Editing PayPal Honey

Honey (now PayPal Honey) is a browser extension and platform owned by PayPal Holdings, Inc. since its acquisition for $4 billion in 2020.<ref>Perez, Sarah (November 20, 2019). [https://techcrunch.com/2019/11/20/paypal-to-acquire-shopping-and-rewards-platform-honey-for-4-billion/ "PayPal to acquire shopping and rewards platform Honey for $4B"]. ''TechCrunch''. Retrieved January 8, 2025.</ref> The service, launched in 2012, is primarily known for its browser extension that automatically searches for and applies discount codes during online shopping checkout processes. The company is headquartered in Los Angeles, California.<ref>Metcalf, Tom; Verhage, Julie (January 28, 2020). [https://web.archive.org/web/20201209044201/https://www.bloombergquint.com/onweb/coupon-duo-now-worth-1-5-billion-after-honey-s-sale-to-paypal "Coupon Duo Now Worth $1.5 Billion After Honey's Sale to PayPal"]. ''BloombergQuint''. Archived from the original on December 9, 2020. Retrieved January 15, 2025.</ref>

== Consumer Protection Profile ==
==== CAT Rating: 1/3 ====

Honey's approach to consumer protection has faced significant scrutiny, particularly regarding its data collection practices and business model. The company's operations have raised concerns in three main areas:
# Treatment of consumer data and privacy
# Transparency about coupon-finding methodology
# Impact on affiliate marketing ecosystem

== Consumer Protection Incidents ==

=== Coupon Database Controversy (Dec. 2024) ===
Investigations revealed that contrary to marketing claims of "searching the internet" for coupons, Honey primarily searches its own internal database. This has led to questions about the accuracy of its marketing claims and the comprehensiveness of its coupon-finding service.<ref>Fernandez, Ray (December 24, 2024). [https://www.techopedia.com/paypal-honey-accused-of-fraud "Is PayPal's Honey Misleading Users? We Investigate"]. ''Techopedia''. Retrieved January 15, 2025.</ref><ref>MegaLag (December 21, 2024). [https://www.youtube.com/watch?v=vc4yL3YTwWk "Exposing the Honey Influencer Scam"]. ''YouTube''. Retrieved January 15, 2025.</ref>

=== Affiliate Link Manipulation Lawsuit (Jan. 2024) ===
A class action lawsuit was filed in January 2024 alleging that Honey manipulated affiliate marketing links without proper disclosure or compensation. The suit claims Honey replaced legitimate affiliate links with their own, even when no coupons were found for users. This practice allegedly impacted both content creators and consumers who intended to support specific affiliates.<ref>[https://www.courtlistener.com/docket/69503243/9/wendover-productions-llc-v-paypal-inc/ "Wendover Productions, LLC v. PayPal Inc"]. ''courtlistener.com''. Free Law Project. Retrieved January 15, 2025.</ref>

== Consumer Rights Policies ==

=== Data Collection and Privacy ===
Honey collects and shares the following data:<ref>[https://www.joinhoney.com/privacy "PayPal Honey Privacy Statement"]. October 28, 2024. ''PayPal Honey''. Retrieved January 15, 2025.</ref>
* Browsing data related to shopping activities
* User interactions with retail websites

=== Terms of Service ===
The mandatory terms of service include:<ref>[https://www.joinhoney.com/terms "Terms of Use"]. January 16, 2024. ''PayPal Honey''. Retrieved January 15, 2025.</ref>
* Users must submit to data collection practices
* The service can be terminated at PayPal's discretion
* Changes to terms can be made without direct notification

== References ==
<references />

== See Also ==
[[PayPal Holdings, Inc.]]

[[CapitalOne Affiliate Lawsuit]]

[[Affiliate Marketing]]