PayPal · PayPal User Agreement

Credit Report Authorization for Business Accounts

Medium severity
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Consumer impact (what this means for users)

PayPal's User Agreement significantly affects your financial rights and access to funds — PayPal can place holds on your money for up to 180 days and limit or suspend your account at its discretion. You waive the right to participate in class action lawsuits and must resolve all disputes through individual binding arbitration, which is generally more costly and less accessible for small-dollar claims. You can opt out of the arbitration agreement by sending a written notice to PayPal's Legal Department at 2211 North First Street, San Jose, CA 95131 within 30 days of first accepting the User Agreement.

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Why it matters (compliance & risk perspective)

PayPal can conduct ongoing credit inquiries on business account holders without a fixed trigger or frequency limitation, which can affect personal credit scores and represents a broader data access right than most payment processors explicitly claim.

View original clause language
You also consent to PayPal obtaining your personal and/or business credit report from a credit reporting agency at account opening and whenever we reasonably believe there may be an increased level of risk associated with your business account.

Applicable regulations

EU AI Act
European Union
BIPA
Illinois, USA
CCPA/CPRA
California, USA
COPPA
United States Federal
CAN-SPAM
United States Federal
DMA
European Union
FCRA
United States Federal
GDPR
European Union
GLBA
United States Federal
HIPAA
United States Federal
TCPA
United States Federal
UK GDPR
United Kingdom

Provision details

Document information
Document
PayPal User Agreement
Entity
PayPal
Document last updated
March 24, 2026
Tracking information
First tracked
March 6, 2026
Last verified
April 9, 2026
Record ID
CA-P-002282
Document ID
CA-D-00044
Evidence Provenance
Source URL
Wayback Machine
SHA-256
787aedff80f89f2d9da4fd79756bbd226f8a5338c9e19c15b2a2fa0d01f59a90
Verified
✓ Snapshot stored   ✓ Change verified
How to Cite
ConductAtlas Policy Archive
Entity: PayPal | Document: PayPal User Agreement | Record: CA-P-002282
Captured: 2026-03-06 20:26:28 UTC | SHA-256: 787aedff80f89f2d…
URL: https://conductatlas.com/platform/paypal/paypal-user-agreement/credit-report-authorization-for-business-accounts/
Accessed: April 29, 2026
Classification
Severity
Medium
Categories

Other provisions in this document

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