EcommerceBytes-NewsFlash, Number 1359 - September 04, 2006     1 of 3

eBay Updates PayPal Policies

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eBay's online payment service PayPal updated some of its policies taking effect this month. PayPal will no longer be offering its Money Back Guarantee program as of September 14, 2006. Under the program, purchasers of the guarantee were allowed to resell merchandise to PayPal if they were unhappy with the item. The guarantee applied to "selected physical goods transactions for less than $1,000." (

PayPal is also changing its PayPal Buyer Protection, the PayPal Plus Credit Card and Buyer Credit Policy to remove the limit on the number of payouts PayPal awards to a buyer per year under the terms of the protection programs (effective September 14, 2006). The PayPal Buyer Protection program is designed to help buyers recover funds from eBay sellers who do not deliver the promised goods, or who deliver goods that are "significantly not as described" in the listing. (

PayPal is amending its Buyer Complaint Process for claims under eBay's Standard Purchase Protection Program for payments made in Euros. The maximum payment will now be 230 Euros, up from 200 Euros. The eBay processing cost remains 25 Euros. (

Finally, PayPal is amending its PayPal Plus Card Rewards program. Effective September 20, 2006, PayPal Plus cardholders will earn one reward point for every dollar spent on purchases. Reward points may be redeemed for PayPal Reward Vouchers, or for free shipping on PayPal purchases. Reward Coupons will no longer be sent automatically. Instead, cardholders will choose when to redeem their earned points.

For more information, log on to PayPal and click on "Policy Updates" in the left column.

About the author:

Ina Steiner is co-founder and Editor of EcommerceBytes and has been reporting on ecommerce since 1999. She's a widely cited authority on marketplace selling and is author of "Turn eBay Data Into Dollars" (McGraw-Hill 2006). Her blog was featured in the book, "Blogging Heroes" (Wiley 2008). Follow her on Twitter at @ecommercebytes and send news tips to

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