PayPal Walks Back Policy After Backlash, Claiming It Was An ‘Error’

Following significant backlash, PayPal is now walking back a recent policy update, claiming that the policy — which likely had to go through a rigorous review process before being posted — was somehow just an “error.”

On September 26, the financial services company announced new updates to its user policy. According to documents on PayPal’s website as of Saturday evening, the company planned to sanction users who push so-called “misinformation” or present risks to user “wellbeing” by seizing $2,500 from their accounts.

At “PayPal’s sole discretion,” account holders that had been found to promote “misinformation” or “discrimination of protected groups” would be subjected to “damages,” which include the removal of $2,500 that would be “debited directly from your PayPal account.”

Of course, the company did not provide any information as to what would constitute “misinformation” or “discrimination” — but PayPal’s alliances with far-left organizations such as the Southern Poverty Law Center (SPLC) and the Anti-Defamation League, which reportedly assist the company with decisions about censorship, prompted concerns about the policy being used in a politically biased manner against conservatives.

PayPal received significant backlash over the policy, with many people announcing that they had closed their accounts and did not plan to return to the platform.
After just a few days of heavy criticism, the company then tried to walk back the policy.

In a statement to TheBlaze, a PayPal spokesman asserted that the company had never intended to fine people.

The spokesman claimed that an “AUP notice recently went out in error that included incorrect information. PayPal is not fining people for misinformation and this language was never intended to be inserted in our policy.”

“Our teams are working to correct our policy pages,” he added. “We’re sorry for the confusion this has caused.”

Critics continued to blast PayPal for their actions, pointing out that the company is now claiming that their policy about “misinformation” was, in itself, misinformation.

Christina Pushaw, rapid response director for the campaign of Florida Gov. Ron DeSantis (R), suggested in a tweet that PayPal ought to pay a $2,500 fine for spreading “misinformation” about itself.

YouTuber Tim Pool made a similar comment, writing: “So PayPal admitted to an error that is costing businesses money? They gunna pay for the damages?”

Blaze TV host Matt Kibbe responded to the news by tweeting: “This was a trial balloon to see if Americans will tolerate a Chinese-style social credit system. Dystopian. Authoritarian. Un-American. I won’t be using @PayPal for anything ever again.”

Another Twitter user called PayPal out for lying about the reason why they walked back the policy, writing: “Translation: ‘Our servers crashed trying to process all the account cancelations and [now] we’re doing damage control.”

Arizona GOP Senate candidate Blake Masters also spoke out about PayPal’s actions during an appearance on Fox News’ “Sunday Morning Futures.”