From the Google wallet TOS, section 2.1, second paragraph:
“…You also authorize GPC to obtain from time to time a credit report and/or to otherwise make credit or other background inquiries as GPC deems appropriate to evaluate your registration for or continued use of the Processing Service”
Google isn’t extending credit, why would they need to run a credit check (from time to time)?
Google Checkout is now part of Google Wallet, and Google Checkout would like to know that you won’t be ripping people off, presumably.
Perhaps, but it seems analogous to the Post Office wanting to check my credit from time to time because they deliver my water bill and pick up my check when I pay it. Google’s not on the hook (for anything as per TOS) if I defraud someone, just as the PO isn’t responsible if my check to the water department bounces. Allowing Google this right just to make a few bucks as the man in the middle seems like a reach to me. So much so that I declined to agree and now my Google Checkout is out of reach since it is now part of Wallet; I can’t edit my Checkout info without agreeing to Wallet’s terms. So be it.
I just wondered if I was overlooking something obvious.
Google makes its money from advertisers, and will make more money if its ads can be targeted better?
You are basically applying for merchant/credit card processing services. They all have a vested interest in dealing with creditworthy individuals its more likely you will abuse such services if you have problems paying your bills.