How to transfer money from PayPal to your bank account
You can move money from PayPal to your bank account in a few minutes using PayPal's transfer feature. The money does not arrive when ready — it typically takes one to three business days, depending on your bank. PayPal does not charge a fee for standard transfers to a linked U.S. bank account, though faster options exist if you need the money sooner.
The process requires that your bank account is already connected to your PayPal account. If you have not done that yet, you will need your bank's routing number and your account number, both of which appear on a check or in your bank's mobile app or website.
Key Takeaways
- Standard transfers from PayPal to your bank account take one to three business days and cost nothing.
- Your bank account must be linked to PayPal before you can transfer money, which requires your routing number and account number.
- You can transfer money through the PayPal website or mobile app by going to your wallet, selecting your bank account, and entering the amount.
- when ready transfers are available for an additional fee if you need money the same day, though the fee varies based on the amount you transfer.
- Money transferred to your bank account is final and cannot be reversed once it leaves PayPal, so double-check the amount and account before confirming.
Linking your bank account to PayPal
Before you can transfer money, PayPal needs to know which bank account to send it to. Log into your PayPal account on the website or open the mobile app, then go to Settings or your account menu. Look for "Linked banks and cards" or "Bank accounts" — the exact wording depends on whether you are using the website or app.
Select "Link a bank account" and enter your bank's name. PayPal will ask for your routing number and account number. Your routing number is a nine-digit code that identifies your specific bank branch; your account number is unique to you. Both appear on the bottom left of any check you have from that account. If you do not have a check, log into your bank's website or app — most banks display both numbers in the account details section.
After you enter these numbers, PayPal will verify the account by making two small deposits (usually under one dollar each) to your bank account. This takes a few business days. Once the deposits arrive, you return to PayPal and confirm the amounts to prove you control the account. Only then can you transfer money.
The standard transfer: one to three business days, no fee
Once your bank account is linked and verified, transferring money is straightforward. On the PayPal website, click "Wallet" at the top, then select "Transfer money." On the mobile app, tap the menu icon, then "Wallet," then "Transfer money." PayPal will show you the linked bank accounts you have on file.
Select the bank account you want to transfer to, then enter the amount. PayPal will show you the expected arrival date — usually one to three business days from the date you initiate the transfer. Review the amount and account one more time, because once you confirm, the transfer cannot be stopped or reversed.
Click "Transfer now" or the equivalent button. PayPal will send you a confirmation email with a reference number. Keep this number in case you need to contact PayPal about the transfer later. The money will appear in your bank account within the timeframe PayPal stated, though it may arrive sooner.
when ready transfers: same-day money for a fee
If you need the money the same day, PayPal offers when ready transfers to a debit card linked to your PayPal account. This is different from a bank account transfer — it goes to a debit card instead. The fee for when ready transfers varies based on how much you are moving, typically ranging from around one to two percent of the amount, with a minimum fee of around fifty cents.
To use when ready transfer, you must have a debit card linked to your PayPal account. Go to "Transfer money" as described above, but select "when ready transfer to your debit card" instead of your bank account. Enter the amount, review the fee PayPal will charge, and confirm. The money should appear on your debit card within minutes, though it may take up to an hour in rare cases.
when ready transfer is useful when you need cash urgently, but the fee means it costs more than waiting one to three days. If you can wait, the standard bank transfer saves you money.
What happens if the transfer fails
Transfers occasionally fail if the bank account information is incorrect, if your bank rejects the transfer, or if there is a technical problem on PayPal's end. If this happens, PayPal will send you an email explaining why. The money returns to your PayPal balance, usually within one to three business days.
The most common reason for failure is a mismatch between the account number or routing number you entered and what your bank has on file. If you see an error message, log into your bank's website or call the number on the back of your debit card to confirm your routing number and account number are correct. Then try the transfer again with the verified information.
If the transfer fails repeatedly, contact PayPal's customer service through the app or website. They can see the error details and may be able to resolve the issue or suggest an alternative method to move your money.
Transfers from PayPal Credit or a PayPal balance
If you have money in your PayPal balance — perhaps from selling something or receiving a payment — you transfer it the same way as described above. Select "Transfer money," choose your bank account, enter the amount, and confirm.
PayPal Credit is different. PayPal Credit is a line of credit that PayPal offers, similar to a credit card. You cannot transfer a PayPal Credit balance to your bank account. If you have borrowed money through PayPal Credit, you must pay it back to PayPal, not transfer it elsewhere. You can pay your PayPal Credit balance using your bank account, debit card, or other payment method linked to your PayPal account.
Fees and limits on transfers
Standard transfers to a U.S. bank account are free. when ready transfers to a debit card cost a fee based on the amount, usually one to two percent. International transfers (to a bank account outside the United States) may have different fees and longer timelines — PayPal's website will show you the fee before you confirm.
PayPal does not publicly state a maximum transfer amount, but your bank may have its own limits on how much money can be deposited in a single transaction. If you are transferring a large sum, contact your bank first to make sure they will accept it. Some banks flag unusually large deposits for review, which can delay the money reaching your account.
Frequently Asked Questions
Can I transfer money from PayPal to someone else's bank account?
No. PayPal transfers only go to a bank account or debit card linked to your own PayPal account. To send money to someone else, use PayPal's "Send money" or "Request money" feature instead, which transfers funds directly between PayPal accounts or to their bank account if they have that set up.
Why is my transfer taking longer than three business days?
Delays usually happen over weekends or holidays, when banks process fewer transactions. If your transfer was initiated on a Friday, it may not arrive until Wednesday or Thursday. If it has been longer than three business days since you initiated the transfer and it still has not arrived, check your PayPal account to see if there is an error message, then contact your bank to confirm they have not received it.
What if I entered the wrong bank account number?
If you catch the mistake before confirming the transfer, cancel it and start over with the correct account. If you already confirmed it, the transfer will likely fail and the money will return to your PayPal balance. Once it returns, you can transfer it again to the correct account. If the money went to the wrong account, contact PayPal when ready — they may be able to recover it, though this is not always possible.
Do I need to pay taxes on money I transfer from PayPal to my bank account?
Transferring your own money from PayPal to your bank is not a taxable event. However, if the money in your PayPal account came from selling goods or services, that income may be taxable depending on the amount and your location. PayPal reports large transactions to the IRS, so keep records of where the money came from.
Can I set up automatic transfers from PayPal to my bank account?
PayPal does not offer automatic recurring transfers. You must initiate each transfer manually. However, you can transfer money as often as you want — there is no limit on how many transfers you can make per day or month, as long as you have money in your PayPal balance to transfer.