eBay UK is requiring that all sellers on eBay.co.uk offer PayPal on their listings. Sellers will continue to be able to offer other payment methods that are allowed in its Accepted Payments policy, which bans Google Checkout and certain other rival services.

eBay told sellers, "Transactions made using PayPal result in significant reductions in fraud, and having every listing on the site offer a trackable, protected payment option will boost buyers' confidence so that they return to shop with you even more." However, listings in the Motors Vehicles category are exempt from the policy.

According to the announcement, PayPal is currently offered on about 95 percent of listings on eBay.co.uk.

eBay UK is also implementing a "Payment Hold" policy in which its online payment service PayPal imposes a 21-day hold on transactions in certain circumstances it identifies as high-risk (https://www.paypal.com/uk/cgi-bin/webscr?cmd=xpt/Marketing/securitycenter/sell/SaferPayments-outside Note - do not use this link to log in to PayPal.).

The 21-day hold policy was introduced in North America and has been extremely controversial with sellers, some of whom have accused the company of wanting to make more money on the float (http://www.auctionbytes.com/cab/abn/y08/m02/i08/s03).

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