Policy Updates

 

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Policy Updates

This page informs users in advance of important changes to the PayPal service, its User Agreement, or other policies. This page displays policy updates with future effective dates. Go to “Past Policy Updates” for previous policy updates.

Amendment to the PayPal Business Debit MasterCard® Cardholder Agreement and Privacy Notice

Effective Date: August 19, 2014

  • The name of the cardholder agreement has been changed to include the Bancorp Privacy Notice, which can be found at the bottom of the Cardholder Agreement.
  • Section 7 – PayPal Debit MasterCard Fees, is being amended to clarify that the Foreign Transaction Fee also applies to Debit Card ATM Withdrawals From and for use at a non-US ATM. This section will now read:

    US ATM Withdrawal (Debit Card ATM Withdrawal From)

    $ 1.50 Per ATM Withdrawal within US (Plus any amounts charged by the ATM owner.)

    Signature Withdrawal (Debit Card Cash Advance To)

    $ 3.00 Per Signature Withdrawal if a signature is required to obtain cash.

    Non-US ATM Transaction-Using an ATM that is not in the US (Debit Card ATM Withdrawal From)

    $1.50; Per withdrawal from a non-US ATM. This fee will apply even if the transaction does not require a currency conversion.

    Foreign Transaction Fee (Debit Card Signature Purchase To or Debit Card ATM Withdrawal From)

    1%; Per purchase from a non-US merchant or use at a non-US ATM. This fee will apply even if the transaction does not require a currency conversion.

     
  • Section 8.c. is being amended to clarify when Cash Back Program payouts will be made. This section will now read:
    1. Payout. The cash back will be calculated at the end of each calendar month and added to your PayPal Account Balance. Payouts must be at least $1.00 USD per month for the amount to be added to your PayPal Account Balance. Otherwise, $0.00 USD will be added to your PayPal Account Balance for that previous month.
  • Section 8.d. is being amended to clarify that your debit card must be active for the last 12 consecutive months or your account will no longer be enrolled in the Cash Back Program. This section will now read:

Your Business Debit Card must be active (used for at least one eligible online or signature based purchase) in the past twelve (12) consecutive months or your account will no longer be enrolled in the Cash Back Program. You must re-enroll in Cash Back to be eligible to begin accruing cash back again.

 

Amendment to the PayPal Debit MasterCard® Cardholder Agreement and Privacy Notice

Effective Date: August 19, 2014

  • The name of the cardholder agreement has been changed to include the Bancorp Privacy Notice, which can be found at the bottom of the Cardholder Agreement.
  • Section 7 – PayPal Debit MasterCard Fees, is being amended to clarify that the Foreign Transaction Fee also applies to Debit Card ATM Withdrawals From and for use at a non-US ATM. This section will now read:
                   

    US ATM Withdrawal (Debit Card ATM Withdrawal From)

    $ 1.50 Per ATM Withdrawal within US (Plus any amounts charged by the ATM owner.)

    Signature Withdrawal (Debit Card Cash Advance To)

    $ 3.00 Per Signature Withdrawal if a signature is required to obtain cash.

    Non-US ATM Transaction-Using an ATM that is not in the US (Debit Card ATM Withdrawal From)

    $1.50; Per withdrawal from a non-US ATM. This fee will apply even if the transaction does not require a currency conversion.

    Foreign Transaction Fee (Debit Card Signature Purchase To or Debit Card ATM Withdrawal From)

    1%; Per purchase from a non-US merchant or use at a non-US ATM. This fee will apply even if the transaction does not require a currency conversion.

 

Amendment to the PayPal Student Debit MasterCard® Cardholder Agreement and Privacy Notice

Effective Date: August 19, 2014

  • The name of the cardholder agreement has been changed to include the Bancorp Privacy Notice, which can now be found at the bottom of the Cardholder Agreement.
  • The Agreement is being amended to clarify our business days. That section will now read:
  • Our business days are Monday through Friday, excluding federal holidays, even if we are open. Any references to “days” found in this Agreement are calendar days unless indicated otherwise.
  • Section 1 is being amended to clarify that we may ask for a copy of your driver’s license or other identifying documents. This section will now read:
    Obtaining Your Card. The Parent must apply for the Student Card. By creating a Student Account with PayPal you are also requesting a Student Card Account. The Bancorp Bank and PayPal retain sole discretion to accept or reject any application for a Student Card. The USA PATRIOT Act is a federal law that requires all financial institutions to obtain, verify, and record information that identifies each person who opens a Student Card Account. What this means for you: When you open a Student Card Account, we will ask for your name, address, date of birth, and other information that will allow us to identify you. We may also ask to see a copy of your driver’s license or other identifying documents at any time.
  • Section 2 is being amended to state that you may access your Debit card funds in accordance with Section 5 of the PayPal User Agreement.
  • Section 3 explains how you may activate your Debit card, including that you may also activate your Debit card online by logging into your PayPal Account and following the activate instructions on the card carrier.
  • Section 4 states what representations and warranties you are making. This section will now read:
    Your Representations and Warranties. By activating the Card or by retaining, using or authorizing the use of the Card, you represent and warrant to us that: (i) you are at least 13 years of age (or older if you reside in a state where the majority age is older); (ii) you are a U.S. citizen or legal alien residing in the United States or the District of Columbia; (iii) you have provided us with a verifiable U.S. street address (not a P.O. Box); (iv) the personal information that you provide to us in connection with the Card is true, correct and complete; (v) you received a copy of this Agreement and agree to be bound by and to comply with its terms; and (vi) you accept the Card.
  • The new section 5.a is being amended to clarify that you may withdraw money from an ATM in an amount up to your available PayPal balance, subject to your daily limits. It further clarifies that you may also use your PIN at any Point of Sale device, as permissible by a merchant that bears the STAR® or PULSE® Acceptance Mark. This section will now read:
    Purchases and ATM withdrawals.With your Personal Identification Number ("PIN"), you may use your Debit Card to obtain cash at any Automated Teller Machine ("ATM") that displays the MasterCard®, Maestro®, or Cirrus® Acceptance Mark for a modest fee as outlined below. If given the option, select "Checking Account" when using an ATM. You may withdraw money from an ATM in an amount up to your available Student Account Balance subject to your daily limit. You may also use your PIN at any Point of Sale ("POS") device, as permissible by a merchant that bears the MasterCard®, STAR® or PULSE® Acceptance Mark. Each time you use your Debit Card, you authorize us to reduce the value available in your Student Account by the amount of the transaction and any applicable fees.
  • The new section 5.d is being amended to add at the end of the section language that clarifies that you do not have the right to stop payments, make preauthorized regular payments, and when certain holds may be placed on your funds. This section will now read:

    Authorization Holds. If you use the Student Card at an automated fuel dispenser (“Pay at the pump”) the merchant may preauthorize the transaction amount up to $100 or more. If the Card is declined, even though there are sufficient funds available, use your Student Card to pay for your purchase inside with the cashier. This hold will be released once merchant submits the transaction for settlement. If you use the Card at a restaurant, a hotel, for a car rental purchase, or for similar purchases, the merchant may preauthorize the transaction amount for the purchase amount plus up to 20% or more to ensure there are sufficient funds available to cover tips or incidental expenses that may be incurred. Any preauthorization amount will place a “hold” on your available funds until the merchant sends us the final payment amount of your purchase. Once the final payment amount is received, the preauthorization amount on hold will be removed.

    It may take up to ten (10) days for the hold to be removed. During the hold period, you will not have access to the preauthorized amount.


    When you use the Card to purchase goods or services or to obtain cash from a merchant, the merchant may attempt to obtain preauthorization from us for the transaction. If the merchant makes such a request, we place a hold on your Student Card Account for up to ten (10) days for the amount of the preauthorization request (which may vary in some cases from the amount of the actual purchase, depending on the merchant). This hold may affect the availability of funds in your Student Card Account. We will not be responsible if any transactions are not completed because of the hold. If the preauthorization request varies from the amount of the actual transaction, we will debit the actual transaction amount from your Student Card Account balance, even if this results in your Student Card Account balance becoming negative. You remain responsible for any negative balances in your Student Card Account.

    You do not have the right to stop payment on any purchase or payment transaction originated by use of your Student Card. You may not make preauthorized regular payments from your Student Card Account. If you authorize a transaction and then fail to make a purchase of that item as planned, the approval may result in a hold for that amount of funds for up to thirty (30) days. All transactions relating to car rentals may result in a hold for that amount of funds for up to sixty (60) days.

  • Section 6 – PayPal Student Card Fees, is being amended to clarify that the Foreign Transaction Fee also applies to Debit Card ATM Withdrawals. This section will now read:

    US ATM Withdrawal (Debit Card ATM Withdrawal From)

    $ 1.50 Per ATM Withdrawal within US (Plus any amounts charged by the ATM owner.)

    Signature Withdrawal (Debit Card Cash Advance To)

    $ 3.00 Per Signature Withdrawal if a signature is required to obtain cash.

    Non-US ATM Transaction-Using an ATM that is not in the US (Debit Card ATM Withdrawal From)

    $1.50; Per withdrawal from a non-US ATM. This fee will apply even if the transaction does not require a currency conversion.

    Foreign Transaction Fee (Debit Card Signature Purchase To or Debit Card ATM Withdrawal From)

    1%; Per purchase from a non-US merchant or use at a non-US ATM. This fee will apply even if the transaction does not require a currency conversion.

  • The new section 13 is being amended to clarify when we may disclose your confidential information to third parties about your Debit card and the transactions you make. This section will now read:

13. Confidentiality. To read the Privacy Policy governing the confidentiality and disclosure of your Card Account information, go online at www.paypal.com and click the link for legal agreements at the bottom of any page. Notwithstanding the Privacy Policy, we may disclose information to third parties about your Business Debit Card or the transactions you make:

  1. Where it is necessary for completing transactions;
  2. In order to verify the existence and condition of your Card for a third party, such as a merchant;
  3. In order to comply with government agency, court order, or other legal, regulatory or administrative reporting requirements;
  4. If you consent by giving us your written permission;
  5. To our employees, auditors, affiliates, service providers, or attorneys as needed; or
  6. Otherwise as necessary to fulfill our obligations under this Agreement.
  • The new section 18.1 is being amended to clarify that if your give someone your Debit Card or give them permission to use it, you will be responsible for all transactions conducted by them on your Account even if they conducted more transactions than you authorized. This section will now read:

    18.1 Protection for Unauthorized Transactions and Other Errors. When an Unauthorized Transaction or Other Error occurs through your Card Account, including Unauthorized Transactions that occur because your Card has been lost or stolen, we will cover you for the full amount of every eligible Unauthorized Transaction or Other Error as long as you follow the procedures discussed below in Section 18.2.

    An "Unauthorized Transaction" is a type of error that occurs when money is sent from your Card Account that you did not authorize and that did not benefit you. For example, if someone steals your Debit Card and PIN, uses the Debit Card to access your Card Account, and makes a withdrawal from your Card Account, an Unauthorized Transaction has occurred. If you give someone your Card and give them permission to use it, you will be responsible for all transactions conducted by them on your Card Account even if they have conducted more transactions than you authorized, unless you notified us that transfers by that person are no longer authorized.

    In addition, "Other Errors" occur when money is either incorrectly taken from your Card Account or incorrectly placed into your Card Account, or when transactions are incorrectly recorded in your Card Account. Other Errors that are covered by us are limited to the following events: if you send a payment and it is incorrectly debited from your Card Account; if an incorrect amount is credited to your Card Account; if a transaction is missing from or not properly identified in your Card Account statement; if you receive an incorrect amount of money at an ATM; and if there is a computational or mathematical error by us.

    You may request documentation or information regarding your Card Account or transaction to determine whether an Unauthorized Transaction or Other Error exists by contacting us through the Contact Us link at the bottom of each page of the PayPal website.

  • Section 18.2 is being amended to more clearly articulate your rights regarding notification requirements. The section will now read:

    18.2 Notification Requirements.

    In case of errors or questions about your electronic transactions, call 866-888-6080 or write to Cardholder Services, PayPal Debit Card Department, Attn: Dispute Resolution, P.O. Box 45950, Omaha, NE 68145-0950 if you think your statement or receipt is wrong or if you need more information about a transaction listed on the statement or receipt. We must allow you to report an error until sixty (60) days after the earlier of the date you electronically access your Card Account, if the error could be viewed in your electronic history, or the date we sent the FIRST written history on which the error appeared You may request a written history of your transactions at any time by calling us at 866-888-6080 or writing us at PayPal Debit Card Department, Attn: Dispute Resolution, P.O. Box 45960, Omaha, NE 68145-0950 You will need to tell us:

    • Your name and Card Account number
    • Why you believe there is an error, and the dollar amount involved
    • Approximately when the error took place

    If you provide this information orally, we may require that you send your complaint or question in writing within ten (10) business days.

    We will determine whether an error occurred within ten (10) business days after we hear from you and will correct any error promptly. If we need more time, however, we may take up to forty-five (45) days to investigate your complaint or question. If we decide to do this, we will credit your Card within ten (10) business days for the amount you think is in error, so that you will have the use of the money during the time it takes to complete the investigation. If you do not have federal payments (for example, Social Security benefits, tax refunds or other government payments) deposited to your Card Account, we may not credit your Card. If we ask you to put your complaint or question in writing and you do not provide it within ten (10) business days, we may not credit your Card.

    For errors involving new Cards, POS, or foreign-initiated transactions, we may take up to ninety (90) days to investigate your complaint or question. For new Card Accounts, we may take up to twenty (20) business days to credit your Card Account for the amount you think is in error.

    We will tell you the results within three (3) business days after completing the investigation. If we decide that there was no error, we will send you a written explanation. Copies of the documents used in the investigation may be obtained by contacting us at the phone number or address listed at the beginning of this section. If you need more information about our error-resolution procedures, call us at 866-888-6080.

  • New Section 23 is added, which is an arbitration provision that applies to the Agreement. It reads as follows:
    Any claim, dispute, or controversy (“Claim”) arising out of or relating in any way to: i) this Agreement; ii) your Card; iii) the Cards of any additional cardholders designated by you; iv) your purchase of the Card; v) your usage of the Card; vi) the amount of available funds in the Card Accounts; vii) advertisements, promotions or oral or written statements related to the Cards, as well as goods or services purchased with the Card; viii) the benefits and services related to the Cards; or ix) transaction on the Card, no matter how described, pleaded or styled, shall be FINALLY and EXCLUSIVELY resolved by binding individual arbitration conducted by the American Arbitration Association (“AAA”) under its Consumer Arbitration Rules. If Section 23 and Section 14 (Disputes with PayPal) of the PayPal User Agreement are in conflict in any way, this Section 23 will control with respect to any Claim. Specifically, you agree that this Section 23 applies to all Claims described above instead of and in replacement to Section 14.2 (Arbitration), Section 14.3 (Law and Forum for Disputes) and Section 14.4 (Improperly Filed Litigation) of the PayPal User Agreement. This arbitration agreement is made pursuant to a transaction involving interstate commerce, and shall be governed by the Federal Arbitration Act (9 U.S.C. 1-16).

    We will pay the initial filing fee to commence arbitration and any arbitration hearing that you attend shall take place in the federal judicial district of your residence.

    ARBITRATION OF YOUR CLAIM IS MANDATORY AND BINDING.
    NEITHER PARTY WILL HAVE THE RIGHT TO LITIGATE THAT CLAIM THROUGH A COURT. IN ARBITRATION, NEITHER PARTY WILL HAVE THE RIGHT TO A JURY TRIAL OR TO ENGAGE IN DISCOVERY, EXCEPT AS PROVIDED FOR IN THE AAA CODE OF PROCEDURE.

    For a copy of the procedures, to file a Claim or for other information about these organizations, contact them as follows: AAA, at 335 Madison Avenue, New York, NY 10017 or at www.adr.org.

    All determinations as to the scope, interpretation, enforceability and validity of this Agreement shall be made final exclusively by the arbitrator, which award shall be binding and final. Judgment on the arbitration award may be entered in any court having jurisdiction.

    NO CLASS ACTION, OR OTHER REPRESENTATIVE ACTION OR PRIVATE ATTORNEY GENERAL ACTION OR JOINDER OR CONSOLIDATION OF ANY CLAIM WITH A CLAIM OF ANOTHER PERSON OR CLASS OF CLAIMANTS SHALL BE ALLOWABLE
    .

    This arbitration provision shall survive: i) the termination of the Agreement; ii) the bankruptcy of any party; iii) any transfer, sale or assignment of your Card, or any amounts owed on your Card, to any other person or entity; or iv) expiration of the Card. If any portion of this arbitration provision is deemed invalid or unenforceable, the remaining portions shall remain in force.

    IF YOU DO NOT AGREE TO THE TERMS OF THIS ARBITRATION AGREEMENT, DO NOT ACTIVATE OR USE THE CARD, OR IF IT HAS ALREADY BEEN ACTIVATED, CANCEL IT. YOU MAY CANCEL YOUR CARD BY CALLING CUSTOMER SERVICE AT 866-888-6080.
  • At the end of the Agreement we have added a copy of Bancorp’s Consumer Privacy Notice. This reads:
Rev. 07/2013

 

The Bancorp Consumer Privacy Notice

FACTS:

What Does The Bancorp Do

With Your Personal Information?

 

Why?

Financial companies choose how they share your personal information. Federal law gives consumers the right to limit some, but not all, sharing. Federal law also requires us to tell you how we collect, share and protect your personal information. Please read this notice carefully to understand what we do.

  

What?

The types of personal information we collect and share depend on the product or service you have with us. This information can include:

  1. Social Security Number and income
  2. Account balances and transaction history
  3. Credit history and credit scores

When you are no longer our customer, we continue to share your information, as described in this notice.

  

How?

All financial companies need to share customers’ personal information to run their everyday business. In the section below, we list the reasons financial companies can share their customers’ personal information, whether The Bancorp shares your information, and whether you can limit this sharing.

 

Reasons We Can Share

Your Personal Information

Does The Bancorp

share?

Can you limit

this sharing?

For our everyday business purposes —

Such as to process your transactions, maintain your account(s), respond to court orders and legal investigations, or report to credit bureaus

Yes

No

For our marketing purposes —

To offer our products and services to you

Yes

No

For joint marketing with other financial companies

No

We don’t share

For our affiliates’ everyday business purposes —

Information about your transactions and experiences

No

We don’t share

For our affiliates’ everyday business purposes —

Information about your creditworthiness

No

We don’t share

For nonaffiliates to market to you

No

We don’t share

 

Questions?

Call us, toll-free, at (866) 888-6080 or (402) 935-2017 (if calling from outside the U.S. or Canada), or visit us at www.paypal.com.

 

What We Do

How does The Bancorp protect my personal information?

To protect your personal information from unauthorized access and use, we use security measures that comply with federal law. These measures include computer safeguards and secured files and buildings.

We also limit access to information to those employees for whom access is necessary.

How does The Bancorp collect my personal information?

We collect your personal information when, for example, you:

  1. open an account or apply for a loan
  2. pay your bills or make a wire transfer
  3. provide account information

We also collect your personal information from others, such as credit bureaus, affiliates, or other companies.

Why can’t I limit all sharing?

Federal law gives you the right to limit only:

  1. sharing for affiliates’ everyday business purposes – information about your creditworthiness
  2. affiliates from using your information to market to you
  3. sharing for nonaffiliates to market to you

State laws and individual companies may give you additional rights to limit sharing.

 

Definitions

Affiliates

Companies related by common ownership or control. They can be financial and nonfinancial companies.

  1. Our affiliates include financial companies such as The Bancorp Bank and Bancorp Card Services Inc.

Nonaffiliates

Companies not related by common ownership or control. They can be financial and nonfinancial companies.

  1. The Bancorp does not share your information with nonaffiliates.

Joint marketing

A formal agreement between nonaffiliated financial companies that together market financial products or services to you.

  1. The Bancorp does not jointly market.