PayPal Says Venmo Under Investigation in US by Consumer Regulator
5 Feb, 2021•Regulation
Fintech giant PayPal said Friday its Venmo app is being investigated by a U.S. consumer watchdog.
The company has received a civil investigative demand (CID) from the Consumer Financial Protection Bureau over alleged “unauthorized fund transfers and collections processes” by Venmo, reports Reuters on Friday. A CID is a legal request for records and documents or other information related to an agency investigation. Venmo provides a mobile-based peer-to-peer payments platform with social features. PayPal said last June it would allow users to buy, hold and sell cryptocurrencies on Venmo later this year.