How to transfer money from PayPal to your bank account

To move money from PayPal to your bank account, you log into PayPal, go to your Wallet, select your bank account, and choose how much to transfer. PayPal then sends the money to that account over the next few business days. The process takes about three to five business days for most banks, though some take longer. You do not pay a fee for this transfer — it is free.

The catch is that your bank account has to be linked to PayPal first, and PayPal verifies it by sending two small deposits to your account. This verification step usually takes one to two business days. Once your account is verified, transfers are straightforward.

Key Takeaways

  • PayPal transfers to your bank account are free and take three to five business days, though some banks take longer.
  • Your bank account must be linked and verified before you can transfer money, which involves PayPal sending two small test deposits.
  • You can transfer any amount from your PayPal balance, but the money sits in PayPal until you initiate the transfer yourself.
  • If you need money faster, PayPal offers an when ready transfer option to a debit card, though this charges a small fee.

Linking your bank account to PayPal

Before you can transfer money out, PayPal needs to confirm that the bank account is actually yours. To start, log into your PayPal account on a computer or the PayPal app. Go to Settings (usually a gear icon), then select Wallet or Bank Accounts. Choose "Link a bank account" and enter your routing number and account number. You can find both on the bottom left of a check, or call your bank to ask.

After you enter this information, PayPal sends two small deposits — usually between 1 and 3 cents each — to your bank account. This takes one to two business days. Once the deposits arrive, you go back into PayPal and confirm the exact amounts. This confirms to PayPal that you control the account. After that, the account stays linked and you can transfer money whenever you want.

Starting a transfer to your bank account

Once your bank account is verified, transferring money is straightforward. Log into PayPal and go to your Wallet. You should see your linked bank account listed. Click on it and select "Transfer money to your bank." Enter the amount you want to move and confirm. PayPal will show you the expected arrival date — usually three to five business days out.

The money leaves your PayPal balance right away, but it does not arrive at your bank when ready. Different banks process transfers at different speeds. Some deposit the money within two business days; others take the full five. If you need to know exactly when to expect it, call your bank and give them the date PayPal showed you.

Why transfers take several days

PayPal does not hold onto your money on purpose — the delay comes from how the banking system itself works. When you transfer money, PayPal sends an instruction to the Federal Reserve or to a clearing house, which then routes it to your specific bank. Your bank then processes it on their end and deposits it into your account. Each of these steps takes time, especially if the transfer happens over a weekend or holiday.

Some banks are faster than others. Large national banks like Chase or Bank of America often process transfers within two business days. Smaller regional banks or credit unions may take the full five. If you are waiting for money and it has been five business days, contact your bank — they can tell you whether the transfer arrived on their end and why it has not shown up in your account yet.

when ready transfers to a debit card instead

If you cannot wait three to five days, PayPal offers an when ready transfer option, but it comes with a cost. Instead of sending money to your bank account, you can transfer it to a debit card linked to your PayPal account. The money arrives within 30 minutes, but PayPal charges a fee — usually around 1.5% of the amount you transfer, with a minimum fee of 25 cents. For a $100 transfer, you would pay roughly $1.50.

This option makes sense if you need cash urgently and the fee is worth it to you. For everyday transfers where you can wait a few days, the free bank account transfer is the better choice. You can set up a debit card transfer the same way you link a bank account — through your Wallet settings.

What to do if your transfer does not arrive

If your transfer was supposed to arrive and it has not shown up after five business days, start by checking your PayPal transaction history. Log into PayPal, go to Activity or Recent Transactions, and find the transfer. It should show a status — either "completed," "pending," or "failed." If it says completed, the money left PayPal and your bank should have received it.

Call your bank next. Give them the date you initiated the transfer and the amount. Ask them to search for an incoming ACH transfer (that is the technical name for bank-to-bank transfers). If they find it, they can tell you why it has not posted to your account yet — sometimes it is a processing delay, sometimes a technical issue on their end. If they cannot find it, contact PayPal support with your transaction ID and let them know the transfer never arrived.

Transferring money you received from others

If someone sent you money through PayPal, the process is the same. The money lands in your PayPal balance, and you transfer it to your bank account using the steps above. The only difference is timing — if someone sends you money on a Friday evening, PayPal may not process the transfer request until Monday, which delays everything by a day or two.

Some people keep money in PayPal on purpose because they use it to buy things online or send money to others. If that is your plan, you do not have to transfer it out. But if you want the money in your actual bank account where you can use it at an ATM or write a check, the transfer is free and straightforward once your account is linked.

Frequently Asked Questions

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

No, PayPal transfers only go to a bank account that is linked to your own PayPal account. If you want to send money to someone else, you send it through PayPal to their email address or phone number, and they decide what to do with it — transfer it to their own bank, keep it in PayPal, or spend it. You cannot direct PayPal to deposit money into another person's bank account.

What if I link the wrong bank account by mistake?

If you realize you entered the wrong account number, go back to your Wallet settings and remove the account before you transfer any money. PayPal will not let you remove an account that has a pending transfer, so cancel the transfer first if you have already started one. Then you can delete the account and link the correct one.

Do I have to transfer all my PayPal balance at once?

No, you can transfer any amount you want, as long as it does not exceed your available balance. You might transfer $50 one day and $100 the next. Each transfer is separate and takes three to five business days. There is no limit on how many transfers you can make, and each one is free.

What happens if my bank account is closed after I link it to PayPal?

If you close a bank account that is linked to PayPal, you should remove it from your PayPal Wallet right away. If you try to transfer money to a closed account, the transfer will fail and the money will bounce back to your PayPal balance. You can then link a new account and transfer again, but it adds extra time.

Can I transfer money from PayPal to a savings account instead of checking?

Yes, you can link either a checking or savings account to PayPal. The process is the same — PayPal sends the verification deposits to whichever account you choose. Some people prefer to transfer to savings to avoid spending the money right away. The transfer time is the same regardless of account type.