- European banks freeze Paypal transactions after breaking the fraud system sparkles the disturbances
- Traders are faced with delayed payments while billions of Direct PayPal flows are interrupted
- Suspicious overvoltage requires lenders to suspend PayPal activity through Germany and Europe
European banks have temporarily frozen Paypal transactions worth billions after the failure of the fraud system triggered a widespread suspension of direct flows and delayed payments for merchants and online customers.
A certain number of German lenders, including Bayerische Landesbank, Hessische Landesbank and Dz-Bank, would have interrupted direct flows related to the online payment platform after detecting a suspicious activity.
German newspaper Süddeutsche Zeitung said the total amount involved could exceed 10 billion euros.
“Temporary service interruption”
The question seems to have started at the end of last week when Paypal submitted a wave of direct speeds to the banks without filtering them thanks to his fraud checks.
This led to an unusual increase in transactions that seemed suspicious or potentially fraudulent.
The own banking systems have reported the irregularities and many decided to freeze all Paypal activities for a period.
A Paypal spokesperson confirmed the disruption, saying: “Paypal had a temporary service interruption which had an impact on certain transactions of our banking partners and possibly their customers. We quickly identified the cause and work closely with our banking partners to ensure that all the accounts have been updated. ”
On the Paypal help page, a bright red banner says currently: “During the weekend, we have experienced a temporary service interruption which led to the delay in transactions of a small number of accounts. The problem has since been solved. “
The German banking industry committee noted that irregularities were observed on Monday and that individual institutions responded accordingly.
For merchants, the frost meant that payments have not arrived on time, even if customers have always kept their money. The initiates said Sz that the reconciliation of affected transactions could take days.
The extent of the disturbance and the temporary frost of payments highlight the risks of failures in systems which deal with such a significant part of online trade.
The new problem occurs shortly after Paypal was linked to the appearance of millions of details on the stolen account on the Dark Web. This case was linked to past violations rather than a new attack, but it still raises questions about online account security.
