How to transfer PayPal funds to your bank account
To move money from PayPal to your checking account, log into PayPal, go to your Wallet, select your bank account, and choose either a standard transfer (3 to 5 business days, free) or an instant transfer (arrives within 30 minutes, costs 1.75% of the amount). You must have a verified bank account linked to your PayPal account before either option works.
The standard transfer is the default and costs nothing. The instant transfer is faster but charges a percentage fee—on a $100 transfer, you pay $1.75. Both routes move the full balance you choose, and both require you to initiate the transfer yourself; PayPal does not automatically move money out of your account.
Key Takeaways
- Standard transfers to your bank account take 3 to 5 business days and have no fee; instant transfers arrive within 30 minutes but cost 1.75% of the amount transferred.
- Your bank account must be verified in PayPal before you can transfer money—verification usually takes one business day after you add the account.
- You control when money leaves PayPal; it does not move automatically, so you must initiate each transfer through your Wallet.
- Weekend and holiday transfers may take longer to appear in your bank account, even though PayPal processes them immediately.
- If a transfer fails or is delayed, check that your bank account is still verified and that PayPal has not flagged your account for review.
Adding and verifying your bank account in PayPal
Before you can transfer money out, you need to link a checking or savings account to PayPal. Go to Settings, select Wallet, and choose Link a Bank Account. 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 you to confirm the account type (checking or savings) and the account holder's name.
After you submit the information, PayPal deposits two small amounts (usually under $1 each) into your bank account within one business day. You then return to PayPal, go to Wallet, and confirm those two amounts. This verification step proves you own the account. Once confirmed, your account is ready to receive transfers.
If you do not see the two deposits after two business days, check that you entered the routing and account numbers correctly. If the numbers are wrong, delete the account from PayPal and add it again with the correct information. You cannot edit a linked account—you have to remove it and re-add it.
Standard transfer: free but slower
A standard transfer takes 3 to 5 business days and costs nothing. To start one, open PayPal, tap Wallet (or go to Wallet on desktop), select your linked bank account, and choose Transfer Money. Enter the amount you want to move and confirm. PayPal will show you the expected arrival date based on when you initiated the transfer and your bank's processing schedule.
The 3 to 5 business days starts the day after PayPal processes your request. If you transfer money on a Friday, the clock does not start until Monday. If you transfer on a holiday, the clock does not start until the next business day. Your bank may also take an extra day to post the money to your account, so a transfer initiated on Friday might not appear until the following Thursday.
Standard transfers are the right choice if you do not need the money immediately and want to avoid the 1.75% fee. Most people use standard transfers for regular bill payments or moving money they do not need right away.
Instant transfer: fast but with a fee
An instant transfer arrives within 30 minutes and costs 1.75% of the amount you transfer. To use it, go to Wallet, select your bank account, choose Transfer Money, and look for the Instant Transfer option. PayPal will show you the fee before you confirm—on a $100 transfer, you will see that $1.75 will be deducted, leaving $98.25 to arrive in your bank account.
Instant transfers work 24 hours a day, 7 days a week, including weekends and holidays. The money goes to your bank account within 30 minutes in most cases, though some banks take longer to display the deposit. If your bank account does not show the money after 30 minutes, check your PayPal transaction history to confirm PayPal sent it; if it shows as sent, contact your bank to ask where the deposit is.
Instant transfer is useful when you need cash quickly—for example, to cover an unexpected bill or move money before a deadline. The 1.75% fee is worth it only if the speed matters to you. If you can wait 3 to 5 days, the standard transfer saves you money.
What to do if a transfer fails or gets stuck
If a transfer does not arrive after the expected time, first check your PayPal transaction history to see the status. Go to Activity, find the transfer, and look for a status label. If it says Completed, the money left PayPal and your bank should have it—contact your bank to ask where it is. If it says Pending or Failed, PayPal is still processing it or something went wrong.
Common reasons a transfer fails include a bank account that is no longer verified, a mismatch between the account holder's name in PayPal and your bank records, or PayPal flagging your account for review. If your account is flagged, PayPal will send you a message asking you to confirm your identity or provide documents. Until you respond, transfers will not go through.
If your bank account is no longer verified, remove it from PayPal and add it again. You will have to wait for the two verification deposits again, which takes one business day. If the account holder's name does not match, contact PayPal support with your bank statement showing the correct name on the account.
Limits on how much you can transfer
PayPal does not publish a single transfer limit that applies to all accounts. Your limit depends on your account history, how long you have used PayPal, and whether PayPal has flagged your account. New accounts typically have lower limits than established ones. If you try to transfer more than your limit, PayPal will tell you the maximum amount you can move at that time.
If you need to transfer more than your current limit allows, you can split the transfer into multiple transactions. For example, if your limit is $5,000 and you have $7,000 in PayPal, transfer $5,000 now and $2,000 later. There is no penalty for multiple transfers, and you can do them back-to-back.
Your limit may increase over time as you use PayPal more. If you believe your limit is too low, contact PayPal support and ask them to review your account. They may increase it if your account is in good standing.
Frequently Asked Questions
Can I transfer money from PayPal to someone else's bank account?
No. PayPal transfers only go to the bank account linked to your own PayPal account. If you want to send money to someone else, use PayPal's Send Money feature to transfer to their PayPal account or email address, or use a different service like Venmo or a wire transfer through your bank.
What happens if I transfer money but then need it back in PayPal?
Once money leaves PayPal and arrives in your bank account, it is no longer in PayPal. You would have to transfer it back from your bank to PayPal using the same process in reverse. Some banks charge a fee for outgoing transfers, so check with your bank first.
Do I pay taxes on money I transfer from PayPal to my bank account?
Transferring money you already earned does not create a new tax event. However, if the money in PayPal came from selling goods or services, you may owe taxes on that income. Consult a tax professional about your specific situation, as tax rules depend on how much you earned and what you earned it for.
Why is my transfer taking longer than 5 business days?
Delays usually happen because of weekends or holidays in the processing window, or because your bank is slow to post deposits. Less often, PayPal has flagged your account and is reviewing it before releasing the transfer. Check your PayPal transaction history to see the status, and contact your bank if PayPal shows the transfer as completed but your account does not show it yet.
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 through your Wallet. If you want money to move regularly, you can set a reminder to transfer on the same day each week or month, but PayPal will not do it for you.