5 Reasons Why PayPal is Safe (Explained)

PayPal is a name that has operated for approximately 20 years in the financial services industry. In these years, the company has been through lots of ups and downs. As a result, there are many controversies and criticisms that it has received, sometimes justified.

These controversies have forced users to switch to other platforms or stop using PayPal. However, none of these controversies was big enough to dethrone the company from its position.

Most of the controversies involving PayPal include freezing users’ accounts or charging them fees without any warning. Unfortunately, these actions have resulted in losses for many businesses and individuals, both on the platform and outside of it.

While most of these controversies are in the past, there are still chances of these actions repeating. Therefore, it makes the platform risky for its users.

However, most of the actions taken by the company are due to its anti-fraud and security policies that keep its users safe.


Most of its security features make the platform one of the safest and most reliable platforms out there. That is also the reason why the platform has accumulated more than 346 million users worldwide.

Five Reasons Why PayPal Is Safe

Among the many reasons why PayPal is safe, the top five include the following.

1) Fraud protection

Users of PayPal are one of the favorite choices for frauds online. These fraud attempts may come from outside the platform or within it. There are different types of scams that PayPal users are susceptible to and face regularly.

These include chargeback frauds or disputes. While most of these frauds generate from users’ dealings with other parties, PayPal still helps protect its users against fraud.

PayPal’s fraud protection features are the standard for the industry overall. The platform has the technology and expertise required to keep its users safe from any possible fraud attempts. The platform also supports its users to help them in times they suffer due to fraud.

2) Seller protection

Many online businesses trust PayPal with their receipts from customers through their websites or other platforms. PayPal helps these businesses simplify the process of receiving money from their buyers.

However, as with other aspects of the platform, there is a chance that sellers may suffer due to fraud. In these cases, PayPal provides them with protection against such activities.

PayPal’s seller protection helps protect businesses and sellers from fraudulent chargebacks, reversals, and claims. Similarly, if customers dispute a transaction, PayPal also gives sellers protection against them.

However, the platform may impose some limits and eligibility criteria for it. Sellers also need to provide proof of their delivery to PayPal.

3) Buyer protection

PayPal doesn’t only keep the sellers on the platform safe but also the buyers. For buyers, PayPal allows them to dispute transactions and get back the amount they paid from the seller.

With other alternatives, such as credit cards, buyers may still get some protection, but PayPal’s buyer protection is more instantaneous and can help buyers prevent any fraud attempts.

PayPal allows buyers to dispute transactions within 180 days, or six months, of the transaction date, which is more than just enough.

However, the platform does require buyers to have a good history of eligibility. PayPal also provides users with customer support in cases of incorrect orders or wrong purchases.

4) Credit card security

PayPal doesn’t only keep users’ online information safe. It can also help them keep their credit cards safe. Credit cards have been one of the most common forms of fraud.

Similarly, if they get on the wrong hand, credit cards can end up costing users a lot. While most credit card issuers provide users with some security, it still does not stop the credit card from being misused.

PayPal also helps keep credit cards safe by keeping the transactions away from them. Using PayPal, users don’t need to disclose their credit card information everywhere, for example, on online platforms.

It can help keep the details safe. Furthermore, PayPal also keeps credit card information linked with accounts safe from unauthorized access.

5) PCI compliance

For businesses that deal with payment cards, PCI compliance is a requirement. PCI compliance refers to the Payment Card Industry Data Security Standards that provide users with a set of comprehensive requirements to handle payment cards.

These standards help ensure that customers’ credit card information is safe within the systems of a business.

PayPal also complies with these standards for users. Therefore, it not only helps keep the business safe but also helps protect its customers.

Besides its primary receipt and payment services, many of the platform’s other services are also already compliant. It can, therefore, not only help businesses save but also help save them costs and time.


PayPal is the world’s largest online financial services platform. The company has had its fair share of controversies and criticism in the past.

However, that does not mean it is not safe for users. Given above are the top five reasons why PayPal is safe, and users should consider using it.