Policy Updates

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Policy Updates

 

Changes to the User Agreement, Combined Financial Services Guide and Product Disclosure Statement, and other policies

Effective date: 1 July 2015

Please read this document carefully. PayPal will change its Legal Agreements with effect from 1 July 2015. You do not need to do anything to accept the changes as they will automatically come into effect on this date. Should you decide not to accept the changes, you can notify us before 1 July 2015 to close your account immediately without incurring any additional charges.

Set out below are the key changes to the:

  • User Agreement, including the Seller and Buyer Protection Policies;
  • Privacy Policy;
  • Acceptable Use Policy; and
  • Combined Financial Services Guide and Product Disclosure Statement.

 

Changes to the User Agreement

We have amended the User Agreement as follows:

  1. In clauses 12.2 and 12.3, we have clarified that the amounts owing referred to by those clauses include amounts owing to eBay.
  2. We have updated and replaced clauses 15.8, 15.9 and 15.10 under the heading “Payments owed to eBay” with:

    “15.8 If eBay determines that you are required to reimburse eBay or your buyer, and that determination is consistent with PayPal’s policies and procedures, you authorise us to debit the amount of the reimbursement from your account and to pay that amount to eBay (“eBay Reimbursement”). You will not receive a refund for your PayPal fees. We will rely on information we receive from eBay for the amount of the eBay Reimbursement. By accepting this Agreement, you direct us to pay that amount accordingly.

    15.9 We will debit the eBay Reimbursement from your account in the following order:

    1. From your account balance.
    2. If you do not have sufficient balance in your account, from any Payment Method linked to your account if you set up your PayPal account as an automatic payment method for your eBay account.
    3. If we cannot debit your Payment Methods, we will place a hold on your account balance and any funds received into it up to the amount of the eBay Reimbursement. Once the amount of the eBay Reimbursement has been reached, we will debit it from your account and remove the hold. If after approximately 30 days we have not been able to debit the total amount of the eBay Reimbursement, any available balance will be debited from your account.

      15.10 If you do not want to us to debit a Payment Method for eBay Reimbursements, you can cancel the Billing Agreement from your account profile. Please note, this may affect your ability to sell on eBay. Please contact eBay for more information.”
  3. We have clarified clause 20.2 by replacing it with:

    “We are exempt from the requirement to:

    • hold professional indemnity insurance; and
    • put compensation arrangements in place.”
  4. Clause 20.7 deals with how we handle your complaints. We have clarified that the time period for notifying you of a delay in handling your complaint is 45 days.
  5. Clause 21.3 deals with notices. We have replaced the word “given” with “received” where it appears in that clause.
  6. We have updated and replaced clause 22.1 with:
    “If you have a dispute with one or more users, you forever release us, our Related Bodies Corporate, employees, agents and directors from any and all claims, demands and damages (actual and consequential) of every kind and nature arising out of or in any way connected with such disputes.”
  7. We have updated and replaced the definition of “Related Bodies Corporate” to “the meaning under the Corporations Act 2001.”

 

Changes to the Seller Protection Policy

The Seller Protection Policy is contained in Schedule 1 to the User Agreement. We have amended it as follows:

  1. The table in clause S4.1 sets out the basic eligibility requirements for seller protection and has been simplified as follows:
     

    PayPal Seller Protection applies to Reversals based on:

    Unauthorised transactions or an item not received.

    Basic requirements

    1. The item purchased must be a physical, tangible good (except vehicles);
    2. You must respond to our requests for documentation and other information that is reasonably required by PayPal regarding a Reversal filed against you within the timeframe specified; and
    3. Your eligibility is not otherwise suspended.

    Additional requirements

    1. You receive payment via PayPal from a buyer’s PayPal account;
    2. You provide us with valid Proof of Shipment; and
    3. The item is sent to the address we specify on the payment notification or "Transaction Details Page" which can be accessed by logging in to your PayPal account.
  2. We have removed subclause (b) from the list in clause S5.1 to form one list of exclusions from the Seller Protection Policy.

 

Changes to the Buyer Protection Policy

The Buyer Protection Policy is contained in Schedule 1 to the User Agreement. We have amended it as follows:

  1. We have updated clause S12.1 so that the Buyer Protection Policy can apply to certain intangible items, including travel tickets and services.
  2. We have deleted clauses S12.1(i)(f) and S12.2.

 

Changes to the Privacy Policy

This notification advises you that PayPal is changing its Privacy Policy, including to reflect the new relationship that PayPal will have with eBay Inc. and its affiliates (“eBay”) after the companies are no longer affiliated by common corporate control.  Click HERE to review the complete terms of the updated Privacy Policy in its entirety.

We encourage you to carefully review the updated Privacy Policy and this Policy Update to familiarise yourself with the changes that are being made, including the following: 

 

Binding Corporate Rules

PayPal is committed to adequately protecting your personal information regardless of where the data resides. Following separation from eBay, PayPal will rely on a variety of methods to ensure adequate transfer of information across borders, including contractual mechanisms, and therefore we have removed the section referencing eBay’s Binding Corporate Rules. 

How We Collect Information About You

As users increasingly access PayPal Services through mobile devices, we also added language highlighting the collection of information from mobile devices, including device identifiers and location information.

This section was also updated explaining how PayPal may collect information about users from other sources, such as other accounts PayPal believes are controlled by a user.

How We Use Cookies

This section was updated, including removing language specific to California’s Do Not Track regulations (as such language is not applicable to Australian users).

How We Use The Personal Information we Collect

This section has been updated and highlights the purposes for which we use personal information, including for identity verification purposes, the performance and customisation of PayPal Services, and our reasons and methods for contacting you.

How We Share Information with Other PayPal Users

Changes have been made to this section explaining how personal information may be shared with other users of PayPal Services during transactions, disputed transactions or when linking a PayPal merchant’s loyalty or gift card to a user account.

How We Share Information with Other Third Parties

This section was modified reflecting, among other things, the changing nature of the relationship between PayPal and eBay.  Both parties will be separate entities, but would like to continue to provide users with the experiences they have come to expect.  The changes to this section reflect PayPal’s sharing of account information with eBay and other third parties for purposes of fraud prevention and risk management, customer service, shipping and legal compliance.

As has always been the case, third parties will not be able to use this information for their marketing purposes without a user’s express consent.

 

 

In addition, we have amended the Privacy Policy as follows:

  1. We have clarified that if you open a PayPal account or use PayPal services, we may collect your driver licence number and passport number.
  2. We have clarified that the time period for notifying you of a delay in handling your complaint is 45 days.

 

Changes to the Acceptable Use Policy

We have amended the Acceptable Use Policy as follows:

  1. We have updated the Prohibited Activities by:
    1. adding cigarettes and stolen goods including digital and virtual goods to clause 2;
    2. deleting the reference to “real property” in clause 3(c);
    3. adding the following activities in clause 3:
      1. “offering or receiving payments for the purpose of bribery or corruption”; and
      2. “credit transactions or insurance activities”; and
    4. deleting clauses 5 and 6, which related to sales of tobacco and prescription drugs, and providing gaming services.
  2. We have replaced the table under the heading “Activities Requiring Approval” with the following:
     

    Service Requiring Pre-Approval

    Contact Information

    Airlines and scheduled or non-scheduled charters/jets/air taxi operators; collecting donations as a charity or non-profit organisation; dealing in jewels, precious metals and stones; acting as a money transmitter or selling stored value cards; selling stocks, bonds, securities, options, futures (forex) or an investment interest in any entity or property; or providing escrow services.

    Please send contact information, business website URL and a brief business summary to compliance@paypal.com

    Providing file sharing services or access to newsgroups; or selling alcoholic beverages, non-cigarette tobacco products, e-cigarettes or prescription drugs/devices.

    Please send contact information, business website URL and brief business summary to aup@paypal.com

    Activities involving gambling, gaming and/or any other activity with an entry fee and a prize, including, but not limited to casino games, sports betting, horse or greyhound racing, fantasy sports, lottery tickets, other ventures that facilitate gambling, games of skill (whether or not legally defined as gambling) and sweepstakes, if the operator and customers are located exclusively in jurisdictions where such activities are permitted by law.

    Please send contact information, business website URL and brief business summary to aup@paypal.com

  3. We have removed the section titled “Transactions on eBay”.

Changes to the Combined Financial Services Guide and Product Disclosure Statement

We have amended the Combined Financial Services Guide and Product Disclosure Statement as follows:

  1. We have replaced clause 5.4 with the following:

    “If a customer is referred to us, we may:

    • pay the referrer a fee calculated as a percentage of the total payment volume generated by the customer; or
    • provide the referrer monetary or non-monetary incentives based on various measures. Non-monetary incentives may include entertainment vouchers or other benefits that we choose to offer from time to time.
       
  2. We have updated clause 6.1 to read “PayPal is part of the PayPal Holdings Inc. group of companies.”
  3. We have clarified clause 7.2 by replacing it with:

    “We are exempt from the requirement to:

    • hold professional indemnity insurance; and
    • put compensation arrangements in place.”
       
  4. In clause 16.2, we have clarified that the amounts owing referred to by that clause includes amounts owing to eBay.
  5. We have updated and replaced clause 16.5 with:

    Reimbursements to eBay for determinations under an eBay buyer protection policy

    If eBay determines that you are required to reimburse eBay or your buyer, and that determination is consistent with PayPal’s policies and procedures, you authorise us to debit the amount of the reimbursement from your account and to pay those amounts to eBay (“eBay Reimbursement”). You will not receive a refund for your PayPal fees.

    Debit process for eBay Reimbursement

    • We will rely on information we receive from eBay for the amount of an eBay Reimbursement.
    • You agree and authorise us to debit eBay Reimbursements from your account in the following order:
      1. From your account balance.
      2. If your balance is not sufficient to fund the entire reimbursement, and you have set up PayPal as an automatic payment method for your eBay account, we will fund the reimbursement from your linked Payment Method.
      3. If we cannot debit your Payment Methods, we will place a hold on your account balance and any funds received into it up to the amount of the eBay Reimbursement. Once the amount of the eBay Reimbursement has been reached, we will debit it from your account and remove the hold. If after approximately 30 days we have not been able to debit the total amount of the eBay Reimbursement, any available balance will be debited from your account.
    • If you do not want to us to debit a Payment Method for eBay Reimbursements, you can cancel the Billing Agreement from your PayPal account profile. Please note, this may affect your ability to sell on eBay. Please contact eBay for more information.
  6. In clause 18.3, we have changed the cross-border Personal Transaction fee for Brazil where the transaction is entirely or partially funded by Credit Card from 7.4% + fixed fee to 5.99% + fixed fee.