Shipping Issues Hit PayPal

PayPal Inc. disclosed problems with mismatched shipping addresses shortly after saying it had fixed a problem with subscription payments.

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In both cases, the San Jose unit of eBay Inc. has used a blog it launched last month to update customers on its progress in correcting those problems.

PayPal said last week that some purchases made on eBay's auction Web site were being delivered to the wrong address.

Though only a small number of transactions were affected, "we understand and recognize that for these buyers and sellers, this is a very serious issue and are working to correct the problem," Mohan Kumaresh, a senior technical product manager at PayPal, wrote on the blog.

In an update Friday, PayPal told customers that it is still working on the address problem, and it provided a phone number people can use to discuss specific issues. A PayPal spokesman said it has found no link between the two problems.

PayPal confirmed Sept. 2 through its blog that some subscription payments had been delayed, though the problem had been resolved.

"PayPal will continue to offer subscription payments in the future," Osama Bedier, its head of merchant product development, wrote on the blog.


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