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Why is a family sharing member being asked to update payment information

I had trouble a month or so ago when I was asked to update my payment information when there was actually nothing wrong with my payment information. I ended up adding PayPal just to get rid of the annoying flag, which it did.

Now, my wife – through family sharing – is also being told to "update payment information", which clearly shows my (valid) payment information.

I have tried:

Updating my payment information (again)

Removing and re-adding my wife from family sharing

… to no avail: she still has a red flag and is being refused purchases.

Any ideas?

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