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US consumer bureau files complaint against PayPal over credit product

Tuesday, May 19, 2015 - 23:19

[WASHINGTON] The US Consumer Financial Protection Bureau on Tuesday said it filed a complaint in federal court accusing PayPal of illegally signing consumers up for an online credit product without their permission.

The CFPB said PayPal, eBay Inc's electronic payments division, also engaged in deceptive advertising for PayPal Credit and mishandled billing problems. Under the proposed order, which needs a judge's approval, PayPal would refund US$15 million to consumers and pay a US$10 million fine.

REUTERS