What you need to create a PayPal account
PayPal requires three things to open an account: a valid email address, a password you create, and either a debit card, credit card, or bank account number. You do not need to link a payment method when ready — you can add one later — but you will need one before you can send money or receive payments from other people.
Your email address becomes your PayPal login and the way other people find you to send money. Use an email you check regularly, because PayPal sends confirmation codes and security alerts there. If you plan to receive money from others, they will need this email address to find your account.
The account itself is free. PayPal charges fees only when money moves — typically 2.99% plus $0.30 when someone sends you money as a "goods and services" payment, or no fee when they send it as a personal transfer between friends.
Key Takeaways
- You need an email address and a password to start; a payment method can be added later but is required before you send or receive money.
- The sign-up process takes about five minutes and happens entirely on PayPal's website or mobile app.
- PayPal will ask you to confirm your email address by clicking a link they send you, and this step must be completed before your account is active.
- Linking a bank account or card is straightforward but may require you to verify small deposits PayPal makes to that account.
- Once your account is set up, you can send money to anyone with an email address, whether they have a PayPal account or not.
The step-by-step sign-up process
Go to paypal.com or open the PayPal mobile app. Click "Sign Up" in the top right corner of the website, or tap "Sign Up" in the app. PayPal will ask whether you want a Personal account or a Business account. Choose Personal unless you plan to sell items or invoice customers — Personal accounts are designed for sending and receiving money between individuals.
Enter your email address, create a password (PayPal requires at least eight characters, including uppercase and lowercase letters, a number, and a special character like ! or @), and select your country and currency. Then click "Next" or "Continue."
PayPal will ask for your full name, date of birth, and address. This information is used to verify your identity and comply with financial regulations. Enter exactly what appears on your government ID if you have one, because mismatches can cause problems later when you try to withdraw money.
Review PayPal's User Agreement and Privacy Policy — you do not need to read every word, but the key point is that PayPal can freeze your account if they suspect fraud or illegal activity. Click the checkbox to agree and finish sign-up. PayPal will send a confirmation email to the address you provided.
Confirming your email and completing verification
Open the email PayPal sent you and click the confirmation link. This step must be completed within a certain time frame — usually 30 days — or your account will be deactivated. If you do not see the email, check your spam folder, because confirmation emails sometimes land there.
After you click the link, PayPal may ask you to answer security questions or verify your identity another way. This is normal and happens to most new accounts. You may be asked to confirm your phone number by entering a code PayPal texts to you, or to answer questions about your personal history.
Once verification is complete, your account is active. You can now log in and use PayPal, but you still cannot send or receive money until you link a payment method.
Adding a bank account or card
Log into your PayPal account and go to the "Wallet" section (on the website) or tap the wallet icon (in the app). Click "Link a card or bank account" and choose whether you want to add a debit card, credit card, or bank account.
For a card, enter the card number, expiration date, and CVV (the three-digit code on the back). PayPal will verify the card when ready in most cases.
For a bank account, enter your routing number and account number. You can find these on a check, or log into your bank's website and look for account details. PayPal will make two small deposits to your account — usually $0.01 and $0.02 — within one to two business days. You then log back into PayPal and enter these amounts to confirm you own the account. This process is called microdeposit verification and is the standard way PayPal confirms bank accounts.
Once your payment method is verified, you can send money when ready. You do not need to wait for anything else.
How to send money to another person
Log into PayPal and click "Send Money" (on the website) or tap the send icon (in the app). Enter the email address of the person you want to send money to — they do not need to have a PayPal account yet. Type the amount and choose whether this is a personal transfer (no fee) or a payment for goods or services (PayPal charges a fee).
For personal transfers between friends and family, select "Friends and Family" or "Personal." PayPal will not charge a fee, and the money usually arrives within minutes if the recipient has a PayPal account, or within one to two business days if they do not.
For payments where you are buying something or paying for a service, select "Goods and Services." PayPal charges 2.99% plus $0.30, but this option offers buyer protection if something goes wrong with the transaction.
Review the details, click "Send," and the money is on its way. The recipient will receive an email notification and can claim the money by opening a PayPal account or linking it to an existing one.
Setting up security for your account
PayPal offers two-factor authentication, which adds a second layer of security beyond your password. Go to Settings (on the website) or tap the gear icon (in the app), then find "Security." Turn on two-factor authentication and choose whether you want to receive codes by text message or through an authenticator app like Google Authenticator.
With two-factor authentication enabled, anyone trying to log into your account — including you — will need to enter a code sent to your phone or generated by your authenticator app. This makes it much harder for someone to access your account even if they know your password.
You should also set a strong, unique password and never share it with anyone. If you use the same password on multiple websites, change it on all of them — if one website is hacked, attackers will try that password on other sites, including PayPal.
What happens if something goes wrong during setup
If PayPal asks you to verify your identity and you cannot, you may not be able to complete sign-up. This usually happens when the information you entered does not match records PayPal can access, or when PayPal suspects fraud. Contact PayPal's support team through the Help Center on their website — you can message them or request a call.
If your microdeposit verification is taking longer than expected, wait two to three business days before trying again. Bank transfers sometimes take longer than PayPal's estimate. If more than five business days have passed, contact your bank to confirm the deposits arrived, then contact PayPal with that information.
If you forget your password, click "Forgot password?" on the PayPal login page. PayPal will send a reset link to your email address. If you no longer have access to that email address, you will need to contact PayPal support to regain access to your account.
Frequently Asked Questions
Can I use PayPal without linking a bank account or card?
No. You can create an account without one, but you cannot send money or receive payments until you link a payment method. You can receive money from others and hold it in your PayPal balance, but to move it to yourself, you will need a bank account linked.
How long does it take to set up a PayPal account?
The initial sign-up takes about five minutes. Email confirmation is when ready. Bank account verification through microdeposits takes one to two business days. Card verification is usually when ready. In total, you can be ready to send money within a few minutes if you use a card, or within two business days if you use a bank account.
What if I want to receive money but do not want to send it?
You can receive money with just an email address — the sender does not need you to have a payment method linked. However, to withdraw that money to your bank account or card, you will need to link one. You can hold money in your PayPal balance indefinitely without linking anything.
Is it safe to link my bank account to PayPal?
PayPal uses encryption and fraud detection to protect your information. Your actual bank account number is not shared with people you send money to — they only see your email address. If you enable two-factor authentication, your account is significantly harder to compromise. However, like any online financial service, PayPal accounts can be hacked if your password is weak or reused on other sites.
Can I have more than one PayPal account?
PayPal's terms of service say you should have only one account per person. If you need a separate account for business purposes, you should open a Business account instead of a second Personal account. Using multiple accounts to avoid limits or hide activity can result in PayPal closing all of them.