PayPal suffers data breach, sensitive user information compromised.

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According to Security Affairs, PayPal has suffered a serious data breach, affecting a small number of customers, due to a software error in its PayPal Working Capital loan application system. The vulnerability, which occurred between July 1 and December 13, 2025, resulted in the disclosure of sensitive user personal data and was later discovered and fixed.
 
The breach, which was caused by a coding error, resulted in the disclosure of customers' business contact information, including names, emails, contact numbers and addresses, as well as Social Security numbers and dates of birth.PayPal discovered the issue on December 12, 2025, and has since withdrawn the defective code, emphasizing that notification has not been delayed due to law enforcement investigations, and that it is stepping up its security checks to reset the passwords of the affected users.
 
A small number of users reported unauthorized transactions, which were refunded, and PayPal is also offering two years of free credit monitoring and identity restoration services through Equifax for those affected.

https://www.scworld.com/brief/paypal-data-breach-exposes-sensitive-user-information

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