Consumer Rights Wiki - User contributions [en]

Slack

2026-01-14T02:13:24Z

Samiisw: /* Resolution of Hack Club's fee increase */ Added re-used citation.

{{CompanyCargo
|Description=Slack is an American cloud-based freemium communication platform targeted at businesses and other organizations.
|ReleaseYear=August 2013
|Industry=Communications, Collaborative software
|Logo=
|ParentCompany=Salesforce, Inc
|Type=Public
|Website=https://slack.com/
}}

Slack is a popular messaging and collaboration platform owned by [https://en.wikipedia.org/wiki/Slack_(software) Slack Technologies, LLC], formerly Tiny Speck, catering to organizations and businesses. Slack Technologies, LLC was acquired by the business-oriented CRM software company [https://en.wikipedia.org/wiki/Salesforce Salesforce, Inc] in 2021. Slack claims on its [https://slack.com/about About Us page] to have more than 200,000 paying customers, be used by more than three-quarters of Fortune 100 companies, and offer a messaging platform tailored to government agencies through an instance called [https://slack.com/solutions/govslack GovSlack].

===Unannounced fee increase on nonprofit Hack Club (''September 2025'')===
[https://hackclub.com/ Hack Club] is a 501(c)(3) nonprofit organization for teens interested in acquiring or developing functional coding skills.

On September 18, 2025, the UK-based web developer Mahad Kalam, who serves as the Infra Lead of Hack Club's Newspaper group, made a post<ref>{{Cite web |last=Kalam |first=Mahad |date=18 Sept 2025 |title=Slack is extorting us with a $195k/yr bill increase |url=https://skyfall.dev/posts/slack |url-status=live |archive-url=https://web.archive.org/web/20260102215028/https://skyfall.dev/posts/slack |archive-date=18 Sept 2025 |access-date=13 Jan 2026 |website=Skyfall.dev}}</ref> on his personal website Skyfall.dev stating that Slack had contacted Hack Club and increased the fee for the organization's Slack workspace from $5,000 per year to $200,000 per year. According to Kalam, Slack threatened to delete Hack Club's message history and deactivate their workspace if Hack Club didn't pay $50,000 within a week and agree to pay $200,000 a year for Slack services moving forward, as well as other fees. Kalam said that Hack Club had been given no prior notice of this fee increase and that the minimal notice had been "catastrophic" for the organization's ongoing projects.

Kalam shared<ref name=":0">{{Cite web |last=Kalam |first=Mahad |date=18 Sept 2025 |title=Slack is extorting us with a $195k/yr bill increase |url=https://news.ycombinator.com/item?id=45283887 |access-date=13 Jan 2026}}</ref> his post to the forum Hacker News, where the information was confirmed by Hack Club co-founder and COO Christina Asquith. Asquith stated that a few months before this incident, Slack had changed the terms of each user's agreement with no notice or updated contract, and that Hack Club had experienced difficulty in reaching Slack support to clarify or fix the resulting billing discrepancy. She confirmed that the $195,000 fee increase came with no more than a week's notice. The Hacker News post gained more than 3,000 points from forum users.

====Resolution of Hack Club's fee increase====
CEO Denise Dresser replied<ref name=":0" /> to the Hacker News forum post with an apology, stating the increase was a billing error. Kalam later updated his personal blog post to state that the issue had been resolved and Hack Club had accepted a more favorable deal offered by Slack as a remedy. He stated that Hack Club would also pursue other avenues of owning its own backup data from projects hosted on Slack as a safeguard.

==References==
<references />

Slack

2026-01-14T02:12:03Z

Samiisw: Created page with "{{CompanyCargo |Description=Slack is an American cloud-based freemium communication platform targeted at businesses and other organizations. |ReleaseYear=August 2013 |Industry=Communications, Collaborative software |Logo= |ParentCompany=Salesforce, Inc |Type=Public |Website=https://slack.com/ }} Slack is a popular messaging and collaboration platform owned by [https://en.wikipedia.org/wiki/Slack_(software) Slack Technologies, LLC], formerly Tiny Speck, catering to orga..."

{{CompanyCargo
|Description=Slack is an American cloud-based freemium communication platform targeted at businesses and other organizations.
|ReleaseYear=August 2013
|Industry=Communications, Collaborative software
|Logo=
|ParentCompany=Salesforce, Inc
|Type=Public
|Website=https://slack.com/
}}

Slack is a popular messaging and collaboration platform owned by [https://en.wikipedia.org/wiki/Slack_(software) Slack Technologies, LLC], formerly Tiny Speck, catering to organizations and businesses. Slack Technologies, LLC was acquired by the business-oriented CRM software company [https://en.wikipedia.org/wiki/Salesforce Salesforce, Inc] in 2021. Slack claims on its [https://slack.com/about About Us page] to have more than 200,000 paying customers, be used by more than three-quarters of Fortune 100 companies, and offer a messaging platform tailored to government agencies through an instance called [https://slack.com/solutions/govslack GovSlack].

===Unannounced fee increase on nonprofit Hack Club (''September 2025'')===
[https://hackclub.com/ Hack Club] is a 501(c)(3) nonprofit organization for teens interested in acquiring or developing functional coding skills.

On September 18, 2025, the UK-based web developer Mahad Kalam, who serves as the Infra Lead of Hack Club's Newspaper group, made a post<ref>{{Cite web |last=Kalam |first=Mahad |date=18 Sept 2025 |title=Slack is extorting us with a $195k/yr bill increase |url=https://skyfall.dev/posts/slack |url-status=live |archive-url=https://web.archive.org/web/20260102215028/https://skyfall.dev/posts/slack |archive-date=18 Sept 2025 |access-date=13 Jan 2026 |website=Skyfall.dev}}</ref> on his personal website Skyfall.dev stating that Slack had contacted Hack Club and increased the fee for the organization's Slack workspace from $5,000 per year to $200,000 per year. According to Kalam, Slack threatened to delete Hack Club's message history and deactivate their workspace if Hack Club didn't pay $50,000 within a week and agree to pay $200,000 a year for Slack services moving forward, as well as other fees. Kalam said that Hack Club had been given no prior notice of this fee increase and that the minimal notice had been "catastrophic" for the organization's ongoing projects.

Kalam shared<ref>{{Cite web |last=Kalam |first=Mahad |date=18 Sept 2025 |title=Slack is extorting us with a $195k/yr bill increase |url=https://news.ycombinator.com/item?id=45283887 |access-date=13 Jan 2026}}</ref> his post to the forum Hacker News, where the information was confirmed by Hack Club co-founder and COO Christina Asquith. Asquith stated that a few months before this incident, Slack had changed the terms of each user's agreement with no notice or updated contract, and that Hack Club had experienced difficulty in reaching Slack support to clarify or fix the resulting billing discrepancy. She confirmed that the $195,000 fee increase came with no more than a week's notice. The Hacker News post gained more than 3,000 points from forum users.

==== Resolution of Hack Club's fee increase ====
CEO Denise Dresser replied to the Hacker News forum post with an apology, stating the increase was a billing error. Kalam later updated his personal blog post to state that the issue had been resolved and Hack Club had accepted a more favorable deal offered by Slack as a remedy. He stated that Hack Club would also pursue other avenues of owning its own backup data from projects hosted on Slack as a safeguard.

==References==
<references />

PayPal Honey

2026-01-09T10:28:09Z

Samiisw: Brief description of updated Honey anti-consumer and monopolistic/predatory practices per December 2025 updates by MegaLag. Plan to elaborate on this with citations in coming days.

{{ProductCargo
|Company=PayPal
|ReleaseYear=2012
|InProduction=Yes
|ArticleType=Service
|Category=Browser extension
|Logo=PayPal_Honey.svg
|Website=https://www.joinhoney.com
|Description=In 2024, the browser extension Honey was reported to have misled consumers and discreetly stolen commissions from its affiliates.
}}
'''Honey''' (now '''PayPal Honey''') is a browser extension and platform owned by [[PayPal]] 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 15, 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 impact summary==

====Privacy====
*Collects extensive personal identifiers including name, email, IP address, and device IDs.<ref name="privacy-policy">[https://www.joinhoney.com/privacy "PayPal Honey Privacy Statement"]. ''PayPal Honey''. October 28, 2024. Retrieved January 15, 2025.</ref>
*Retains data for up to 10 years after account closure.<ref name="privacy-policy" />
*Shares data with PayPal companies and merchant partners.<ref name="privacy-policy" />
*Tracks detailed shopping behavior, including purchases, returns, and browsing patterns.<ref name="privacy-policy" />
*Creates inference profiles based on shopping patterns and preferences.<ref name="privacy-policy" />

====Freedom====
*Consumer choice restricted by intentionally hidden discounts and deals.<ref name="megalag-video" /><ref name="techopedia-article" />
*Mandatory acceptance of arbitration clause with class action waiver.<ref name="terms-of-use">[https://www.joinhoney.com/terms "Terms of Use"]. ''PayPal Honey''. January 16, 2024. Retrieved February 5, 2025.</ref>
*No user control over partner-privileged discount system.<ref name="megalag-video" /><ref name="techopedia-article" />
*Service can be terminated at PayPal's discretion without notice.<ref name="terms-of-use" />
*Users forced to accept terms modifications without direct notification.<ref name="terms-of-use" />
*Transparency
**Undisclosed manipulation of affiliate marketing links.<ref name="megalag-video">MegaLag (December 21, 2024). [https://www.youtube.com/watch?v=vc4yL3YTwWk "Exposing the Honey Influencer Scam"]. ''YouTube''. Retrieved January 15, 2025.</ref><ref name="techopedia-article">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>
**Hidden redirect mechanisms affecting commissions.<ref name="megalag-video" /><ref name="techopedia-article" />
**Selective display of coupon codes based on undisclosed partner agreements.<ref name="megalag-video" /><ref name="techopedia-article" />
**Subject to multiple ongoing class action lawsuits regarding alleged deceptive practices.<ref name="wendover-v-paypal">[https://www.courtlistener.com/docket/69503243/9/wendover-productions-llc-v-paypal-inc/ "Wendover Productions, LLC v. PayPal Inc, 5:24-cv-09470, (N.D. Cal.)"]. ''courtlistener.com''. Free Law Project. Retrieved January 15, 2025.</ref><ref name="gamersnexus-v-paypal-holdings">[https://www.courtlistener.com/docket/69517397/gamersnexus-llc-v-paypal-holdings-inc/ "GamersNexus, LLC v. PayPal Holdings, Inc., 5:25-cv-00114, (N.D. Cal.)"]. ''courtlistener.com''. Free Law Project. Retrieved January 15, 2025.</ref>
====Business model====
====Market control====

==Incidents==

===Affiliate-tampering controversy (''Dec. 2024'')===

====MegaLag Investigation (''Dec. 2024)''====
On December 21 2024, the tech-related YouTube channel MegaLag posted a video titled "Exposing the Honey Influencer Scam," in which they alleged that Honey was engaging in systematic manipulation of affiliate marketing links through a process known as "cookie stuffing."<ref>[https://www.justice.gov/usao-ndca/pr/laguna-niguel-man-receives-fifteen-month-prison-term-defrauding-ebay "Laguna Niguel Man Receives Fifteen-Month Prison Term For Defrauding eBay"] ''U.S. Attorney's Office, Northern District of California''. August 4, 2014. Retrieved January 18, 2025.</ref> Through this type of "affiliate poaching," Honey was alleged to have removed the original content creator's affiliate cookie, which tracked that the content creator was responsible for the sale so they could receive a later commission, and instead injected Honey's own affiliate cookie without the user's knowledge. Through this process, Honey effectively claimed the commission for the sale that would have gone to the content creator who originally guided the user to the product. Honey did this even when it explicitly offered no discount or coupon codes to the purchaser.

In short, the investigation found that when users clicked on a content creator's affiliate link and subsequently activated Honey during checkout, Honey would:

*Delete the original affiliate's tracking cookie
*Replace it with Honey's own affiliate cookie via a hidden redirect tab that closed within a few seconds
*Claim the commission that was intended for the original content creator

The video presented several scenarios in which this "affiliate poaching" would occur, even when Honey offered no discounts or coupons to the user, namely:

*Upon the user clicking "Activate Rewards" when presented with a Honey pop-up indicating to do so.
*Upon the user clicking "Got It" to acknowledge and discard a Honey pop-up stating, "We searched for you but didn't find any deals."
*Upon clicking "PayPal" when presented with a Honey pop-up recommending the user check out via PayPal, which owns Honey, even when the option was already present on the native website and would have preserved the original content creator's affiliate cookie and commission if the user had done so through that website and not Honey's pop-up.

=====Affiliate test=====
Part of the investigative piece included a section in which MegaLag tested what would happen to their own commission when purchasing a product with Honey and without Honey. They signed up for an affiliate program through a popular VPN provider and then made two distinct purchases. One purchase was made using the Honey browser extension, and the other without using the extension. They made each purchase using a VPN server in different countries (one in the USA and one in the Netherlands), and used "separate, new browser sessions with cookies cleared."<ref>{{Cite web |first=MegaLag |date=21 Dec 2025 |title=Exposing the Honey Influencer Scam |url=https://www.youtube.com/watch?v=vc4yL3YTwWk |url-status=live |access-date=08 Jan 2026 |website=YouTube.com |at=11:03-11:07}}</ref> They also signed up for Honey's rewards program to test how much of the commission would be shared with a consumer.

They found that when purchased without the use of Honey, they received a $36.50 commission for the sale as expected. However, when purchasing the product with the use of Honey, MegaLag received no commission and the commission was instead redirected to Honey. MegaLag also demonstrated that of the $35.60 commission poached by Honey, only $0.89 was shared with the purchaser via the rewards program.

====Misleading consumers====
Additionally, contrary to marketing claims about finding "the best deals," Honey was found to have agreements with partner stores allowing them to control which coupon codes appeared through the extension. This meant stores could hide better discounts while only showing Honey users lower-value coupons. The practice directly contradicted years of marketing claims that promised users they would "always get the best deal possible."<ref name="megalag-video" />

Simon Wijckmans, CEO of c/side, noted that "When users purchased via an affiliate link with Honey installed, commissions intended for creators were redirected to Honey. Additionally, Honey misrepresented deals as the best discounts while partnering with companies to hide better offers."<ref name="techopedia-article" />
===Content-creator lawsuits (''Dec. 2024'')===
In December 2024, a [[class-action lawsuit]] was filed against PayPal by Wendover Productions, LLC alleging that Honey manipulated affiliate marketing links without proper disclosure or compensation. The suits claim 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 name="wendover-v-paypal" />

<p>Gamers Nexus, LLC later filed a class-action lawsuit against PayPal in January 2025 citing the same grievances.<ref name="gamersnexus-v-paypal-holdings" />

===Significant changes to the Terms of Service (''Oct. 2024 - Dec. 2024'')===
Several parts of the Terms of service were updated and added, such as

*Change of the Governing Law from England and Wales to California in the United States
*Addition of a Arbitration.
*a number of small changes between the lines.

Also noteworthy is that on January 8 2025 older versions of the TOS were available on archive.org. However, as of January 28, 2025, the archive shows a "Failed to Fetch" error.<ref>[https://web.archive.org/web/20220000000000*/https://www.joinhoney.com/terms "Archived versions of joinhoney.com on archive.org"] a fully functional archive of multiple versions were available prior to January 25 2025 dating back to 2022</ref>

To prevent loss of those details:
*copy of Paypal Honey Terms of Services from December 2024
*copy of Paypal Honey Terms of Services from January 2025

''on a more funny note, the current live version of the TOS<ref name="terms-of-use" /> (checked on 5 February 2025) shows "Last updated January 16, 2024"''

=== Coercing businesses to partner with Honey in order to protect private discount codes (''Dec. 2025'') ===
Further investigations released by Megalag in December 2025 allege that Honey promotes discount codes for businesses that have not consented to partner with them, including scraping and publicizing discount codes meant for private employee use and not intended for public use. The promotion of these codes has been reported to have negatively affected the financial standing several smaller businesses.

When asked by such businesses to remove these private discount codes, Honey is alleged to have told those businesses that they are unable to remove the codes unless the business agrees to partner with them, essentially paying a fee to be protected from a service they do not want to partner with. Honey is also reported to have attempted to deceive such businesses about the company's capacity to remove such discount codes, with one agent claiming to one business that Honey was unable to remove a private employee coupon code from public distribution unless the business partnered with Honey, just one month after the same agent agreed to remove the private code of another business upon request. Honey eventually agreed to remove the code, however the business claims that the problem has occurred repetitiously.

==References==
{{Reflist}}
[[Category:PayPal]]

PayPal Honey

2026-01-09T07:11:16Z

Samiisw: Edited section re: December 2024 controversy--added important details of original MegaLag investigation that revealed Honey's affiliate poaching practices, including a section on a test they performed demonstrating that they received a commission when not using Honey and did not receive a commission when activating Honey.

{{ProductCargo
|Company=PayPal
|ReleaseYear=2012
|InProduction=Yes
|ArticleType=Service
|Category=Browser extension
|Logo=PayPal_Honey.svg
|Website=https://www.joinhoney.com
|Description=In 2024, the browser extension Honey was reported to have misled consumers and discreetly stolen commissions from its affiliates.
}}
'''Honey''' (now '''PayPal Honey''') is a browser extension and platform owned by [[PayPal]] 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 15, 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 impact summary==

====Privacy====
*Collects extensive personal identifiers including name, email, IP address, and device IDs.<ref name="privacy-policy">[https://www.joinhoney.com/privacy "PayPal Honey Privacy Statement"]. ''PayPal Honey''. October 28, 2024. Retrieved January 15, 2025.</ref>
*Retains data for up to 10 years after account closure.<ref name="privacy-policy" />
*Shares data with PayPal companies and merchant partners.<ref name="privacy-policy" />
*Tracks detailed shopping behavior, including purchases, returns, and browsing patterns.<ref name="privacy-policy" />
*Creates inference profiles based on shopping patterns and preferences.<ref name="privacy-policy" />

====Freedom====
*Consumer choice restricted by intentionally hidden discounts and deals.<ref name="megalag-video" /><ref name="techopedia-article" />
*Mandatory acceptance of arbitration clause with class action waiver.<ref name="terms-of-use">[https://www.joinhoney.com/terms "Terms of Use"]. ''PayPal Honey''. January 16, 2024. Retrieved February 5, 2025.</ref>
*No user control over partner-privileged discount system.<ref name="megalag-video" /><ref name="techopedia-article" />
*Service can be terminated at PayPal's discretion without notice.<ref name="terms-of-use" />
*Users forced to accept terms modifications without direct notification.<ref name="terms-of-use" />
*Transparency
**Undisclosed manipulation of affiliate marketing links.<ref name="megalag-video">MegaLag (December 21, 2024). [https://www.youtube.com/watch?v=vc4yL3YTwWk "Exposing the Honey Influencer Scam"]. ''YouTube''. Retrieved January 15, 2025.</ref><ref name="techopedia-article">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>
**Hidden redirect mechanisms affecting commissions.<ref name="megalag-video" /><ref name="techopedia-article" />
**Selective display of coupon codes based on undisclosed partner agreements.<ref name="megalag-video" /><ref name="techopedia-article" />
**Subject to multiple ongoing class action lawsuits regarding alleged deceptive practices.<ref name="wendover-v-paypal">[https://www.courtlistener.com/docket/69503243/9/wendover-productions-llc-v-paypal-inc/ "Wendover Productions, LLC v. PayPal Inc, 5:24-cv-09470, (N.D. Cal.)"]. ''courtlistener.com''. Free Law Project. Retrieved January 15, 2025.</ref><ref name="gamersnexus-v-paypal-holdings">[https://www.courtlistener.com/docket/69517397/gamersnexus-llc-v-paypal-holdings-inc/ "GamersNexus, LLC v. PayPal Holdings, Inc., 5:25-cv-00114, (N.D. Cal.)"]. ''courtlistener.com''. Free Law Project. Retrieved January 15, 2025.</ref>
====Business model====
====Market control====

==Incidents==

=== Affiliate-tampering controversy (''Dec. 2024'') ===

==== MegaLag Investigation (''Dec. 2024)'' ====
On December 21 2024, the tech-related YouTube channel MegaLag posted a video titled "Exposing the Honey Influencer Scam," in which they alleged that Honey was engaging in systematic manipulation of affiliate marketing links through a process known as "cookie stuffing."<ref>[https://www.justice.gov/usao-ndca/pr/laguna-niguel-man-receives-fifteen-month-prison-term-defrauding-ebay "Laguna Niguel Man Receives Fifteen-Month Prison Term For Defrauding eBay"] ''U.S. Attorney's Office, Northern District of California''. August 4, 2014. Retrieved January 18, 2025.</ref> Through this type of "affiliate poaching," Honey was alleged to have removed the original content creator's affiliate cookie, which tracked that the content creator was responsible for the sale so they could receive a later commission, and instead injected Honey's own affiliate cookie without the user's knowledge. Through this process, Honey effectively claimed the commission for the sale that would have gone to the content creator who originally guided the user to the product. Honey did this even when it explicitly offered no discount or coupon codes to the purchaser.

In short, the investigation found that when users clicked on a content creator's affiliate link and subsequently activated Honey during checkout, Honey would:

*Delete the original affiliate's tracking cookie
*Replace it with Honey's own affiliate cookie via a hidden redirect tab that closed within a few seconds
*Claim the commission that was intended for the original content creator

The video presented several scenarios in which this "affiliate poaching" would occur, even when Honey offered no discounts or coupons to the user, namely:

* Upon the user clicking "Activate Rewards" when presented with a Honey pop-up indicating to do so.
* Upon the user clicking "Got It" to acknowledge and discard a Honey pop-up stating, "We searched for you but didn't find any deals."
* Upon clicking "PayPal" when presented with a Honey pop-up recommending the user check out via PayPal, which owns Honey, even when the option was already present on the native website and would have preserved the original content creator's affiliate cookie and commission if the user had done so through that website and not Honey's pop-up.

===== Affiliate test =====
Part of the investigative piece included a section in which MegaLag tested what would happen to their own commission when purchasing a product with Honey and without Honey. They signed up for an affiliate program through a popular VPN provider and then made two distinct purchases. One purchase was made using the Honey browser extension, and the other without using the extension. They made each purchase using a VPN server in different countries (one in the USA and one in the Netherlands), and used "separate, new browser sessions with cookies cleared."<ref>{{Cite web |first=MegaLag |date=21 Dec 2025 |title=Exposing the Honey Influencer Scam |url=https://www.youtube.com/watch?v=vc4yL3YTwWk |url-status=live |access-date=08 Jan 2026 |website=YouTube.com |at=11:03-11:07}}</ref> They also signed up for Honey's rewards program to test how much of the commission would be shared with a consumer.

They found that when purchased without the use of Honey, they received a $36.50 commission for the sale as expected. However, when purchasing the product with the use of Honey, MegaLag received no commission and the commission was instead redirected to Honey. MegaLag also demonstrated that of the $35.60 commission poached by Honey, only $0.89 was shared with the purchaser via the rewards program.

==== Misleading consumers ====
Additionally, contrary to marketing claims about finding "the best deals," Honey was found to have agreements with partner stores allowing them to control which coupon codes appeared through the extension. This meant stores could hide better discounts while only showing Honey users lower-value coupons. The practice directly contradicted years of marketing claims that promised users they would "always get the best deal possible."<ref name="megalag-video" />

Simon Wijckmans, CEO of c/side, noted that "When users purchased via an affiliate link with Honey installed, commissions intended for creators were redirected to Honey. Additionally, Honey misrepresented deals as the best discounts while partnering with companies to hide better offers."<ref name="techopedia-article" />
===Content-creator lawsuits (''Dec. 2024'')===
In December 2024, a [[class-action lawsuit]] was filed against PayPal by Wendover Productions, LLC alleging that Honey manipulated affiliate marketing links without proper disclosure or compensation. The suits claim 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 name="wendover-v-paypal" />

<p>Gamers Nexus, LLC later filed a class-action lawsuit against PayPal in January 2025 citing the same grievances.<ref name="gamersnexus-v-paypal-holdings" />

===Significant changes to the Terms of Service (''Oct. 2024 - Dec. 2024'')===
Several parts of the Terms of service were updated and added, such as

*Change of the Governing Law from England and Wales to California in the United States
*Addition of a Arbitration.
*a number of small changes between the lines.

Also noteworthy is that on January 8 2025 older versions of the TOS were available on archive.org. However, as of January 28, 2025, the archive shows a "Failed to Fetch" error.<ref>[https://web.archive.org/web/20220000000000*/https://www.joinhoney.com/terms "Archived versions of joinhoney.com on archive.org"] a fully functional archive of multiple versions were available prior to January 25 2025 dating back to 2022</ref>

To prevent loss of those details:
*copy of Paypal Honey Terms of Services from December 2024
*copy of Paypal Honey Terms of Services from January 2025

''on a more funny note, the current live version of the TOS<ref name="terms-of-use" /> (checked on 5 February 2025) shows "Last updated January 16, 2024"''

==References==
{{Reflist}}
[[Category:PayPal]]

PayPal Honey

2026-01-09T06:11:34Z

Samiisw: Updated meta description.