I was recently notified by a customer that Paypal was forcing customers to sign up for a Paypal account during guest checkout, despite the fact that my Business account settings are set to allow guest payments by credit card without requiring a paypal account. Seems like many people have been reporting this issue, as seen in this thread: /t5/About-Business/PayPal-forcing-customer-signup/m-p/1141361#U1141361 Interestingly, many posters there were told by Paypal that it's a bug they are trying to fix. But I just got off the phone with Paypal customer service, and the lady there told me that it's a recent policy change, that guest checkout will only be allowed with Payment Pro accounts! ($30/month). No warning from Paypal, no notifications, even their online documentation has not been updated whatsoever. I already send thousands of dollars every year to Paypal in payment fees; now I have to pay $30/month for the privilege. Great. It seems too outrageous to be true. Yet the woman I spoke with at Paypal customer service told me exactly this in no uncertain terms.
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