This paper discusses that one of the worst fears of people using the Internet is the danger of disclosing, unknowingly, their
personal and financial information to a nosey hacker. The author points out that PayPal uses the SSL (Secure Sockets Layer) protocol, which implies that all the transactions between the client and the host are safe because the exchanged data is rendered undecipherable and meaningless to anyone who happens to gain unauthorized access. The paper relates a glaring security risk, which is that the SSL protocol stores the digital certificate permanently in the client system, though in the encrypted form, which presents a possibility for the miscreant to dabble with it. Table of Contents Introduction PayPal Features Dangers of Security Lapses Ensuring Privacy (Isolated Storage) The SSL Security (Digital integrity and authenticity) Disadvantages of SSL PayPal's Encryption and Firewall Protection Legal Liability Conclusion