Sinister PayPal stuff

Fear · Post by **Fear** » May 15th, 2007, 12:58

Paypal email wrote:Currently, PayPal (Europe) Ltd. is the service provider for PayPal in the EU. PayPal (Europe) Ltd. is a UK company regulated and authorised by the Financial Services Authority (FSA) in the UK as an electronic money institution. This authorisation enables PayPal to provide its service throughout the EU.

>From 2 July 2007, a new PayPal company, PayPal (Europe) S.à r.l. & Cie, S.C.A. (PayPal Luxembourg), will become the service provider for PayPal in the EU. This is a Luxembourg entity regulated as a bank by the Commission de Surveillance du Secteur Financier (CSSF), the Luxembourg equivalent of the FSA. PayPal Luxembourg will provide the PayPal service throughout the EU.

Looks like they are moving away from the UKs high level of consumer protection, and moving to Luxembourg which I can only assume will let PayPal get away with a lot more thieving than they are doing now.

Not impressed, will likely close PayPal if I am not protected by UK banking standards. I don't keep money in them anyway, but still...

Lateralus · Post by **Lateralus** » May 15th, 2007, 13:12

I don't know enough* about the different levels of customer protection accorded by the FSA and the CSSF to appreciate the impact it may have on me, but as I only use paypal on a very infrequent basis anyway and never keep money in it, I can't say I'm too concerned.

*anything

Post by **tandino** » May 15th, 2007, 13:18

Lateralus wrote:I don't know enough* about the different levels of customer protection accorded by the FSA and the CSSF to appreciate the impact it may have on me, but as I only use paypal on a very infrequent basis anyway and never keep money in it, I can't say I'm too concerned.

*anything

I don't think I've ever had any money 'resting' in my Paypal account as such, it's just been a mediator between me and the person I'm buying from. No idea how/if this will affect me. Doesn't Eoin know a bit about them there new fangled law thingys?

eion · Post by **eion** » May 15th, 2007, 13:45

tandino wrote:

I don't think I've ever had any money 'resting' in my Paypal account as such, it's just been a mediator between me and the person I'm buying from. No idea how/if this will affect me. Doesn't Eoin know a bit about them there new fangled law thingys?

First of all: my name is "Ian", not "Owen".

I'd like to preface this all by saying that I am not a lawyer, this is not legal advice, etc., etc.
(Also I'm not familiar with very much UK or European law unless it's IP-related, and I'm an IP guy rather than a tax/finance/banking law guy.)

Anyway, there are all kinds of reasons they might want to do this. I doubt that the Luxembourg consumer protection laws are that much weaker than the UK's - I think that stuff has mostly been harmonised by the EU (but I honestly don't know, I just have vague memories of my European Union Law class

). However, Luxembourg might have more friendly banking laws (in terms of recordkeeping, required deposits, who knows) or - more likely - company laws and corporate tax laws.

I don't trust Paypal either, and I refuse to use their services.

Post by **tandino** » May 15th, 2007, 13:55

eion wrote: First of all: my name is "Ian", not "Owen".

If you weren't such a stealthy cun<b></b>t I'd have been able to look at your name in the users online list thereby spelling it correctly...

Cheers for the input though, I remain firmly in my earlier position of ninja-like nonchalance but cat-like readiness. I may still press the big shut down button should the need arise.

northwesten · Post by **northwesten** » May 15th, 2007, 14:29

i droped my account with them! not secure and i never do online banking too! Even tho some banks try and get your to do online but i said no! Phone banking 4tw

Lateralus · Post by **Lateralus** » May 15th, 2007, 14:38

I actually do most of my <strike>w</strike>banking online now. It's a lot easier than ever going to the bank, and certainly quicker and easier than phone banking. I have to transfer money around between accounts several times a month, so being able to do it myself is much more convienient. As long as you're not stupid about it then it's perfectly safe. Basic rules to remember are that your bank will never ask you for your full details, such as passwords or codes - they only ever use certain letters/digits - and only provide even that when you're trying to log in, not in response to any emails or anything.

Post by **Joose** » May 15th, 2007, 16:56

Lateralus wrote:I actually do most of my <strike>w</strike>banking online now. It's a lot easier than ever going to the bank, and certainly quicker and easier than phone banking. I have to transfer money around between accounts several times a month, so being able to do it myself is much more convienient. As long as you're not stupid about it then it's perfectly safe. Basic rules to remember are that your bank will never ask you for your full details, such as passwords or codes - they only ever use certain letters/digits - and only provide even that when you're trying to log in, not in response to any emails or anything.

this.