Buying goods using PayPal? You'll get better protection from June

Customers buying digital goods will also get greater protection as part of a revamp of its terms and conditions. (See our Online Shopping guide for tips on cutting costs.)

If you have a problem with a PayPal purchase from 17 June, you'll have 180 days to report an issue. Currently, the time limit is 45 days from when payment is made. This change will apply to anything bought via PayPal .

The move is particularly good news for music and theatre fans. At present, there's no means of redress when event tickets – which are often paid for via PayPal more than 45 days in advance of the event – fail to arrive nearer the time of the show.

The change applies to the site's 18m UK account holders when they buy from sellers in the UK and overseas. PayPal is emailing all users to update them of the changes, and you can also view them on the PayPal website.

More protection for digital goods

From the same date, PayPal is extending its UK buyer protection to cover digital goods, services, tickets and other goods "you don't usually hold in your hands" – for example, music and film downloads, holidays or car rental.

Under current rules, if there is a problem with these purchases, buyers have little protection and find it more difficult to prove they did not receive what they paid for compared with a physical item that might have a fault.

But from 17 June, UK buyers will be reimbursed if they don't receive these goods and services, or if they fail to match the seller's description.

PayPal UK spokesperson Rob Skinner says: "For many years PayPal has offered customers protection for tangible items such as mobile phones and other items you can post.

"We are now moving with the times to adapt to consumer spending habits and give our UK customers the same reassurance when buying digital products or other services."