Yes, PayPal can pull money from a savings account, but only through a specific setup
PayPal does not connect directly to your savings account the way it connects to a checking account. Instead, you link your savings account as a backup funding source—meaning PayPal will only use it if your primary payment method (usually a debit card or checking account) declines or has insufficient funds. You cannot set a savings account as your primary way to send money or pay for purchases.
The process is straightforward: you add your savings account routing number and account number to your PayPal wallet, verify the account with two small deposits, and then PayPal can access it when needed. The verification step takes three to five business days.
Key Takeaways
- PayPal accepts savings accounts only as backup funding sources, not as primary payment methods for sending money or making purchases.
- You must verify a savings account by confirming two small test deposits that PayPal sends to your account, which takes three to five business days.
- Once verified, PayPal will only draw from your savings account if your primary funding source fails or has no available balance.
- Transfers from PayPal to a savings account take one to three business days and may incur a fee depending on your account type and transfer speed.
How to add a savings account to PayPal
Log into your PayPal account and go to Wallet, then select Link a bank account. Enter your routing number (the nine-digit code at the bottom left of your checks) and your full account number. PayPal will ask you to confirm the account type—select Savings.
PayPal will then send two small deposits (usually between $0.01 and $0.99 each) to your savings account. Check your bank statement after two to three business days, note the exact amounts, and return to PayPal to enter them. Once you confirm both amounts correctly, your savings account is verified and active as a backup funding source.
Do not attempt to verify the account before the deposits appear in your bank statement. If you enter incorrect amounts, PayPal will lock you out of verification for 24 hours before you can try again.
When PayPal will use your savings account
PayPal prioritizes payment methods in the order you set them. If you have a debit card or checking account listed as primary and it has available funds, PayPal will use that first. Your savings account only activates if the primary method declines (due to insufficient funds, a frozen card, or an expired payment method) or if you manually select it during checkout.
This backup structure exists because savings accounts typically have withdrawal limits—many banks allow only six transfers per month before charging a fee. PayPal avoids triggering those limits by using savings accounts sparingly.
Transferring money from PayPal back to your savings account
You can move money out of PayPal to your savings account through a standard bank transfer. Go to Wallet, select Transfer Money, choose Transfer to your bank, and select your savings account from the list. Enter the amount and confirm.
Standard transfers take one to three business days and are free. PayPal also offers Instant Transfer to a debit card linked to the same savings account, which completes in minutes but costs $0.25 per transfer. You cannot use Instant Transfer to send money directly to a savings account—only to a debit card.
If your savings account is not appearing in the transfer list, it may not be fully verified yet. Wait until the verification process completes before attempting a transfer.
Fees and limits tied to savings accounts
PayPal itself does not charge a fee to link or use a savings account as a backup funding source. However, your bank may charge you if PayPal's use of the account triggers your monthly transfer limit. Most banks allow six withdrawals per month from a savings account before imposing a fee (typically $5 to $10 per excess withdrawal).
If you regularly need to pull money from savings through PayPal, consider whether a checking account would be more practical, since checking accounts have no federal transfer limits. Alternatively, transfer money from savings to checking manually once a month to avoid surprise fees.
What happens if your savings account information changes
If you close your savings account or your bank issues a new account number, you must update PayPal immediately. Go to Wallet, find the linked account, and select Remove. Then add the new account using the same verification process (two test deposits, three to five business days).
If PayPal attempts to use an outdated savings account and the transaction fails, the payment will fall back to your next available funding source. You will receive a notification that the primary method declined, but the transaction may still go through if another method is active.
Frequently Asked Questions
Can I send money directly from my savings account through PayPal?
No. You can only receive money into a savings account or use it as a backup if your primary payment method fails. To send money, you need a checking account, debit card, or credit card linked as your primary funding source.
How long does it take to verify a savings account?
The verification process takes three to five business days. PayPal sends two small test deposits to your account, and you must confirm the amounts once they appear in your bank statement. The entire process is free.
Will PayPal charge me if my bank limits savings withdrawals?
PayPal does not charge you, but your bank will if PayPal's use of your savings account exceeds your monthly withdrawal limit (usually six per month). Check your bank's savings account rules before using it as a PayPal backup.
What if I want to use my savings account as my main payment method?
PayPal does not support this. If you need to spend directly from savings, transfer money to a checking account or use a debit card tied to that account instead.
Can I remove my savings account from PayPal anytime?
Yes. Go to Wallet, select the savings account, and choose Remove. The account will be unlinked immediately, and PayPal will no longer be able to access it.