PayPal transfers to your bank account take one to three business days, and the process depends on which transfer method you choose
PayPal offers three ways to move money out: a standard transfer (free, takes one to three business days), an when ready transfer (costs 1.5% of the amount, arrives in minutes), or a withdrawal to a debit card (free, takes one to three business days). The method you pick depends on how quickly you need the money and whether you want to pay a fee. Most people use the standard transfer because it costs nothing.
Before you can transfer anything, you need to link a bank account to your PayPal account. PayPal will verify the account by depositing two small amounts (usually under $1 each) and asking you to confirm the numbers. This verification step takes a few days but only happens once.
Key Takeaways
- Standard transfers are free and take one to three business days; when ready transfers cost 1.5% and arrive within minutes.
- You must link and verify a bank account before any transfer can happen, which involves confirming two small test deposits.
- The transfer amount must be at least $1 for standard transfers and at least $0.01 for when ready transfers, with no stated maximum.
- Transfers initiated on weekends or after 11:59 p.m. Eastern Time on weekdays will not begin processing until the next business day.
- If a transfer fails, PayPal returns the money to your PayPal balance within three to five business days.
How to link a bank account to PayPal
Log into your PayPal account and go to the Wallet section. Select "Link a bank account" and enter your routing number and account number. You can find both on a check or by logging into your bank's website. PayPal will ask whether the account is a checking or savings account.
Within one to two business days, PayPal deposits two amounts (usually between $0.01 and $0.99 each) into your bank account. Log back into PayPal, go to your bank account settings, and enter both amounts. Once you confirm them, the account is verified and ready to use for transfers.
If you do not see the deposits after three business days, check that you entered the routing and account numbers correctly. If they are wrong, delete the account from PayPal and start over with the correct numbers.
Standard transfer: free but slower
A standard transfer costs nothing and takes one to three business days. The money goes from your PayPal balance to your linked bank account. The transfer must be at least $1.
To start a standard transfer, go to your PayPal Wallet, select "Transfer money," and choose "Transfer to your bank." Select the bank account you want to use, enter the amount, and confirm. PayPal will show you the expected arrival date based on when you initiated the transfer.
Transfers initiated before 11:59 p.m. Eastern Time on a weekday begin processing that day. Transfers initiated after 11:59 p.m. or at any time on a weekend or holiday will not start processing until the next business day. If you transfer on a Friday at 11 p.m., the money will not arrive until Tuesday or Wednesday.
when ready transfer: faster but costs 1.5%
An when ready transfer arrives in minutes but costs 1.5% of the amount you send, with a minimum fee of $0.25. The transfer must be at least $0.01. If you transfer $100, PayPal deducts $1.50 and your bank receives $98.50.
To use when ready transfer, go to your PayPal Wallet, select "Transfer money," and choose "when ready transfer to your bank." Select your bank account, enter the amount, and confirm. The money should appear in your bank account within minutes, though PayPal says it can take up to 30 minutes in rare cases.
when ready transfer is only available if you have linked a debit card to your PayPal account in addition to your bank account. If you have not linked a debit card, you will see a message asking you to do so before you can use when ready transfer.
Withdrawal to a debit card
If you have a PayPal Cash or PayPal Cash Plus account, you can withdraw money to a linked debit card for free in one to three business days. This works the same way as a bank transfer but sends the money to your debit card instead.
To withdraw to a debit card, go to your PayPal Wallet, select "Transfer money," and choose "Withdraw to debit card." Select the card, enter the amount, and confirm. The money will appear as available balance on your debit card within one to three business days.
This option is useful if you do not want to wait for a bank transfer but do not want to pay the when ready transfer fee. The timing is the same as a standard bank transfer, so there is no speed advantage—only a different destination.
What happens if a transfer fails
A transfer can fail if your bank account information is incorrect, your bank rejects the deposit, or your PayPal account is limited. If a transfer fails, PayPal sends the money back to your PayPal balance within three to five business days. You will receive a notification explaining why the transfer failed.
The most common reason for failure is a mismatch between the name on your PayPal account and the name on your bank account. If the names do not match exactly, your bank may reject the deposit. Check that both accounts are registered under the same name and try again.
If your PayPal account is limited (usually due to unusual activity or a dispute), you cannot transfer money out until the limitation is lifted. PayPal will tell you how to resolve the issue in your account settings.
Timing and when transfers actually process
The one to three business day window for standard transfers does not include weekends or federal holidays. If you transfer money on a Friday afternoon, the earliest it can arrive is Monday or Tuesday. If you transfer on a holiday, the clock does not start until the next business day.
The exact timing also depends on your bank. Some banks post transfers as soon as they receive them; others hold them for a day or two before making them available. Check with your bank if a transfer arrives but is not yet available to spend.
when ready transfers are genuinely faster—usually minutes—but the 1.5% fee makes them expensive for regular use. Use when ready transfer only when you need the money urgently.
Frequently Asked Questions
Can I transfer money from PayPal to someone else's bank account?
No. PayPal transfers only go to a bank account registered under your own name. To send money to someone else, use PayPal's "Send money" feature, which lets you transfer to another PayPal user or to an email address. That person will receive the money in their PayPal account, not their bank account.
What is the maximum amount I can transfer?
PayPal does not publish a stated maximum for transfers. However, your bank may have limits on how much money it will accept in a single deposit. Check with your bank if you are transferring a large amount. Some banks also flag unusually large deposits for review, which can delay the transfer.
Do I have to pay taxes on money I transfer from PayPal to my bank?
Transferring your own money from PayPal to your bank is not a taxable event. However, the money in your PayPal account may have come from income, sales, or payments that are taxable. You owe taxes on the income itself, not on the transfer. Keep records of where the money came from.
Why is my transfer taking longer than three business days?
Check whether you initiated the transfer before 11:59 p.m. Eastern Time on a weekday. If you transferred after that time or on a weekend, the processing clock starts on the next business day. Also check that your bank account information is correct and that your PayPal account is not limited. If three business days have passed and the money has not arrived, contact PayPal support.
Can I cancel a transfer after I start it?
You can cancel a standard transfer before it leaves PayPal, which is usually within a few hours of initiating it. Once the transfer reaches your bank, you cannot cancel it through PayPal—you would need to contact your bank. when ready transfers cannot be cancelled because they arrive within minutes. Check your PayPal transaction history to see the status of your transfer.