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Does anyone have a good background on why PayPal is not subject to the same regulations as banks? Is it because they don't lend?
by coob 13y ago
Does anyone have a good background on why PayPal is not subject to the same regulations as banks? Is it because they don't lend?
- lambada 13y agoIn the EU they are regulated as a (Luxembourg) bank. I assume you're talking about in the US?
- nolok 13y agoPaypal is a bank in the EU
- petercooper 13y agoIn the US, it's supposedly because they don't accept and hold deposits. That is, you can't give PayPal $1m of your money to hold, you can only use it to make business transactions. The FDIC also justified this in a hearing on the matter by saying: "PayPal does not physically handle or hold funds placed into the PayPal service"