After claiming it was a mistake, PayPal (NASDAQ:PYPL) has re-animated its $2500 penalty for each violation of its Acceptable Use Policy. Once again, Twitter users slammed the overreach of the financial services firm.
PayPal added the $2500 fine for misinformation back to their terms, after they said it was a mistake a couple weeks ago.
— Hodgetwins (@hodgetwins) October 27, 2022
Earlier this month, PayPal was lambasted for its authoritarian move and intolerance of free speech. Users across the aisle, including former executives, criticized PayPal’s update to its terms. While the wording of the policy has changed, it still gives PayPal the right to penalize users that violate the terms by “the promotion of hate, violence, racial or other forms of intolerance that is discriminatory.” While certain aspects can be easily defined, others – such as intolerance – can be subjective depending upon individual beliefs.
The news that PayPal claims it is the arbiter of intolerance has once again raised the specter of financial firms de-platforming consumers based on political opinions.
Following the initial revelation of PayPal’s change in its Acceptable Use Policy, House Republicans sent a letter to PayPal CEO Dan Schulman for more information on its decision. At that time, the Republicans stated:
“As a leading financial technology company, it is concerning that a user agreement that contemplates the restriction of free speech was uploaded and disseminated to PayPal users – even if in error. We understand your company is currently investigating this matter. Upon the conclusion of your investigation, we request that you provide a briefing for the Committees as soon as practicable.”
The letter requested a response from PayPal by today (October 27, 2022).
https://twitter.com/WallStreetSilv/status/1585643176185823236?s=20&t=K4nmXuTtknIbHXfX5032uQ
Update: PayPal has quietly removed the $2500 penalty for transgressions of their Acceptable Use Policy. The most recent update indicates October 29, 2022. HT to LadyKelly in the comments.