This Page
This page displays policy updates which notify users of important changes to the Canada PayPal User Agreement or other online agreements, policies, or statements. Please go to “Past Policy Updates” to view previous policy updates.
Upcoming Changes
We’re making changes to certain agreements (listed below) that govern your relationship with PayPal. These changes will take place automatically on the corresponding effective date(s) shown below.
Actions Needed
Please carefully review the notices below and familiarize yourself with the upcoming changes. Otherwise, no further action is needed from you. If you would prefer to decline such changes you will need to close your PayPal account prior to the applicable effective date.
Amendments to the PayPal User Agreement
Effective: March 11, 2021
- We are revising the listed exclusions to PayPal’s Buyer Protection and Seller Protection to be globally consistent and to clarify which transactions are eligible for protection.
- We are revising PayPal’s Seller Protection so it does not apply where a merchant ships a physical item or fulfills a purchase order more than two days after being notified by PayPal that the transaction is being disputed, reversed, or is otherwise unauthorized.
- We are clarifying our PayPal Payouts and Mass Pay services terms, including that they may only be used to make multiple or bulk payments, not individual or other ineligible payments, and that merchants are responsible for obtaining the applicable consents from their payout recipients.
- We are clarifying the terms that govern communications between you and PayPal.
- We are clarifying PayPal’s data protection roles and responsibilities in connection with the processing of personal data using the PayPal services.
Amendments to the Advanced Credit and Debit Card Payments and Virtual Terminal Agreement, and the PayPal Website Payments Pro and Virtual Terminal Agreement
Effective: March 11, 2021
- These two agreements are being consolidated and renamed as the PayPal Online Card Payment Services Agreement. The unconsolidated versions of these two agreements will be removed from the Canada Legal Hub after the effective date listed above. Such changes will not reduce your rights or increase your responsibilities.
AMENDMENTS TO CERTAIN PAYPAL AGREEMENTS
We are updating the PayPal agreements listed below for all PayPal users in Canada. The changes described below will go into effect on November 6, 2020, or as otherwise set forth herein. There is no action needed from you, as the changes will occur automatically on the applicable effective date. In the event you would prefer to decline the changes and close your account, you can do so prior to the applicable effective date, and the changes will not apply to you.
Amendments to the PayPal Account User Agreement
- We are clarifying which policies you agree to comply with when you open and use a PayPal account.
- We are clarifying the circumstances under which Commercial Entity Agreements apply to business and personal accounts.
- We are establishing a dispute fee and its terms and conditions for sellers.
- When you pay for goods or services or send money, and such transaction involves a PayPal currency conversion, the currency conversion fee will be a minimum of 4% for all currencies.
Amendments to the following agreements:
- PayPal Website Payments Pro and Virtual Terminal Agreement
- Payflow Gateway Services Agreement
- PayPal Here Agreement
- Advanced Credit and Debit Card Payments and Virtual Terminal Agreement
- We are updating our data processing terms in the agreements listed directly above to reflect that PayPal is a data controller for payment processing and fraud services.
AMENDMENTS TO CERTAIN CANADIAN PAYPAL AGREEMENTS
We are updating the PayPal agreements listed below for all PayPal users in Canada. The changes described below will go into effect on July 31, 2020, or as otherwise set forth herein. There is no action needed from you, as the changes will occur automatically on the applicable effective date. In the event you would prefer to decline the changes and close your account, you can do so prior to the applicable effective date and the changes will not apply to you.
Amendments to the PayPal Account User Agreement
- We are expanding our Seller Protection Program to include digital goods and clarifying the terms and conditions with respect to the coverage of intangible goods.
- We are clarifying that our Seller Protection Program does not cover Unauthorized Transactions initiated in an environment not hosted by PayPal.
- For “Significantly Not as Described” claims under our Seller Protection Program, we are clarifying that the item may not be returned to sellers, or sellers may be required to accept the returned item and pay for the return shipping costs.
- We are providing the terms and conditions under which we will automatically enroll eligible charities with PayPal Giving Fund (which relationship will be governed by the Charity User Agreement), with the option to opt-out at any time.
- We are excluding items intended for resale, including single-item transactions or transactions that include multiple items, from reimbursement eligibility under our Purchase Protection Program.
- We are requiring that buyers resolve their issues directly with sellers prior to filing a claim with us in order to be eligible for reimbursement under our Purchase Protection Program.
- We are clarifying the fees payable by sellers in relation to transactions processed through QR codes, which will be payable on and from October 1, 2020 (or a later date as determined and offered by us). Prior to this date, transaction fees on QR code payments are temporarily waived to help businesses impacted by COVID-19. Other fees for using the PayPal services may apply.
- We are adding payments made in respect of gold (in physical form or in exchange-traded form) to the list of ineligible items and transactions under our Seller Protection Policy.
Amendments to the PayPal Custom Card Fields and Virtual Terminal Agreement
- PayPal Custom Card Fields will now be referred to as “advanced credit and debit card payments.” The new name of this agreement also reflects this change.
Amendments to the PayPal Privacy Statement (Effective June 23, 2020)
- We are clarifying information about PayPal account profiles, including how others can find your public profile.
AMENDMENTS TO CERTAIN CANADIAN PAYPAL AGREEMENTS
We are updating the PayPal agreements listed below for all PayPal users in Canada. The changes described below will go into effect on March 20, 2020, unless otherwise noted. There is no action needed from you, as the changes will occur automatically on the effective date above. In the event you would prefer to decline the changes and close your account, you can do so prior to the effective date and the changes will not apply to you.
Amendments to the PayPal Account User Agreement for Sellers
- We are clarifying how merchants must treat PayPal marks and payment methods offered at points of sale.
- We are requiring that merchants publish customer service information, including at least one email address or customer service URL, and a telephone number, which must be readily accessible for review by merchants’ customers.
- We are clarifying that merchants must cooperate with PayPal’s reasonable requests for financial statements and other information in a timely fashion.
- We are establishing that if merchants refund (partially or fully) a transaction to a buyer or a donation to a donor, there are no fees to make the refund, but the fees originally paid by the merchant will not be returned. This change will become effective on May 19, 2020.
Amendments to the Payflow Gateway Services Agreement
- We are revising the notice provisions to align with the PayPal Account User Agreement.
- We are adding Account Updater functionality terms and conditions, which functionality will be provided to all Payflow Gateway Services merchants that also use the Recurring Billing Service once such functionality is implemented. Account Updater will allow merchants to update their customers' eligible card data stored with PayPal to enable seamless processing using: (i) the Recurring Billing Service or (ii) other eligible transactions through the gateway in the future.
AMENDMENTS TO THE PAYPAL ACCOUNT USER AGREEMENT
We are updating the PayPal agreement listed below for all PayPal users in Canada. The changes described below will go into effect on December 23, 2019. There is no action needed from you, as the changes will occur automatically on the effective date noted. In the event you would prefer to decline the changes and close your account, you can do so prior to the effective date and the changes will not apply to you.
Amendments to the PayPal Account User Agreement for Merchants
- We are removing volume-based currency conversion fees which apply to the conversion and withdrawal of foreign currency balances to your bank account. Our standard currency conversion fees will apply to such conversions.
AMENDMENTS TO THE PAYPAL ACCOUNT USER AGREEMENT AND THE PAYPAL WEBSITE PAYMENTS PRO AND VIRTUAL TERMINAL AGREEMENT
We are updating the PayPal agreements listed below for all PayPal users in Canada. The changes described below will go into effect on September 6, 2019, unless otherwise noted. There is no action needed from you, as the changes will occur automatically on the effective date noted. In the event you would prefer to decline the changes and close your account, you can do so prior to the effective date and the changes will not apply to you.
Amendments to the PayPal Account User Agreement
- We are clarifying that we will provide at least 90 days’ notice to Business Account holders of the introduction of a new fee or an increase of an existing fee related to credit or debit card transactions which apply to them.
- For transactions that involve a PayPal currency conversion when you pay for goods or services or send money, the currency conversion fee will be a minimum of 3.5% for Canadian or U.S. dollars, and will be a minimum of 4% for all other currencies. This change will become effective on September 9, 2019.
- We are changing the currency conversion fee to be a minimum of 3% for all other transactions involving a currency conversion. This change will become effective on September 9, 2019.
Amendments to the PayPal Website Payments Pro and Virtual Terminal Agreement
- We are providing the terms and conditions for our Account Updater functionality, which allows merchants to update their Canadian customers’ eligible card data stored with PayPal to enable the seamless processing of recurring and other transactions.
- We are clarifying that we will provide at least 90 days’ notice to Merchants of the introduction of a new fee or an increase of an existing fee related to credit or debit card transactions which apply to them.
- We are changing the PayPal currency conversion fee to be 3% for all transactions involving a PayPal currency conversion. This change will become effective on September 9, 2019.
AMENDMENTS TO THE PAYPAL ACCOUNT USER AGREEMENT AND PAY AFTER DELIVERY AGREEMENT
We are updating the PayPal agreements listed below for all PayPal users in Canada. The changes described below will go into effect on July 9, 2019, unless otherwise noted. There is no action needed from you, as the changes will occur automatically on the effective date above. In the event you would prefer to decline the changes and close your account, you can do so prior to the effective date and the changes will not apply to you.
Amendment to the PayPal Account User Agreement for Buyers
- If PayPal performs a currency conversion for your purchase, and the purchase is refunded at a later date, PayPal will perform a currency conversion for the refund at the transaction exchange rate (including our currency conversion fee) in effect on the date of the refund.
Amendment to the PayPal Account User Agreement for Sellers
- PayPal may use any of the payment methods linked to a seller’s PayPal account to prevent the seller’s account from becoming negative when there are not sufficient funds in the account to cover refunds, reversals and chargebacks.
- As of May 29, 2019, merchants can transfer their PayPal balance to an eligible Visa debit card linked to their PayPal account, subject to the fees applicable to such transfers.
- Merchants can now accept debit and credit card payments directly on merchant websites, subject to the fees applicable to such payments.
PayPal Pay After Delivery Agreement
- We are providing the terms and conditions for PayPal’s Pay After Delivery payment option, which lets qualifying buyers purchase eligible items and pay for the purchase after the item is received.
EFFECTIVE DATE: March 28, 2019
PayPal is making some changes to its User Agreement that will be effective to all PayPal Users in Canada on March 28, 2019. We encourage you to review this Policy Update and familiarize yourself with all the changes that are being made. If you do not agree to these amendments, you may close your account before March 28, 2019.
Amendments to the PayPal User Agreement
A summary of changes follows:
- We’re clarifying how and when we convert currency.
Notice of amendment to the PayPal Privacy Statement
We’re making changes to the Privacy Statement that provides information on how we use your data.
We've provided additional details on how we use data when you transact with your friends, as well as more information on how we use data to prevent fraud and risk.
You can review the changes and the current Privacy Statement here.
Reminder of PayPal Local Payment Methods Agreement
To review the Local Payment Methods Agreement, please Click HERE.
- As a reminder for merchants using PayPal to receive Commercial Transaction payments, on December 11, 2018 PayPal started to enable some customers without Accounts to send payments to merchants’ Accounts using alternative local payment methods.
Updates to the Canada User Agreement & Privacy Policy
Included below are the highlights of our forthcoming changes:
- We’re updating our Agreement to clarify that we may update your credit or debit card information without any action on your part, and such information may be acquired from a third party. If you do not wish to have the card information updated, you may contact your card issuer to request this, or remove the card from your PayPal Account.
- We’re clarifying how refunds are processed including the return of funds directly to a linked bank account and making refunds available sooner in some circumstance.
- We’re updating the name of our Privacy Policy to Privacy Statement.
We’re updating the PayPal Canada User Agreement and Privacy Policy. We are also making revisions to other related agreements, including the PayPal Website Payments Pro and Virtual Terminal Agreement, PayFlow Gateway Services Agreement and the PayFlow Gateway Services Agreement for Resold Merchants. The changes are set out in more detail below and will go into effect on August 9, 2018. If you do not agree to these changes, you must close your PayPal account before August 9, 2018.
Updates to the Canada User Agreement
We are unveiling an entirely redesigned User Agreement for our Canadian customers. We’ve worked hard to make this new User Agreement a more user friendly experience with content that makes it easier for you to understand your rights and obligations when it comes to using PayPal’s products and services.
Here’s what we’ve done:
- We’ve redesigned the User Agreement to simplify its format, with new color-coded headings so you can more easily find the information most relevant to your account.
We’ve revised and reorganized the content of the User Agreement to be easier to follow and to include information where you’d intuitively look for it. Except as described in B. below, we are not changing the meaning of what we say, only how we say and show it. Highlights of the updates found in the new User Agreement:
- We’ve included additional detail on a number of topics including: opening and closing an account, withdrawing money, and managing money in multiple currencies.
- We’ve also included additional detail on which payment method will be used for your transactions, and we’ve clarified that you’ll now be able to pick any funding source in your PayPal account as a preferred payment method when shopping online with PayPal.
- We’ve moved the fee table for domestic and international peer-to-peer (P2P) transactions with friends and family members to a link in the new User Agreement. As always we’ll continue to clearly present these fees at the time of each transaction.
- We’ve moved the descriptions for some of our services from the User Agreement to separate pages on our site. In each case, the terms that apply to these services are not changing and can be found on our website.
- In addition to redesigning the User Agreement, we are making some other changes, here are the highlights:
- We’re correcting an error in our posted charity rate for donations made from outside of the U.S. and Canada from 1.6% to 2.6%.
- We’re correcting an error in the fixed fee table for sending friends & family Euro transactions to recipients in France from € 0.25 to € 0.35.
- We are aligning our signature confirmation requirements for buyers and sellers.
- We are clarifying the ways PayPal users can spend PayPal balance with third parties and the ways the ways PayPal users can send PayPal balance to other PayPal users
- We’re clarifying our intentions with respect to customer balances we hold in trust to help ensure that our customer balances will be held in trust.
- We’re updating the requirements for coverage of Unauthorized Transactions under our Seller Protection program to require that the payment must have been made in connection with a transaction where the buyer logged into their PayPal account to complete the transaction in order for sellers to be covered under the program.
- We’re updating the list of items not eligible for our Purchase Protection Program to include payments to any bill payment service.
- We’re updating the eligibility requirements for the Purchase Protection program.
- We’re clarifying that certain checkout transactions will require a backup funding source.
- We’re clarifying our legal set off rights in situations where a customer holds multiple accounts.
- We’re clarifying how we calculate transaction exchange rates where we perform a currency conversion.
- We’re adding terms providing that a hold may be placed on a payment sent to you at the instruction of the marketplace, if you sell on a marketplace and accept payment through your PayPal account.
- We’re clarifying that sellers have certain obligations under applicable law around how they collect, store and protect user data of customers in Europe.
The terms of the new User Agreement will take effect on August 9, 2018.
Updates to the Canada Privacy Policy
At PayPal, it is important to us that you understand our privacy practices and your privacy choices. That’s why we are updating and streamlining this information in the PayPal Privacy Policy, which includes a Consumer Privacy Notice, to clarify the information we collect, how we protect it, use it and the choices and controls you have across various PayPal services. The updated Privacy Policy will replace the existing Privacy Policy for PayPal Services.
We will continue to keep your information secure, and we will never share, sell or rent your personal data with third parties for the third parties’ own purposes without your consent. A few notable updates include:
- Expanded Scope: We’ve combined our privacy practices for PayPal and Xoom services, websites and applications into one Privacy Policy.
- More Detailed Explanations: We’ve included more details about important features of our services and when you connect your PayPal account to third-party websites and platforms.
- Customized Experiences: We clarified how we may provide you with customized experiences on PayPal properties. We also explain how you can choose to limit the use of your information.
Our updated Privacy Policy will be effective on August 9, 2018. We encourage you to review the new Privacy Policy in advance, please click here.
Updates to Other Agreements
We have also made changes to our PayPal Website Payments Pro and Virtual Terminal Agreement, PayFlow Gateway Services Agreement and PayFlow Gateway Services Agreement for Resold Merchants, as follows:
- We are clarifying that certain fees we charge, e.g. subscription fees, may be subject to applicable value-added taxes. If taxes are applicable, they will be disclosed on merchant statements.
- We are clarifying that sellers have certain obligations under applicable law around how they collect, store and protect user data of customers in Europe.
These changes will be effective on August 9, 2018. If you do not agree to these changes, you must close your PayPal account before August 9, 2018.