Version history

PayPal revised its dispute resolution terms to explicitly state that arbitration applies to 'most disputes' and added formal class action and jury trial waivers. The updated agreement expands the scope of disputes subject to arbitration to include claims arising before the agreement existed or after termination, introduces a mandatory 60-day informal resolution process before arbitration, and clarifies that intellectual property disputes are excluded from arbitration. The agreement also adds detailed requirements for Notice of Dispute submissions, including original handwritten signatures and identity verification procedures.

PayPal added new language to its User Agreement clarifying how business accounts can use the Send Money feature to send payments for goods or services. The updated terms specify that different fees apply depending on whether the recipient has a PayPal account: if the recipient has a PayPal account, the recipient pays commercial transaction fees; if the recipient does not have a PayPal account, the payment is processed as a Bill Pay for Business Accounts transaction and the sender pays applicable Bill Pay fees. This change establishes explicit fee structures for a feature that business accounts may already have been using.

PayPal expanded its terms to explicitly describe two new cash-deposit features for business accounts: Add Cash at Store (allowing deposits at participating U.S. retail locations) and Cash a Check (enabling check deposits via the PayPal app). Both features carry transactional, daily, and monthly limits, and fees apply. The updated terms also simplified language directing consumer inquiries about credit products to PayPal Customer Support, removing a prior list of specific credit products.

PayPal revised its automatic payment authorization language to clarify how it charges payment methods when insufficient funds are available. Previously, the terms stated PayPal would charge a backup payment method if the preferred method could not be charged. The updated terms now specify that PayPal will first charge the preferred method for whatever amount is available, then charge the backup method for the remaining balance. Additionally, PayPal added explicit language stating it may perform currency conversions from other PayPal balances to cover payment shortfalls, and removed specific reference to its transaction exchange rate and currency conversion spread being applied at the time of refund or reversal.