updated 09:25 pm EDT, Wed November 3, 2010
App failed to confirm authenticity of PayPal site
PayPal has quickly released an update to its popular iPhone app, after the company had become aware of a significant security vulnerability. The previous version reportedly failed to confirm the authenticity of PayPal's website, leaving a loophole that could have been exploited to gain unauthorized access to users' accounts.
Spokeswoman Amanda Pires claims the company verified the vulnerability on Tuesday night and rushed to release an update for the app. The company suggests no users have come forward with reports of fraudulent activity, although any affected users will receive 100 percent reimbursement.
"To my knowledge it has not affected anybody," Pires told the Wall Street Journal. "We've never had an issue with our app until now."
The update app, PayPal 3.0.1, is now available as a free download from the App Store.