Apple's iTunes now accepting PayPal

Customers at Apple Computer's iTunes store will now be able to pay for their songs, albums and gift certificates using PayPal, a virtual-wallet technology owned by eBay.

PayPal's program allows consumers to fill out an account using credit cards or checks. The wallets can then be used to pay for goods online.

The system is popular among online auctioneers and small sites because it allows them to accept payments without having to pay transaction fees to credit card companies.

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