PayPal Discontinues Mobile Check Capture As Of, Um, Yesterday

Justin uses Paypal’s mobile check deposit feature, because that’s a service that his credit union doesn’t offer. He wasn’t happy when he received an e-mail from the company yesterday saying that they would be discontinuing the service. Then he saw the end date: Sunday. They were yanking the service with no warning.

Here’s the e-mail that he received:


We’ve updated our services.

On June 15, 2014, the PayPal Mobile Check Capture service will no longer be available. But don’t worry, you’ll still have access to your transaction history of the checks you had captured through PayPal and can go back to review them at any time. We’re sorry if this is an inconvenience.

If you have any questions, feel free to visit our Help Center. We’re always here to help.

“Thanks PayPal for the advance notice,” Justin wrote to Consumerist. “And the inconvenience — my credit union doesn’t offer this…”

We can’t find any other mentions of this change online: if you’re a user of PayPal’s mobile app and received this notice too, let us know! We also contacted PayPal for a statement and will update this post as soon as we hear something back. PayPal got back to us, and a spokesperson sent the following statement:

As of June 12, 2014, we will no longer offer the Check Capture capability in the PayPal Here app; however, merchants can record checks within the PayPal Here app the same way you record cash. Additionally, as of June 15, 2014, you will no longer be able to deposit checks into your PayPal account using the Mobile Check Capture feature in the PayPal App. Checks have become a less common way to pay for things and many of our customers have either fully moved away from checks or have other ways to pay. In doing this, it allows us to focus on our primary mission, creating a truly digital economy – whether shopping online, paying a friend, or using a mobile device to pay.

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  1. mrkake says:

    I just polled the room at my office…. of the 6 people in the room at the moment, all 6 of them have written at least 3 checks in the last month. I don’t see checks going away any time soon. I would love it if I wasn’t forced to write checks by many out of date service providers. This makes a little sense from the point of view of what PayPal claims to be trying to offer. The problem is that this service is relatively new to PayPal… I remember when they introduced this service only a few years ago. It just seems annoying and amateur for them to get rid of it , why did they introduce it to begin with ?

  2. C0Y0TY says:

    I received the notice, maybe because I’d used the service once. I rarely get checks, so it will have little impact on me, but it was easier to submit to PayPal’s app than Bank of America’s, which couldn’t read the check.

  3. Snarkapus says:

    Tell me again how Paypal isn’t considered a bank?

    • MaraJade says:

      This move is actually probably not due to decline of check writing, but more that Paypal is trying to not be classified as a bank. Depositing checks via mobile app is something banks do, and so it would make sense if Paypal got a note from the Comptroller of the Currency saying that they were going to come in and audit the Remote Deposit Capture service that Paypal operates. Paypal probably didn’t want to deal with that (for a whole bunch of reasons), so they just discontinued the service instead. They get away with doing a lot of things that banks do without most of the regulatory oversight.