PayPal: Venmo app facing an inquiry

PayPal Holdings said regulators are investigating the company’s popular person-toperson payments app, Venmo.

The Consumer Financial Protection Bureau is probing Venmo’s processes for collections and unauthorized fund transfers, PayPal said in an annual regulatory filing. The payments giant said the agency requested documents and answers to written questions in a civil investigative demand PayPal received Jan. 21.

PayPal has faced criticism in recent years for engaging in collections or debiting accounts when users turn up with negative balances in their Venmo wallets.

The CFPB is led by acting director Dave Uejio, who was named to the position by President Joe Biden on Jan. 20.