6 ms·

What about that bullshit regulation that credit processors have to pass? Doesn't that have a clause about timely response/mitigations of reported bugs/flaws?

orphz 13y ago
From what I heard, PayPal exists in the gray area between merchants and banks. Correct me if I'm wrong, but I don't believe that have to do... well, anything. They could shut down tomorrow and take all the money and it would be perfectly legal.
- jeffasinger 13y ago
  PayPal definitely has to be PCI compliant. Anyone who wants to store credit card numbers has to be. Section 6 of the PCI DSS deals with known vulnerabilities, I doubt they following it if that's true.
- brazzy 13y ago
  PayPal Europe is actually licensed as a Bank in Luxembourg.
  - herge 13y ago
    Being licensed as a Bank in Luxembourg sounds a lot like getting a degree from the University of Phoenix.
    - DanBC 13y ago
      It's a real bank. Luxembourg has cheap corporate tax rates, so all Paypal's Europe stuff goes through Luxembourg and thus they get cheaper taxes.
      - herge 13y ago
        Just because it is called a bank does not mean you'd would want to rely on it. If Paypal suddenly decided to pull up it's stakes and take all it's customers money, I would not imagine that Luxembourgois banking law would help a lot of customers.
        koyote 13y ago
        Do you have any sources confirming that the Luxembourgish banking laws would allow Paypal (and all the other countless international banks stationed there) to get away with this?
    - koyote 13y ago
      Because Phoenix is known for its important education sector just as Luxembourg is known for its important financial sector? I am very confused by your statement.
- mseebach 13y ago
  > They could shut down tomorrow and take all the money and it would be perfectly legal. There may be less protection than if they were banks, but it would hardly be legal. They might be able to steal the money and escape with them in a way a bank can't, but again, not legal.
- chris_wot 13y ago
  Not in Australia, because they are classed as a deposit taking institution and are thus governed by APRA.

orphz 13y ago

From what I heard, PayPal exists in the gray area between merchants and banks. Correct me if I'm wrong, but I don't believe that have to do... well, anything. They could shut down tomorrow and take all the money and it would be perfectly legal.

jeffasinger 13y ago
PayPal definitely has to be PCI compliant. Anyone who wants to store credit card numbers has to be. Section 6 of the PCI DSS deals with known vulnerabilities, I doubt they following it if that's true.
brazzy 13y ago
PayPal Europe is actually licensed as a Bank in Luxembourg.
- herge 13y ago
  Being licensed as a Bank in Luxembourg sounds a lot like getting a degree from the University of Phoenix.
  - DanBC 13y ago
    It's a real bank. Luxembourg has cheap corporate tax rates, so all Paypal's Europe stuff goes through Luxembourg and thus they get cheaper taxes.
    - herge 13y ago
      Just because it is called a bank does not mean you'd would want to rely on it. If Paypal suddenly decided to pull up it's stakes and take all it's customers money, I would not imagine that Luxembourgois banking law would help a lot of customers.
      - koyote 13y ago
        Do you have any sources confirming that the Luxembourgish banking laws would allow Paypal (and all the other countless international banks stationed there) to get away with this?
  - koyote 13y ago
    Because Phoenix is known for its important education sector just as Luxembourg is known for its important financial sector? I am very confused by your statement.
mseebach 13y ago
> They could shut down tomorrow and take all the money and it would be perfectly legal. There may be less protection than if they were banks, but it would hardly be legal. They might be able to steal the money and escape with them in a way a bank can't, but again, not legal.
chris_wot 13y ago
Not in Australia, because they are classed as a deposit taking institution and are thus governed by APRA.