Yes, you can transfer your PayPal balance to a bank account, and it's the most common way to get cash out
PayPal lets you move money from your PayPal balance directly to a linked bank account. The transfer is straightforward: you initiate it through your PayPal account, choose the bank account you want the money to go to, and PayPal sends it. The money arrives in your bank account within one to three business days for most transfers, though some banks take longer to process incoming transfers.
You don't need to pay a fee for standard transfers to your own bank account in the United States. when ready transfers to a debit card cost 1.5% of the amount (with a 25-cent minimum), but the standard transfer method is free. The catch is that you can only transfer money that's actually sitting in your PayPal balance—money that's pending, held, or tied up in a dispute won't move until it clears.
Key Takeaways
- Standard transfers from PayPal to a linked bank account are free and take one to three business days.
- You must link a bank account to your PayPal account first, and PayPal will verify it with two small deposits before you can transfer money out.
- Only money in your available PayPal balance can be transferred; pending payments, holds, and disputed funds stay in PayPal until they clear.
- If you need the money faster, PayPal offers when ready transfers to a debit card for 1.5% of the amount.
- Some banks flag incoming transfers from PayPal as unusual activity, so contact your bank if the money doesn't arrive within three business days.
How to link your bank account to PayPal
Before you can transfer money out, you need to add a bank account to your PayPal account. Log in to PayPal, go to your Wallet, and select "Link a bank account." You'll enter your routing number and account number—you can find both on a check or by logging into your bank's website. PayPal will ask you to confirm the account type (checking or savings) and your name as it appears at the bank.
After you submit this information, PayPal deposits two small amounts (usually between 1 and 2 cents each) into your bank account. These deposits take two to three business days to show up. Once they arrive, you go back to PayPal and confirm the exact amounts of both deposits. This verification step proves you own the account. Until you complete it, you can't transfer money out, though you can still receive payments into PayPal.
If you've already linked a bank account and verified it, you can skip this step and move straight to initiating a transfer.
The steps to transfer money to your bank account
Open PayPal and go to your Wallet. Look for the "Transfer money" option—the exact wording varies slightly depending on whether you're on desktop or mobile, but it's always in the Wallet section. Select "Transfer to your bank." PayPal will show you a list of bank accounts you've already linked and verified. Choose the one you want the money to go to.
Enter the amount you want to transfer. PayPal will show you your available balance at the top of the screen—this is the only money you can move. If you try to transfer more than your available balance, PayPal will reject the request. Once you confirm the amount and the destination account, PayPal processes the transfer when ready, though the money won't appear in your bank account for one to three business days.
You'll get a confirmation number and a receipt in your PayPal transaction history. Save this confirmation number in case you need to follow up with PayPal or your bank about the transfer.
Why your transfer might be delayed or stuck
The most common reason a transfer takes longer than three business days is that your bank is processing it slowly. Some banks batch incoming transfers and process them once a day, which can add an extra day or two. If it's been more than three business days, contact your bank's customer service and give them the confirmation number from PayPal. They can tell you whether the transfer has arrived on their end and why it hasn't posted to your account yet.
A second reason is that PayPal has placed a hold on your account. This happens when PayPal suspects unusual activity—for example, if you suddenly transfer a large amount, or if your account was recently compromised. PayPal will notify you if this is the case, usually by email. You may need to verify your identity or answer security questions before the hold lifts and your transfer goes through.
A third reason is that your available balance is lower than you thought. Money from recent sales, refunds, or chargebacks may still be pending. Check your PayPal transaction history to see which payments are marked "Pending" or "On hold." These won't transfer until they clear, which usually takes five to seven business days from the transaction date.
When to use when ready transfer instead of standard transfer
If you need the money today or tomorrow, PayPal's when ready transfer option sends it to a linked debit card in minutes instead of days. The cost is 1.5% of the amount you're transferring, with a minimum fee of 25 cents. For a $100 transfer, you'd pay $1.50. For a $1,000 transfer, you'd pay $15.
when ready transfer only works with debit cards, not savings accounts or money market accounts. The debit card must be linked to your PayPal account and verified. If you don't have a debit card linked, you can add one through your Wallet, but PayPal may require you to verify it before you can use it for when ready transfers.
when ready transfer is useful if you're in a genuine time crunch—you need cash for an emergency, or you're selling something and the buyer needs proof the money moved. For routine transfers, the free standard method is almost always the better choice.
What happens if your bank account is no longer valid
If you've closed the bank account you linked to PayPal, or if the account information has changed, PayPal will reject your transfer attempt. You'll see an error message telling you the account is invalid. The solution is to link a new bank account and verify it with the two-deposit method, then initiate a new transfer to that account.
If you initiated a transfer to an account that's no longer valid, PayPal will attempt to return the money to your PayPal balance. This reversal can take five to ten business days. During that time, the money will show as "Pending" in your PayPal account. Once it clears, it goes back to your available balance and you can transfer it again to a valid account.
To avoid this problem, update your bank account information in PayPal as soon as you close an old account or switch banks. Don't wait until you try to make a transfer and it fails.
Frequently Asked Questions
Can I transfer money from PayPal to someone else's bank account?
No. PayPal transfers only go to bank accounts in your own name. If you want to send money to another person, use PayPal's "Send money" feature instead, which lets you transfer funds directly to their PayPal account or email address. They can then transfer it to their own bank account.
What's the maximum amount I can transfer at once?
PayPal doesn't publish a single maximum transfer amount. Instead, limits depend on your account history, how long you've had the account, and your transaction history. New accounts typically have lower limits than established ones. If you try to transfer more than your limit allows, PayPal will tell you the maximum for your account. You can contact PayPal support to request a higher limit if you have a good account history.
Do I have to transfer my entire PayPal balance, or can I transfer just part of it?
You can transfer any amount up to your available balance. You don't have to move all of it at once. Many people keep a small amount in PayPal for future purchases and transfer the rest to their bank account.
What if PayPal says my bank account is invalid but I know it's correct?
Double-check that you entered your routing number and account number correctly—even one digit off will cause PayPal to reject the account. If the numbers are correct, contact your bank to confirm they're still valid. Some banks change routing numbers when they merge or restructure. If your bank confirms the numbers are right, contact PayPal support with your bank's confirmation and ask them to re-verify the account.
Can I transfer money from PayPal to a business bank account?
Yes, if the business account is in your name or you're an authorized user. PayPal requires the account holder's name to match the name on your PayPal account. If you're transferring to a business account under a different name, you'll need to set up a separate PayPal Business account linked to that business account.