The four ways to put money into PayPal

You can add money to PayPal in four main ways: transfer from your bank account, deposit cash at a store, receive money from someone else, or use a debit or credit card. The bank transfer is usually free and takes one to three business days. Depositing cash at a store is when ready but costs a small fee. Receiving money from friends or getting paid by an employer can also add funds. Using a card to load money is fast but typically costs a percentage of the amount.

Which method works best depends on whether you need the money right away, whether you have a bank account, and whether you want to pay a fee. Most people start with a bank transfer because it is free, even though it takes a few days.

Key Takeaways

  • A bank transfer from your checking or savings account is free and takes one to three business days to show up in PayPal.
  • You can deposit cash at stores like Walmart, CVS, or 7-Eleven for an when ready balance, but you will pay a fee of around $1 to $3 depending on the amount.
  • Money received from friends, family, or employers goes directly into your PayPal account without any action needed on your part.
  • Loading money with a debit or credit card is fast but usually costs 2% to 3% of the amount you add.

Transferring money from your bank account

This is the most common and cheapest way to add money to PayPal. You will need your bank account number and routing number, which you can find on a check or by logging into your bank's website. PayPal will ask you to verify the account by depositing two small amounts (usually under $1 each) into it, then asking you to confirm those amounts. This takes a few days but only happens once.

Once your bank account is linked, you can transfer money whenever you want. Log into PayPal, go to your wallet, and select "Transfer Money." Choose "From your bank" and enter the amount. The money will arrive in one to three business days. There is no fee for this transfer.

If you are in a hurry and cannot wait three days, this method will not work for you. But if you are planning ahead or do not mind waiting, this is the cheapest option.

Depositing cash at a store near you

PayPal lets you add cash when ready at thousands of stores without needing a bank account. You can use this at Walmart, CVS, Walgreens, 7-Eleven, Family Dollar, and other locations. The money shows up in your PayPal account right away, which makes this useful if you need funds today.

To do this, open PayPal on your phone and go to your wallet. Select "Add Cash" and choose your nearest store from the list. PayPal will give you a barcode and a reference number. Take your cash and that barcode to the store, give the cash to the cashier, and they will scan the barcode. The money appears in your PayPal account when ready.

The fee depends on the amount and the store. A $20 deposit might cost $1, while a $100 deposit might cost $2 to $3. Ask the cashier what the fee is before you hand over your cash, or check the PayPal app — it will show you the fee before you confirm.

Receiving money from friends or employers

When someone sends you money through PayPal, it lands in your account automatically. You do not have to do anything to receive it. Friends can send you money for shared bills or loans. Employers or clients can pay you for work. In all cases, the money is yours to use or withdraw once it arrives.

The person sending the money pays any fees, not you. So receiving money is always free on your end. This is one reason people use PayPal — to send and receive money without going to a bank.

Using a debit or credit card to load money

You can add money to PayPal directly with a debit card or credit card, and the money appears in your account within minutes. This is the fastest way if you do not have a bank account linked or if you need the money right now.

The trade-off is cost. PayPal charges a percentage of the amount you add, usually 2% to 3%. So if you add $100, you might pay $2 to $3 in fees. This adds up if you do it often, which is why most people use this method only when they are in a hurry.

To do this, go to your wallet in PayPal, select "Add Money," and choose "With a debit or credit card." Enter your card details and the amount. The money will be ready to use within minutes.

What happens after money is in your PayPal account

Once money is in PayPal, you can use it to send to others, pay for things online, or withdraw it back to your bank account. You can also leave it there and use it whenever you need it. PayPal does not charge you to hold money in your account.

If you want to take the money out, you can transfer it back to your bank account for free, though it takes one to three business days. You can also request a PayPal debit card, which lets you spend the money at stores and ATMs like a regular debit card. Some versions of this card have monthly fees, so check the details before you order one.

Frequently Asked Questions

How long does it take money to show up after I transfer from my bank?

Bank transfers usually take one to three business days. Weekends and holidays do not count as business days, so a transfer you start on Friday might not arrive until Tuesday. PayPal will show you an estimated arrival date when you start the transfer.

Can I add money to PayPal if I do not have a bank account?

Yes. You can deposit cash at stores, receive money from others, or use a debit or credit card. The store deposit method is the most straightforward if you have cash and no bank account.

Is there a limit to how much money I can add to PayPal?

Limits vary depending on your account age and history. New accounts have lower limits than established ones. PayPal will tell you your limit when you try to add money. If you hit your limit, you can usually add more after a certain amount of time has passed.

What if the store says they cannot process my cash deposit?

This can happen if the barcode does not scan or if there is a technical problem. Ask the cashier to try again, or go to a different store location. If the problem continues, contact PayPal support through the app — they can investigate what went wrong.

Do I pay taxes on money I receive through PayPal?

Money you receive as a gift from friends or family is not taxable. Money you receive for work or as income may be taxable depending on the amount and your location. Keep records of what money you receive and why, and talk to a tax professional if you are unsure.