PayPal has committed to amending its terms and conditions to fully comply with EU consumer protections rules, the EU said in a statement on Wednesday.

"Following a dialogue with the European Commission and national consumer protection authorities, PayPal has committed to amending its terms and conditions to make them more transparent and understandable for consumers," the EU said.

PayPal's terms and conditions had been too difficult to understand and unfair to consumers.

PayPal users will be notiofied of the changes via a policy update in February and they will take affect in May.

(Reporting by Charlotte Van Campenhout; editing by Jason Neely)