eBay is requiring sellers listing in certain product categories on its UK site accept PayPal as a payment option, and as the sole payment method in another category. According to the announcement, the policy is "part of our ongoing efforts to reduce fraud and protect buyers and sellers in the eBay community."
Sellers must offer PayPal as a payment option on listings in the Video Games and Health & Beauty categories. Sellers must offer PayPal as the exclusive payment method in the Video Games: Consoles category. Currently the restriction is limited to those three categories and applies in the UK, not on the US eBay.com website.
As eBay's PayPal subsidiary faces increasing competition from Google, which launched Google Checkout last year, and from Amazon.com, which opened its Amazon Payments service to non-Amazon sites earlier this month, eBay has increasingly placed restrictions on which payment methods its sellers can use on eBay. The Accepted Payments policy has yet to address the Amazon Payments service, and eBay and PayPal have not responded to AuctionBytes' inquiries about whether sellers are allowed to offer the payment method in their listings.
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