PayPal has agreed to waive $30 million in fees to settle a U.S. Justice Department investigation into its minority-business funding program, according to a settlement announced on May 13, 2026. The probe focused on whether the program discriminated against non-minority-owned businesses.
The settlement requires PayPal to waive fees for certain merchants and to implement changes to its lending practices. The company did not admit wrongdoing as part of the agreement.
The Justice Department had been investigating whether PayPal's program, which offered reduced fees and other benefits to businesses owned by women, minorities, and other underrepresented groups, violated federal anti-discrimination laws. The settlement resolves the probe without further legal action.
