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Complaints over New Provision in PayPal Terms

A change in PayPal’s terms of service is drawing ire from some consumers, according to the St. Louis Post-Dispatch.

The problem stems from a new provision in which PayPal gives itself the right to, in the words of the newspaper, “robocall or robo-text members at any phone number the firm can find, for just about any reason – from debt collecting to advertisements to opinion polling.”

The National Consumer Law Center is filing a petition with the Federal Communications Commission asking for a ruling “to clarify that withdrawal of consent for auto-dialed calls cannot be grounds for terminating a contract.”

The issue came to light when PayPal told a user in response to an inquiry on Facebook that there was no way to opt out of the provision.

The St. Louis Post-Dispatch also warns consumers should keep an eye on their cellphone bills, since the PayPal / eBay terms of agreement include the warning, “Standard telephone minute and text charges may apply if we contact you.”

Update: A PayPal spokesperson told EcommmerceBytes on June 4, 2015, “Our policy is to honor customers’ requests to decline to receive auto-dialed or prerecorded calls.”

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Ina Steiner
Ina Steiner
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 ina@ecommercebytes.com.