PayPal Misinformation Fines Musk Criticized Were Published by Mistake

PayPal Holdings Inc. said it has no intention of fining customers for spreading misinformation

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After attracting criticism for publishing a new user agreement outlining such a plan

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The issue gained traction over the weekend after the company published policy updates prohibiting users from using the PayPal service.

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Promoting misinformation, in an Acceptable Use Policy due to kick in on Nov. 3. A penalty of $2,500 could be imposed for each violation, according to the update.

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The notice included “incorrect information,” a spokesperson for PayPal said in a statement to Bloomberg News.

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“PayPal is not fining people for misinformation and this language was never intended to be inserted in our policy.”

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Shares of the company tumbled as much as 5.3% to $85.43, the biggest intraday decline since July 26. They dropped 4.7% to $85.90 at 9:48 a.m. in New York.

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Tesla Chief Executive Officer Elon Musk, who co-founded the platform, said he agreed with Marcus in a tweet.

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Right-wing politicians in the US have long accused major tech firms of censoring conservative voices, with social media giants such as Twitter Inc. and Meta Platforms Inc.

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