German antitrust authority says PayPal practices may restrict competition

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By ReutersLast Updated: Nov 11, 2026, 03:40:00 PM IST

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Synopsis

Germany's Federal Cartel Office is scrutinizing PayPal's strategy that bars merchants from imposing extra charges for specific payment methods. This practice is perceived as a potential barrier to competition among payment services, raising concerns about compliance with existing competition laws. While PayPal has not yet provided a media response, this investigation indicates a growing regulatory focus on digital payment systems within Germany.

Reuters

Germany's antitrust authority, the Federal Cartel Office, said on Wednesday that PayPal's prohibition against online merchants charging customers extra fees to use the payment method may restrict competition and violate the law.

PayPal didn't immediately respond to a request for comment.

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"According to the Bundeskartellamt's preliminary assessment, this prohibition could restrict competition between various payment services and violate competition law," the cartel office said, referring to itself by its German name.

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