By: Gigaom
PayPal offers price matching, free return shipping for the holidays
PayPal is trying to lure in customers with new holiday promotions that allow shoppers to get pricing matching, free return shipping and free six-month financing. The deals apply to sales online, at eBay sites and in-store.

PayPal is getting even more aggressive in courting consumers with the rollout of new holiday promotions for cost-conscious shoppers. Now, consumers can get price-matching, free return shipping and six-month financing on purchases online or in-store through the end of the year.

When a purchased product is advertised for less by any merchant within 30 days, consumers who pay with PayPal can get reimbursed the difference. They need to fill out a request and submit a copy of their receipt and the advertisement to get reimburse. Users can get up to $1,000 in total price matching through Dec. 31  and up to $250 on any one item. This applies to airline tickets that go on sale within seven days.

PayPal is also offering free return shipping on products. Consumers who file a claim will get a pre-paid shipping label within five days or they’ll get a refund in their PayPal account for the shipping costs. Free return shipping is limited to $100 during the promotion period or $25 for each item. And PayPal is also promoting its six-months free financing for purchases over $99 through Bill Me Later, which was offered to small businesses for the first time last month. You can get more information on the promotions here.

The deals highlight how PayPal is able to lure in more users by flexing its financial muscles. By giving people the protections and services they might see from Amazon, big retailers or a credit card, PayPal is able to become a more popular tool for payments and shopping.

The promotions are limited to this holiday season and could be costly in the short term. But if they can drive more sales and make consumers more loyal to PayPal, I wouldn’t be surprised if PayPal turns to these kinds of services throughout the year. This also provides a lift to PayPal’s in-store payment system, which is rolling out to big retailers like The Home Depot, Abercrombie & Fitch and Jos. A Bank.

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