How to transfer PayPal money 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 — usually within one to three business days, though the exact timing depends on your bank. You need to have added and confirmed a bank account to PayPal first, which takes a few minutes and a small verification step.
The process is free if you transfer to a U.S. bank account. PayPal does not charge you. Your bank might take the money slightly differently depending on whether it is a checking account, savings account, or money market account, but the transfer itself works the same way.
Key Takeaways
- You must add your bank account to PayPal and confirm it before you can transfer money, which involves PayPal sending two small deposits to verify the account is yours.
- Transfers to U.S. bank accounts are free and usually arrive within one to three business days, though some banks process them more slowly.
- You can transfer any amount from your PayPal balance, and you can set up transfers to happen automatically on a schedule if you want.
- If your transfer does not arrive after five business days, contact your bank first — the delay is usually on their end, not PayPal's.
Adding and confirming your bank account
Before you can transfer money, PayPal needs to know your bank account is real and belongs to you. Start by logging into PayPal on a computer or the app, then go to Settings (the gear icon) and select Wallet. Click "Link a bank account" and enter your routing number and account number — you can find both at the bottom of a check, or call your bank and ask.
PayPal will then send two small deposits (usually under $1 each) to that account over the next few days. Once they arrive, you go back to PayPal, confirm the exact amounts, and your account is verified. This whole process takes about three to five business days. After that, you can transfer money whenever you want.
If you have already linked a bank account to PayPal in the past, you may not need to do this again — you can skip straight to the transfer step. But if you are using a new bank account or it has been a long time, PayPal may ask you to re-confirm.
The actual transfer: step by step
Once your bank account is confirmed, transferring money is quick. Log into PayPal, go to Wallet, and look for your bank account in the list. Click on it, then select "Transfer money" or "Withdraw" (the exact wording varies depending on whether you are on the app or website).
Enter the amount you want to move and confirm. PayPal will show you the expected arrival date — usually one to three business days. Click the button to complete the transfer, and you are done. The money leaves your PayPal balance right away and heads to your bank.
You can transfer as much as you want in a single transfer, or you can do multiple smaller transfers. There is no limit PayPal enforces, though your bank might have its own rules about how much money it will accept in one deposit.
Why transfers sometimes take longer than expected
PayPal says one to three business days, but sometimes money takes longer. This is almost always because of your bank, not PayPal. Banks process deposits at different speeds, and some are slower than others. A transfer that leaves PayPal on a Friday might not show up in your account until Tuesday or Wednesday, because banks do not process deposits over the weekend.
If five business days have passed and the money still has not arrived, log into PayPal and check the status of the transfer in your transaction history. If it shows as completed on PayPal's end, contact your bank's customer service and give them the transfer date and amount. They can tell you where the deposit is stuck and how long it will take.
Very rarely, a transfer fails because the account information changed or there was a typo when you set it up. PayPal will usually email you if this happens and ask you to confirm your account details again.
Automatic transfers and standing schedules
If you move money from PayPal to your bank regularly, you can set up an automatic transfer instead of doing it by hand each time. In your Wallet settings, look for "Automatic transfers" or "Recurring transfers" and choose how much you want to move and how often — weekly, monthly, or on a schedule you set.
Once you turn on automatic transfers, PayPal moves that amount on the day you choose, and it goes to whichever bank account you have selected as your default. You can change the amount or pause the transfers anytime, and you can see a history of all automatic transfers in your account activity.
Automatic transfers are useful if you receive money in PayPal regularly — for example, if you sell things online or receive payments from clients — and you want that money in your checking account without having to remember to transfer it yourself.
What happens if you transfer more than your PayPal balance
You cannot transfer more money than you have in your PayPal account. If you try, PayPal will show an error and ask you to enter a smaller amount. Your PayPal balance is the total of all money sitting in your account right now — not including money that is on hold, pending, or tied up in a sale.
If you have money pending (for example, from a recent sale that has not cleared yet), that money is not available to transfer until the hold lifts. PayPal will tell you when that happens, usually within a few days. Once it clears, you can transfer it like any other money in your account.
Transferring from PayPal to a savings account or money market account
You can transfer to a savings account or money market account the same way you transfer to a checking account — the process is identical. When you add the account to PayPal, just enter the routing number and account number from your savings account instead. PayPal does not care what type of account it is.
The only difference is how your bank handles the deposit once it arrives. Some banks limit how many transfers you can make to a savings account per month (this is a federal rule, not PayPal's rule), so if you plan to transfer frequently, a checking account might be simpler. But for occasional transfers, a savings account works fine.
Frequently Asked Questions
Can I transfer PayPal money to someone else's bank account?
No. PayPal only lets you transfer money to a bank account that is registered in your own name. If you want to send money to someone else, use PayPal's "Send money" feature instead, which lets you transfer to their PayPal account or, in some cases, directly to their bank account — but only if they have set that up in their PayPal settings.
What if I do not have a bank account yet?
You cannot transfer from PayPal without a bank account linked to your name. If you do not have one, you can open a basic checking account at most banks or credit unions with just an ID and a small deposit. Some banks also offer online-only accounts that you can open entirely on your phone. Once you have an account, you can link it to PayPal and start transferring.
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 — you are just moving money you already earned. However, the money you received in PayPal in the first place may be taxable depending on where it came from. If you earned it through work or sales, you may owe taxes on it. Talk to a tax professional or check the IRS website if you are unsure.
Can I reverse a transfer after I send it?
Once a transfer leaves PayPal and arrives at your bank, you cannot reverse it through PayPal. If you sent it to the wrong account by mistake, contact your bank right away — they may be able to recall it, but only within a short window. If the transfer is still pending in PayPal (not yet completed), you can cancel it before it processes.
Why does PayPal ask for my routing number and account number?
PayPal needs these numbers to send money to the correct bank and the correct account within that bank. The routing number tells PayPal which bank to send to, and the account number tells the bank which account to deposit the money into. This is the standard way all banks and payment services move money electronically.