Policy Updates

Notice of Amendment(s) to the United States PayPal Agreement(s)

This Page

This page details and/or previews updates to PayPal users of changes to the United States PayPal User Agreement or other online agreements, policies, or statements that require notice. You can also review Past Policy Updates notices. Note that additional changes could be made to previewed agreements on or before the effective dates listed, provided the applicable notice requirements are met.

Upcoming Changes

We’re making changes to certain agreements (listed below) that govern your relationship with PayPal. These changes will take place automatically on the corresponding effective date(s) shown below.

Actions Needed

Please carefully review the notices below and familiarize yourself with the upcoming changes. By continuing to use our services after the changes take effect, you agree to be bound by those changes. Otherwise, no further action is needed from you to accept such changes. However, if you would prefer to decline them, then you will need to close your PayPal account prior to the applicable effective date, as described in the user agreement.

Notices

Issued: December 3, 2024

Amendments to the PayPal User Agreement
Effective January 13, 2025:

• The fees PayPal business accounts pay for receiving transactions are being updated for certain Payment Types, as follows:
  • PayPal Pay Later options. PayPal business accounts, when acting as sellers, will be charged a standard domestic rate of 4.99% plus a fixed fee per transaction when a buyer uses a PayPal Pay Later option to fund their purchase, including when the purchase occurs through PayPal’s Invoicing service.
    • If desired, PayPal business accounts can opt out of PayPal Pay Later option availability by logging in to their account with PayPal and going to the Pay Later section of their Account Settings. If a PayPal business account holder chooses to opt out in this manner, PayPal Pay Later options will not be available to that account holder’s buyers at PayPal Checkout.
    • For more information about PayPal Pay Later options generally, visit:  https://www.paypal.com/us/business/accept-payments/checkout/installments

  • Alternative Payment Method(s). The standard domestic rate for Alternative Payment Method (APM) transactions will be 2.89% plus an updated fixed fee per transaction. At this time, there is no change to fees for APM transactions when the purchase occurs through PayPal’s Invoicing service or to fees for APM transactions through Pay Links and Buttons.

  • Advanced Credit and Debit Card Payments. The standard domestic rate for Advanced Credit and Debit Card Payment transactions will be 2.89% plus an updated fixed fee per transaction. The domestic charity rate for Advanced Credit and Debit Card Payment transactions will be 2.19% plus an updated fixed fee per transaction. At this time, there is no change to fees for Advanced Credit and Debit Card Payment transactions on the Interchange Plus Plus fee structure.

  • Virtual Terminal. The standard domestic rate for Virtual Terminal transactions will be 3.39% plus an updated fixed fee per transaction. The domestic charity rate for Virtual Terminal transactions will be 2.69% plus an updated fixed fee per transaction.

• The updated pricing listed above will result in fee increases for some transactions. You can preview the Merchant Fees Page below that will be effective following such changes. The preview also includes the updated fixed fees for the above listed Payment Types in all available currencies. At this time, there is no change to the additional percentage-based fee for international transactions.

Review the updated Merchant Fees

Issued: December 12, 2024

Amendments to the Commercial Entity Agreement
Effective January 13, 2025:

• The Commercial Entity Agreement is being amended to reflect the member banks that may process card payment transactions, consistent with the requirements of the card network rules.

Review the updated Commercial Entity Agreement