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PayPal OFAC Sanctions, PCI DSS & Vendor Risk Report

Before you share customer data with PayPal, your compliance team needs documented proof they can be trusted. ThirdProof investigated PayPal across 27 intelligence sources — here's what we found.

Risk Tier
Tier 3 — Moderate Risk
SOC 2
— Not Found
FedRAMP
— Not Authorized
Last Assessed
Apr 17, 2026
🟢IP Reputation: Abuse score: 0%, 0 reports🟡SSL/TLS: TLSv1.3🟢Domain Age: 26.8 years🟢Infrastructure: 2 open ports, 0 CVEs
SOC 2 Status
PayPal has not had a SOC 2 claim detected on their trust page.
Sanctions Screening
PayPal returned no matches in OFAC SDN, EU Consolidated, and UN sanctions screening.
Risk Tier
ThirdProof assigned PayPal a Moderate Risk tier with 100% confidence across 27 intelligence sources.

27 sources checked. Every investigation delivers two audit-ready artifacts: a risk report and an auto-filled security questionnaire — built from independent evidence, not vendor self-attestation.

Get PayPal's Full Report Free →
No credit card|Risk report + auto-filled questionnaire|SOC 2 CC9.2 ready

Certification & Compliance Status

Need a complete vendor security questionnaire?

Run a full ThirdProof investigation to get 133 security questions auto-filled with source evidence — ready for your next audit or vendor onboarding review.

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◇27 data sources queried per assessment
◷Reports generated in an average of 7 minutes
◈SHA-256 verified for audit integrity
✓Deterministic risk scoring — no AI guesswork
Risk Tier
Tier 3 — Moderate Risk
Assessment
Conditional
Confidence
100%

Assessment Preview — 23 Sources Queried

Sanctions ScreeningClear — 5 matches checked, none confirmed
SSL/TLS GradeTLSv1.3
HTTP SecurityA+ (105/100)
Domain ReputationClean (no malware associations)
Infrastructure2 open ports, 0 CVEs
Malware & PhishingClean
IP ReputationAbuse score: 0%, 0 reports
Domain Age26.8 years

Run your own investigation to see the full evidence chain, compliance assessment, and recommended actions.

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Executive Summary Preview

PayPal (paypal.com) is a globally recognized payment processing platform assessed at Risk Tier 3 (Moderate Risk), reflecting a combination of strong foundational security controls and a series of confirmed security incidents and active legal proceedings that require careful attention from procurement and risk teams.

This is an excerpt. Run your own investigation to see the full assessment. Get PayPal's Full Report Free →

Key Findings for PayPal

SeverityFindingSource
criticalActive regulatory enforcement actionAdverse Media Scan
infoTLS certificate renewal approachingDomain Analysis
infoClean domain reputationThreat Intelligence
lowThreat intelligence pulses detectedThreat Intelligence (OTX)

4 total findings. Get PayPal's Full Report Free →

Recommended Actions

  1. Request PayPal's current SOC 2 Type II report and bridge letter directly from your PayPal account manager or compliance contact — check https://www.paypal.com/us/compliancereports/faqs first, as PayPal's compliance page may have a request mechanism. Ask for a report dated within the last 12 months and confirm it covers the specific PayPal services in scope for your integration.
  2. Request a written statement from PayPal's legal or compliance team on the status of the three active 2026 class action lawsuits and any ongoing obligations from the January 2025 NYDFS $2M cybersecurity fine — specifically, whether remediation commitments from the NYDFS consent order are complete and what controls were implemented post-incident.
  3. Review PayPal's Data Processing Addendum (https://www.paypal.com/us/legalhub/paypal/dpa-business-management) and ensure your organization has executed a current version. Confirm contractual provisions for breach notification timelines, as PayPal's DPA commits to 'written notice without undue delay' — negotiate a specific timeframe (e.g., 72 hours) if your regulatory obligations require it.
Get PayPal's Full Report Free →
183+
Vendors assessed
98%
Average confidence
<2 min
Time to report

Intelligence Sources Queried for PayPal

✓Sanctions & Watchlists
✓Business Registration
✓Adverse Media Scan
✓Company Intelligence
✓Domain Analysis
✓Infrastructure Exposure
✓Domain Registration
✓Threat Intelligence
✓Tech Community Sentiment
✓HTTP Security Scan
✓SSL/TLS Analysis
✓Certificate Transparency
✓Web Archive History
✓Threat Intel (OTX)
✓IP Reputation
✓Malware & Phishing Check
✓Website Security Scan
✓Trust & Compliance Scan
✓Subprocessor Discovery
✓FDIC Registry Check
✓SEC Filing Search
✓Historical Media Search
✓Certification Registry

ThirdProof uses a deterministic rules engine to assign risk tiers. AI writes the narrative — rules drive the decision.

What a ThirdProof assessment covers↓

Sanctions Screening

Is PayPal on any OFAC, EU, or UN sanctions list? Are any officers or affiliates flagged?

Cyber Risk Assessment

What is PayPal's security posture? Threat intelligence scanning, known vulnerabilities, and security header analysis.

Business Registration

Is PayPal a legitimately registered business entity? Corporate status, jurisdiction, and officer verification.

Adverse Media Analysis

Has PayPal appeared in negative news coverage? Data breaches, lawsuits, regulatory actions, and complaints.

Domain & Infrastructure

Is PayPal's website secure? TLS configuration, DNS hygiene, security headers, and domain age analysis.

Company Intelligence

What are PayPal's firmographics? Employee count, industry classification, technology stack, and corporate structure.

Trust & Compliance Verification

Does PayPal claim SOC 2, ISO 27001, HITRUST, or FedRAMP? ThirdProof scans trust pages for certification claims and cross-references the FedRAMP public registry for independent verification.

Supply Chain & Subprocessor Discovery

Who does PayPal depend on? ThirdProof discovers subprocessors from vendor-published pages and runs sanctions screening and safe browsing checks against each one.

Regulatory & Financial Filings

Has PayPal appeared in SEC enforcement filings? Is it associated with any FDIC bank failures? ThirdProof searches regulatory databases with entity verification to confirm attribution.

Full methodology, rule engine, and AI disclosure: /methodology

Why Sanctions & AML Screening Matters for PayPal

PayPal processes payments across 200+ markets and holds money transmitter licenses in all 50 US states alongside regulatory authorizations in the EU, UK, and APAC. As a global payments platform handling cross-border fund transfers, PayPal presents elevated sanctions screening complexity. Organizations using PayPal for business payments must assess exposure to OFAC (US), EU consolidated sanctions, and international AML regulatory frameworks. PayPal's historical OFAC enforcement actions make sanctions compliance documentation particularly important for vendor risk assessments.

PayPal Security & Compliance Posture

ThirdProof investigated PayPal across 27 intelligence sources and assigned a Moderate Risk (Tier 3) rating with 90% confidence. PayPal maintains PCI DSS Level 1 certification and claims SOC 2 Type II, SOC 1, and ISO 27001 certifications. Domain reputation is clean across security engines with strong SSL/TLS configuration. PayPal's public company status (NASDAQ: PYPL) provides additional transparency through SEC filings and quarterly reporting on compliance program investments.

Key Compliance Considerations for PayPal

Organizations evaluating PayPal should consider: (1) PCI DSS Requirement 12.8 obligations for documenting PayPal as a service provider, (2) OFAC and sanctions compliance documentation given PayPal's historical enforcement actions, (3) AML/KYC regulatory requirements across PayPal's operating jurisdictions, and (4) subprocessor chain transparency for data flows through PayPal's global infrastructure. ThirdProof's assessment covers all of these dimensions in a single automated assessment.

Evaluate PayPal for Your Vendor Program

Your first 5 PayPal assessments are free — no credit card, no vendor participation required. ThirdProof queries 27 intelligence sources autonomously: OFAC SDN screening, PCI DSS verification, business registration, adverse media analysis, cyber risk scoring, and more. Results are delivered in an average of 7 minutes in a format ready for SOC 2 CC9.2, PCI DSS 12.8, and AML compliance evidence packages.

Seeing this in an audit? ThirdProof lets you investigate PayPal and every other vendor in your stack — average report time: 7 minutes. Get PayPal's Full Report Free →

Frequently asked about PayPal

Does PayPal have SOC 2 Type II?+
No SOC 2 found. PayPal rated Moderate Risk — regulatory enforcement flagged. See all 4 findings →
Is PayPal on the OFAC sanctions list?+
PayPal returned no matches in ThirdProof's OFAC SDN, EU Consolidated, and UN sanctions screening as of April 2026.
What is PayPal's vendor risk tier?+
ThirdProof assigned PayPal a risk tier of Moderate Risk with 100% confidence based on assessment across 27 intelligence sources as of April 2026.
Is PayPal OFAC sanctioned?+
ThirdProof's assessment screened PayPal against the OFAC SDN list, sectoral sanctions programs, and the OpenSanctions consolidated database. PayPal is not sanctioned — no confirmed matches were found. However, PayPal has historically received OFAC-related enforcement actions for processing transactions involving sanctioned parties. The current sanctions screening is clear, but organizations should review PayPal's remediation measures in the full ThirdProof report.
Does PayPal have SOC 2 certification?+
PayPal claims SOC 2 Type II certification. As a publicly traded company subject to SEC reporting requirements, PayPal undergoes regular independent audits. However, SOC 2 reports are confidential — organizations should request PayPal's current SOC 2 Type II report directly to verify audit scope, trust service criteria covered, and any exceptions or qualified opinions relevant to your use case.
Is PayPal PCI DSS compliant?+
PayPal maintains PCI DSS Level 1 certification, validated by an independent Qualified Security Assessor (QSA). Level 1 is the most stringent PCI DSS tier, required for entities processing over 6 million card transactions annually. For organizations using PayPal as a payment processor, PCI DSS Requirement 12.8 requires documenting PayPal's responsibilities in a formal service provider agreement. ThirdProof's assessment verifies PCI DSS compliance status as part of the standard assessment.
Is PayPal safe for business payments?+
ThirdProof investigated PayPal across 27 intelligence sources and assigned a Moderate Risk (Tier 3) rating with 90% confidence. Sanctions screening is clear, domain reputation is clean across security engines, and PayPal holds PCI DSS Level 1 and SOC 2 certifications. The Moderate Risk rating reflects historical regulatory enforcement actions and subprocessor chain complexity — run a free assessment to see the full risk breakdown.
Can I get an auto-filled security questionnaire for PayPal?+
Yes. Every ThirdProof investigation of PayPal produces two deliverables: an audit-ready risk report and a 133-question security questionnaire pre-filled with evidence from 27 independent sources. The questionnaire is mapped to SIG, SOC 2, HIPAA, PCI DSS and 9 other frameworks — answered without sending PayPal a single email or waiting for a vendor response.
Is PayPal safe to use as a vendor?+
PayPal is a payments vendor that handles payment card and transaction data. Safety depends on their current security posture, certification status, and how they handle your specific data. ThirdProof automates this evaluation across 27 intelligence sources — sanctions databases (OFAC, EU, UN), business registration verification, adverse media scanning, and cyber risk assessment — producing a deterministic risk tier with confidence score plus an auto-filled security questionnaire. Run a free investigation to see PayPal's full risk profile.
Does PayPal have SOC 2 certification?+
No SOC 2 found. PayPal rated Moderate Risk — regulatory enforcement flagged. See all 4 findings →
Is PayPal FedRAMP authorized?+
FedRAMP authorization is relevant for government contractors evaluating payments platforms. Based on ThirdProof's assessment, PayPal is not currently listed on the FedRAMP Marketplace. Organizations with federal compliance requirements should verify this directly and consider alternative vendors with FedRAMP authorization where required.
Has PayPal had any data breaches?+
Data breach history is an important signal for any vendor, particularly payments platforms like PayPal that handle payment card and transaction data. ThirdProof's adverse media analysis searches multiple news APIs and public records for data breaches, security incidents, lawsuits, regulatory enforcement actions, and financial distress signals. Each finding is linked to its original source with severity classification.
Is PayPal on any sanctions lists?+
Sanctions screening is particularly critical for payments vendors. ThirdProof screens PayPal against OFAC SDN, consolidated international sanctions lists, and PEP databases. The screening uses entity name verification to reduce false positives. If PayPal or any associated officers appear on a sanctions list, this triggers automatic escalation to the highest risk tier.
How do I assess PayPal for vendor risk?+
Assessing PayPal as a payments vendor involves verifying PCI-DSS and SOC 2 Type II compliance, reviewing their subprocessor chain, and checking sanctions exposure. ThirdProof automates this across 27 intelligence sources in an average of 7 minutes — no questionnaires or vendor participation required. Your first 5 investigations are free.
How long does a ThirdProof assessment take?+
A ThirdProof assessment completes in an average of 7 minutes. 27 intelligence sources are queried in parallel — sanctions databases, business registries, threat intelligence feeds, certificate transparency logs, and more. The result is a deterministic risk tier with confidence score and audit-ready PDF report.
Is ThirdProof free?+
ThirdProof offers 5 free vendor assessments with no credit card required. Each assessment includes the full report — risk tier, confidence score, individual findings, executive summary, and PDF export. Paid plans start at $399/month for teams that need ongoing vendor monitoring.
Can I use a ThirdProof report as SOC 2 audit evidence?+
Yes. ThirdProof reports are designed to satisfy SOC 2 CC9.2 (vendor risk management) requirements. Each report includes SHA-256 integrity verification, methodology disclosure, source attribution for every finding, and AI content labeling. Auditors can independently verify the report's authenticity and trace each finding to its original source.
How is ThirdProof different from a security questionnaire?+
Security questionnaires require vendor participation, take weeks, and produce self-reported answers. ThirdProof queries 27 independent intelligence sources — no vendor involvement needed. Risk tiers are assigned by a deterministic rules engine (not AI opinion), and every finding links to its original source. You get an audit-ready report in an average of 7 minutes instead of waiting weeks for a questionnaire response.

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PayPal is in your vendor stack. Can you prove you assessed them?

SOC 2 CC9.2, HIPAA, PCI-DSS, and CMMC all require documented vendor due diligence — not just knowing the answer, but having audit-ready evidence you verified it. Most compliance teams can't produce that documentation on demand.

ThirdProof investigates PayPal across 27 intelligence sources in an average of 7 minutes — sanctions screening, cyber posture, SOC 2 verification, FedRAMP status, and more. Every investigation produces two deliverables: an audit-ready risk report and an auto-filled security questionnaire your prospects and auditors expect to see.

Get PayPal's Full Report Free →See PricingBook a Demo
✓ 5 free investigations✓ Risk report + auto-filled questionnaire✓ No credit card required✓ Average report time: 7 minutes

Replaces $600–$900 in manual compliance consulting time per vendor assessed.