for recipients sending refunds or refusing payments and is also renamed “Refunds, Refused Payments, Your Refund Policy, Data Protection, Privacy Policy and Security” with a new section 5.7.1 (Refunds and Refused Payments) added for the purpose of this clarification. 

Section A3.1.2 in Schedule 1 (Table of Fees) is amended accordingly.

Sections 4.6 and 5.7.1 now read as follows (presented in context with their root clauses and with added wording underlined):

            “…

4.6 Refused Transactions and Refunds sent by the recipient.

We may allow the recipient of your payment to:

  • refuse to accept it; or
  • decide to accept it and then use our Service to send you a refund of all or any part of the amount of the payment later. 

We will return the amount of any refused payment or refunded payment to your Balance.  We will return the amount of an unclaimed payment to your Balance within 30 Days after the date you initiated the payment.

If any amount of any payment is returned to you in any of the ways outlined above, we may convert the returned amount for you into either:

  • the currency of the Balance you used for the original payment (before any conversion into the currency received by the recipient happened);
  • the original opening currency of your Account; or
  • US dollars (opening a Balance in that currency for you, if you don’t have one already).

If the original payment you sent involved a currency conversion we will convert the returned amount from the currency received by the recipient as follows:

  • if the amount is returned within 1 day of the date of the original payment, we will use the transaction exchange rate applicable on the date of the original payment, so that you receive the original amount (including the currency conversion fee you paid) in the original currency you converted from for the original payment; and
  • if the amount is returned after 1 day of the date of the original payment,we will use the transaction exchange rate applicable at the time of the conversion of the returned amount. See section 8.2 for more information about how we set the transaction exchange rate. Note that, for the purpose of this particular return conversion:

If you are registered with PayPal as resident in Portugal, the transaction exchange rate includes the Currency Conversion Fee. You agree to bear the currency conversion fee set out at section A3.1.2 in this case.

We may also automatically withdraw the returned amount from your Balance and transfer the funds back to the funding source you used for the original payment. Withdrawals can also involve a currency conversion – see section 6.

We may decide to not charge your original Funding Source for the original payment in the first place if the amount is returned to your Balance as outlined above before the payment from your original Funding Source to PayPal to fund your original payment has settled.

The returned amount could be lower in value than your original payment amount.  This can happen as a result of:

  • the recipient sending you a refund lower in value than your original payment amount. As we are only a payment service provider, we cannot know what you are entitled to from the original payment recipient as a refund or why the recipient sent the refund in a particular amount; or
  • transaction exchange rate fluctuations. 

PayPal is not responsible for any loss resulting from the recipient's decision to refuse or refund your payment, except to the extent that a refund sent by the recipient is a payment executed incorrectly by PayPal (see section 12).

5.7 Refunds, Refused Payments, Your Refund Policy, Data Protection, Privacy Policy and Security.

5.7.1 Refunds and Refused Payments

If you are the recipient of a payment and we allow you to refuse a payment or send a refund of that payment to the payer:

  • you alone are (and PayPal is not) responsible for:
    • your legal and contractual obligations towards the payer for any amount you return to the payer; and
    • any difference between the cost to the payer of making the original payment and the value of the amount returned to the payer (for instance, as a result of transaction exchange rate fluctuations) except to the extent that the refund is a payment executed incorrectly by PayPal (see section 12).

5.7.2 Refund Policy

5.7.3 Data Protection and Privacy Policy

5.7.4 Security

A3.1 Currency Conversion


A3.1.2 For all other transactions involving a currency conversion and for which the seller has not agreed to bear the conversion fee (including conversion of amounts returned to you as refunds or refused payments):

…”

 

2. Fees for receiving Commercial Transaction payments

We are changing our Commercial Transaction payment Fees as follows:

  • The Fee for Receiving Domestic payments (Selling) at section A2.2.1 in Schedule 1 (Table of Fees) is changed to 2.90% + Fixed Fee.
  • On and from August 19, 2019 the Merchant rate at section A2.2.2 in Schedule 1 (Table of Fees) no longer applies to any Portuguese merchant. In place of the Merchant rate, the standard rate of 2.90% + Fixed Fee applies to each domestic Commercial Transaction payment received by Portuguese merchants.
  • The additional percentage-based Cross Border Fees set out in the table at section A2.3 of Schedule 1 (Table of Fees) for receiving payments from Northern Europe, US/Canada or Europe II are increasing and are now as follows:

Sender’s country

Cross Border Fee

   

Europe I / Northern Europe

0.5%

   

Europe II / US / Canada / Rest of World

2.0%

 

 

  • The Fixed Fee for payments received in UK Pounds Sterling (GBP) at section A4.6 of Schedule 1 (Table of Fees) is increased to 0.30GBP.

Sections A2 and A4.6 of Schedule 1 (Table of Fees) (presented in context with the column headings) now read as follows (with amendments underlined):

A2. Commercial Transaction payment Fees

Where there is stated to be a Fixed Fee component, please refer to A4.6 of this Schedule 1 for more details.

Activity or Event

Fee

A2.1 Sending (Buying)

Free (when no currency conversion is involved)

A2.2 Receiving Domestic payments (Selling)

A2.2.1 Portuguese Standard rate 

2.90% + Fixed Fee

Note on the Merchant rate: On and from August 19, 2019 the Merchant rate no longer applies to any merchant.  In place of the Merchant rate, the standard rate of 2.90% + Fixed Fee applies to each domestic Commercial Transaction payment received by merchants.

 

 

 

A2.3 Receiving Cross Border payments (Selling)

The Fee for Receiving Domestic Commercial Transaction payments applies plus an additional percentage-based Cross Border Fee as set out in the table below (depending on the sender’s country).

Sender’s country

Cross Border Fee

 

 

Europe I / Northern Europe

0.5%

 

 

Europe II / US / Canada / Rest of World

2.0%

 

Note: Cross Border Euro or Swedish Krona payments made between Accounts registered in the European Union or EEA will be treated as Domestic Commercial Transaction payments for the purpose of applying Fees.

A4.6 Fixed Fees for Commercial Transaction payments and Personal Transaction payments (unless otherwise stated) are based on the currency in which the payment is received, as follows:

Currency:

Fee:

Currency:

Fee:

Australian Dollar:

0.30 AUD

New Zealand Dollar:

0.45 NZD

Brazilian Real:

0.60 BRL

Norwegian Krone:

2.80 NOK

Canadian Dollar:

0.30 CAD

Philippine Peso:

15.00 PHP

Czech Koruna:

10.00 CZK

Polish Zloty:

1.35 PLN

Danish Kroner:

2.60 DKK

Russian Ruble:

10.00 RUB

Euro:

0.35 EUR

Singapore Dollar:

0.50 SGD

Hong Kong Dollar:

2.35 HKD

Swedish Krona:

3.25 SEK

Hungarian Forint:

90.00 HUF

Swiss Franc:

0.55 CHF

Israeli New Shekel:

1.20 ILS

New Taiwan Dollar:

10.00 TWD

Japanese Yen:

40.00 JPY

Thai Baht:

11.00 THB

Malaysian Ringgit:

2.00 MYR

U.K. Pounds Sterling:

0.30 GBP

Mexican Peso:

4.00 MXN

U.S. Dollar:

0.30 USD

…”

4. Other changes

Sections of the PayPal User Agreement have been amended to clarify and reorganise existing wording and correct minor typographical errors.