Feeds

PayPal forced to apologise for dodgy small print

Fined $150,000

  • alert
  • submit to reddit

The Essential Guide to IT Transformation

Payment provider PayPal has had its wrists slapped for misleading customers with dodgy small print.

The e-Bay subsidiary will pay $150,000 to New York State as punishment and to pay for the states' investigation.

The controversy centres on what happens when customers buy goods which fail to arrive. If such a purchase was made using a credit card, the amount would be charged back to the customer's account.

PayPal's 'User Agreement' promised customers "the rights and privileges expected of a credit card transaction". But some customers were denied such rights, Attorney General Eliot Spitzer said.

"Protecting consumers' rights in online transactions is the best way to establish and maintain confidence in electronic commerce. As with any new industry, it is essential that consumers making e-payments receive full disclosure of their rights and liabilities."

PayPal has agreed to clarify its terms and conditions. The company has 25m account holders.

Clickhere for the press release. ®

Related stories

eBay and PayPal go after auction fraudsters

New worm scams PayPal punters

eBay trader arrested in missing DVDs probe

Build a business case: developing custom apps

More from The Register

next story
iPad? More like iFAD: We reveal why Apple fell into IBM's arms
But never fear fanbois, you're still lapping up iPhones, Macs
Sonos AXES support for Apple's iOS4 and 5
Want to use your iThing? You can't - it's too old
Philip K Dick 'Nazi alternate reality' story to be made into TV series
Amazon Studios, Ridley Scott firm to produce The Man in the High Castle
Too many IT conferences to cover? MICROSOFT to the RESCUE!
Yet more word of cuts emerges from Redmond
Joe Average isn't worth $10 a year to Mark Zuckerberg
The Social Network deflates the PC resurgence with mobile-only usage prediction
Chips are down at Broadcom: Thousands of workers laid off
Cellphone baseband device biz shuttered
Feel free to BONK on the TUBE, says Transport for London
Plus: Almost NOBODY uses pay-by-bonk on buses - Visa
Amazon says Hachette should lower ebook prices, pay authors more
Oh yeah ... and a 30% cut for Amazon to seal the deal
Twitch rich as Google flicks $1bn hitch switch, claims snitch
Gameplay streaming biz and search king refuse to deny fresh gobble rumors
prev story

Whitepapers

Implementing global e-invoicing with guaranteed legal certainty
Explaining the role local tax compliance plays in successful supply chain management and e-business and how leading global brands are addressing this.
Consolidation: The Foundation for IT Business Transformation
In this whitepaper learn how effective consolidation of IT and business resources can enable multiple, meaningful business benefits.
Backing up Big Data
Solving backup challenges and “protect everything from everywhere,” as we move into the era of big data management and the adoption of BYOD.
Boost IT visibility and business value
How building a great service catalog relieves pressure points and demonstrates the value of IT service management.
Why and how to choose the right cloud vendor
The benefits of cloud-based storage in your processes. Eliminate onsite, disk-based backup and archiving in favor of cloud-based data protection.