How to transfer money from PayPal to your bank account
You can move money from PayPal to a linked bank account in a few minutes using PayPal's transfer tool. The money does not arrive when ready — it takes one to three business days depending on your bank — but the process itself is straightforward and costs nothing if you choose a standard transfer.
The steps are the same whether you received the money as a payment, sold something, or earned it another way. PayPal holds the funds in your account until you tell it where to send them.
Key Takeaways
- Standard transfers from PayPal to your bank account are free and take one to three business days.
- You must link your bank account to PayPal first by providing your routing number and account number.
- PayPal offers a faster option called when ready Transfer that arrives within 30 minutes but charges a small fee.
- You can transfer money using the PayPal website or the mobile app — the steps are the same on both.
- Once your bank account is linked, you can transfer money as often as you want without setting it up again.
Link your bank account to PayPal before your first transfer
PayPal needs to know which bank account to send your money to. You do this once, and then the account stays linked for future transfers.
On the PayPal website, go to Settings (the gear icon in the top right). Click Wallet on the left side, then Link a bank account. PayPal will ask for your bank's name, your account type (checking or savings), your account number, and your routing number. Your routing number is a nine-digit code that identifies your specific bank — you can find it on a check, or call your bank and ask.
PayPal may verify the account by depositing two small amounts into it (usually under one dollar each). Check your bank statement a few days later, and PayPal will ask you to confirm those amounts. This step proves you own the account.
Start a standard transfer (free, takes one to three days)
Once your bank account is linked, open PayPal and look for the Transfer Money button. On the website it is usually on the home page or under the Wallet section. On the mobile app, tap the menu icon and find Transfer Money.
Select Transfer to your bank. PayPal will show you how much money is in your account and ask how much you want to transfer. Enter the amount and confirm which bank account you want it sent to (if you have linked more than one). Review the details and tap or click Transfer Now.
PayPal will show you a confirmation number. The money will leave your PayPal account right away, but your bank will not receive it for one to three business days. Weekends and bank holidays can add time.
Use when ready Transfer if you need the money faster
PayPal offers a faster option called when ready Transfer that puts money into your bank account within 30 minutes instead of one to three days. The trade-off is a small fee — usually between 25 cents and one dollar depending on the amount you transfer.
The steps are the same as a standard transfer, but when you choose how much to transfer, PayPal will show you both options side by side: the free standard transfer with the longer wait, and the when ready Transfer with the fee. You choose which one you want before confirming.
when ready Transfer is useful if you need cash quickly for an unexpected expense, but for regular transfers, the free standard option works fine.
What to do if your transfer does not arrive
If three business days have passed and the money has not shown up in your bank account, log into PayPal and check the transaction history. Look for the transfer you made and click on it to see its status. PayPal will tell you whether it is still processing, delayed, or if there was a problem.
Common reasons a transfer gets delayed include a mismatch between the name on your PayPal account and the name on your bank account, or a bank system issue on your bank's end. If PayPal says the transfer failed, it will usually send the money back to your PayPal account within a few days, and you can try again.
If you have waited longer than three business days and PayPal shows no status update, contact PayPal's support team through the Resolution Center in your account. Have your confirmation number ready.
Transferring money on the PayPal mobile app
The mobile app works the same way as the website. Open the app, tap the menu icon (three horizontal lines), and select Transfer Money. Choose Transfer to your bank, enter the amount, pick your bank account, and confirm.
The app may ask for your fingerprint or face recognition to confirm the transfer, depending on your phone's security settings. This is a safety feature — it makes sure only you can move money out of your account.
Frequently Asked Questions
Can I transfer money from PayPal to a bank account that is not in my name?
No. PayPal requires the bank account to be in the same name as your PayPal account. If the names do not match, PayPal will reject the transfer or your bank will send the money back.
What happens if I transfer money but then change my mind?
If the transfer is still processing (has not reached your bank yet), you can cancel it through the PayPal app or website by clicking on the transaction and selecting Cancel. Once the money arrives at your bank, you cannot cancel it through PayPal — you would need to contact your bank.
Is there a limit to how much I can transfer at once?
PayPal sets limits based on your account history and how long you have been a user. New accounts have lower limits than established ones. You can see your limit by starting a transfer — PayPal will show you the maximum amount available. If you need to transfer more, you can do multiple transfers.
Do I have to pay taxes on money I transfer from PayPal to my bank?
Transferring money from PayPal to your bank is not a taxable event by itself — you are just moving money you already received. However, the money you received in the first place may be taxable depending on how you earned it. If you sold items or provided services, that income is usually taxable.
Can I set up automatic transfers from PayPal to my bank?
PayPal does not offer automatic recurring transfers. You have to start each transfer manually. However, you can set up a transfer as soon as money arrives in your account, so the process only takes a minute or two each time.