In a move claimed to boost online security for customers, auction website eBay has announced a controversial ban on all methods of payment other than PayPal.
It's a move by one of the world's largest online companies to upgrade consumer safety, but some Australian shoppers fell more than a little short-changed by the new policy.
Some users who have been with the site for years are annoyed that they are being forced to use only one payment method, but eBay Trust and Safety Director Alastair MacGibbon asserted it should be viewed a step in the right direction for online shoppers.
"The changes announced are part of eBay's ongoing commitment to protect consumers," Mr MacGibbon said.
"Education and improvements to back-end security systems have made significant headway, however eBay is no longer prepared to endorse payment methods that result in a higher chance of a dispute."
"In Australia, eBay data shows that in 2007 people who paid with PayPal were much less likely to enter a dispute. In fact, those using PayPal were almost four times less likely to have a dispute over their purchase than people who paid with bank deposit."
PayPal Buyer Protection will also jump from $3,000 to $20,000 for purchases on eBay.
Transactions can only be paid using PayPal - or cash if the customer is picking up the item in person
The new move is effective from May 21.
The only exceptions to the requirement to offer PayPal will be for listings in the categories of cars, motorcycles, aircraft, boats, caravans, trailers, trucks, services, real estate and businesses for sale.
For more information on the new move, please visit www.ebay.com.au for more information.
