The fastest way is a standard transfer, which takes one to three business days and costs nothing

PayPal lets you move money to a linked bank account in two ways: a standard transfer (free, one to three business days) or an when ready transfer (costs 1.5% of the amount, arrives within 30 minutes). Most people use the standard transfer because it is free and the wait is short. To do either one, you need a bank account already connected to your PayPal account, and you need to have completed PayPal's identity verification — which usually means confirming your name, address, and the last four digits of your Social Security number.

The money goes to whichever bank account you select at the moment of transfer. You can have multiple accounts linked and choose a different one each time, or set a default. Once the transfer leaves PayPal, it follows your bank's normal deposit timeline — most banks post transfers within one business day of receiving them, though some take longer.

Key Takeaways

  • Standard transfers are free and take one to three business days; when ready transfers cost 1.5% and arrive within 30 minutes.
  • Your bank account must be linked to PayPal and verified before you can transfer money out.
  • The transfer goes to whichever account you choose at the time you initiate it, so you can split money between accounts if you have multiple ones linked.
  • If your transfer does not arrive within the stated timeframe, contact PayPal first — the delay is usually on PayPal's side, not your bank's.

How to link a bank account to PayPal if you have not already

Go to your PayPal account settings, find the "Wallet" or "Bank and Cards" section (the exact name varies by whether you are on the app or website), and select "Link a Bank Account." PayPal will ask for your routing number and account number — both appear on the bottom left of a check, or you can find them by logging into your bank's website. PayPal will then send two small deposits (usually under $1 each) to that account, typically within one to two business days.

Once the deposits arrive, go back to PayPal and confirm the amounts. This confirms you own the account. After that, the account is linked and ready to receive transfers. If you do not see the deposits within three business days, check that you entered the routing and account numbers correctly — a single digit wrong will send the deposits to the wrong place, and you will need to start over with a corrected number.

Steps to transfer money out of PayPal

On the PayPal app or website, go to your Wallet. You will see a "Transfer Money" button or link — click it and select "Transfer to Your Bank." PayPal will show you the linked accounts and ask which one you want the money to go to. Enter the amount, confirm the transfer type (standard or when ready), and review the details. Then submit.

PayPal will show you a confirmation number and the expected arrival date. Save this confirmation number — if something goes wrong, you will need it to contact PayPal support. The money leaves your PayPal balance when ready, even though it has not reached your bank yet. If you change your mind within a few minutes, you may be able to cancel, but once the transfer has processed on PayPal's end, you cannot stop it.

What happens if the transfer does not arrive on time

Standard transfers should arrive within one to three business days. If it has been longer than that, log into your bank account and search for any pending deposits from PayPal — sometimes a transfer shows as pending before it posts. If you do not see it pending or posted, contact PayPal support with your confirmation number and the date you initiated the transfer. PayPal can see on their end whether the transfer was sent and can investigate if it stalled.

Do not contact your bank first — your bank will tell you the same thing: that they have not received it yet, and you need to ask the sender (PayPal) where it is. PayPal's support team can see the status and either resend it or issue a refund to your PayPal balance. Refunds usually take one to three business days as well. If PayPal says the transfer was sent and your bank says it was not received, ask PayPal to verify the routing and account number they have on file — a typo on their end is rare but possible.

When when ready transfer makes sense and when it does not

when ready transfer costs 1.5% of the amount you are moving. On a $100 transfer, that is $1.50. On a $1,000 transfer, that is $15. You pay the fee whether the transfer succeeds or fails, so only use it when you genuinely need the money within 30 minutes. Common reasons include covering an overdraft, paying an urgent bill, or moving money before a important date. If you can wait one to three days, the standard transfer saves you money with no real downside.

when ready transfer also requires that your account be in good standing — if PayPal has flagged your account for unusual activity or disputes, when ready transfer may not be available even if you have a linked bank account. Standard transfer is more forgiving and usually works even when when ready transfer is blocked. If you try when ready transfer and it fails, you can always fall back to standard transfer at no extra cost.

Why PayPal might not let you transfer money out

If you cannot find the transfer button or it is grayed out, the most common reasons are: your bank account is not yet verified (you have not confirmed those two small deposits), your account has a negative balance or pending dispute, or PayPal has limited your account due to unusual activity. Check your account status by going to Settings and looking for any warnings or messages about your account.

If your account is limited, PayPal will usually tell you what you need to do — often uploading an ID, confirming your address, or waiting for a dispute to close. If you see no warning but still cannot transfer, contact PayPal support and ask them to check your account status. Do not assume the feature is broken; PayPal restricts transfers as a fraud prevention step, and support can tell you whether the restriction is temporary or what you need to do to lift it.

Frequently Asked Questions

Can I transfer money to someone else's bank account through PayPal?

No. Transfers from PayPal go only to a bank account that is linked to your own PayPal account. To send money to someone else, use PayPal's "Send Money" feature, which lets you pay another PayPal user or send money to an email address. That person then receives it in their PayPal account, not their bank account, unless they withdraw it themselves.

What if I linked the wrong bank account?

You can unlink it and link the correct one instead. Go to your Wallet, find the account you want to remove, and select "Unlink." Then link the correct account using the same process as before. If you already transferred money to the wrong account, contact PayPal support when ready with your confirmation number — they may be able to reverse it, though this depends on how far the transfer has progressed.

Do I have to pay taxes on money I transfer from PayPal to my bank?

Transferring your own money from PayPal to your bank is not a taxable event. However, the money itself may be taxable depending on where it came from — if it is income from selling goods or services, you owe taxes on it regardless of which account it sits in. PayPal reports certain transactions to the IRS, so keep records of what the money was for.

How long does PayPal keep money if I do not transfer it?

PayPal does not force you to withdraw money — you can leave it in your PayPal balance indefinitely. However, if your account is inactive for a long time, PayPal may close it, and you would need to contact support to recover the balance. It is safer to transfer money you do not plan to use soon to your bank account, where it earns interest and is protected by FDIC insurance.