What you need to create a PayPal account
You can set up a PayPal account in about 10 minutes with an email address, a password, and basic personal information. PayPal does not charge you to open an account. You will need to decide whether you want a Personal account (for sending money to friends and paying for things online) or a Business account (if you plan to receive payments for goods or services). Most people start with Personal.
Before you begin, have your email address ready. You will also need either a debit card, credit card, or bank account number to link to PayPal later — though you can complete the account setup without linking one immediately. If you are under 18, you cannot open a PayPal account in your own name; a parent or guardian must open it and manage it.
Key Takeaways
- You can create a PayPal account with just an email address and password; linking a card or bank account comes after.
- Personal accounts are free and let you send money and pay online; Business accounts are also free but designed for people receiving regular payments.
- PayPal will ask you to confirm your email address and may ask security questions before you can send or receive money.
- Linking a bank account or card takes a few days if PayPal needs to verify small deposits, but you can use PayPal Balance immediately if you receive money first.
- Two-factor authentication is optional but strongly recommended to protect your account from unauthorized access.
Step-by-step account creation
Go to paypal.com and click "Sign Up" in the top right corner. Choose whether you want a Personal or Business account. Personal is the right choice if you are only sending money to friends, paying bills, or shopping online. Business is for people who will be receiving payments regularly — for freelance work, selling items, or running a small business.
Enter your email address and create a password. Your password should be at least 8 characters and include uppercase letters, lowercase letters, numbers, and symbols. PayPal will ask for your first name, last name, date of birth, and address. Fill in each field exactly as it appears on your government ID or bank account, because PayPal uses this information to verify your identity later.
Review PayPal's User Agreement and Privacy Policy, then check the box to agree. Click "Agree and Create Account." PayPal will send a confirmation email to the address you provided. Open that email and click the confirmation link. If you do not see the email within a few minutes, check your spam or junk folder.
Linking a bank account or card
After you confirm your email, PayPal will prompt you to link a payment method. You can skip this step and add one later, but you will need a linked card or bank account before you can send money or make purchases. Click "Link a Card" or "Link a Bank Account" depending on what you want to use.
If you link a debit or credit card, enter the card number, expiration date, and CVV (the three-digit security code on the back). PayPal will charge a small amount to the card — usually less than $1 — and then refund it. This is how PayPal verifies the card belongs to you.
If you link a bank account, you will need your routing number and account number. You can find both on a check or by logging into your bank's website. PayPal will make two small deposits to your account (usually within 1 to 3 business days) and ask you to confirm the amounts. Once you confirm, the account is verified and you can send money immediately.
Confirming your identity
PayPal may ask you to confirm additional information before you can send large amounts or receive money. This is part of their fraud prevention system. They might ask you to answer security questions, upload a photo of your ID, or confirm recent transactions. This process usually takes a few minutes to a few hours.
If PayPal flags your account for review, you will see a message in your account dashboard. Follow the instructions in that message — usually you will need to upload a photo of your government ID (driver's license, passport, or state ID card). Make sure the photo is clear and shows your full face and the entire ID. PayPal typically reviews these within 24 to 48 hours.
Setting up two-factor authentication
Two-factor authentication adds a second layer of security to your account. After you enter your password, PayPal will send a code to your phone or email, and you must enter that code to log in. This makes it much harder for someone to access your account even if they know your password.
To turn on two-factor authentication, log into your PayPal account and go to Settings (the gear icon in the top right). Click "Security" and then "Two-Factor Authentication." Choose whether you want codes sent to your phone via text message or to your email. PayPal will send a test code to confirm it works. Save your backup codes in a safe place — you can use these to log in if you lose access to your phone or email.
What you can do once your account is set up
With a confirmed PayPal account and a linked payment method, you can send money to anyone with an email address, pay for things on websites that accept PayPal, and request money from friends. You can also set up automatic payments for bills or subscriptions. If someone sends you money, it lands in your PayPal Balance, and you can transfer it to your bank account (which takes 1 to 3 business days) or keep it in PayPal to spend later.
If you opened a Business account, you can also create invoices, receive payments for goods or services, and access PayPal's seller protection tools. Personal accounts can receive money too, but PayPal may ask questions if you receive large or frequent payments, since Personal accounts are not designed for regular business activity.
Common problems during setup
If PayPal says your email is already registered, you may have created an account before and forgotten about it. Click "Forgot Password" on the login page and reset your password. If that does not work, contact PayPal Support through the Help Center on their website.
If your card or bank account is not being accepted, double-check that you entered the information exactly as it appears on your card or bank statement. Some banks block PayPal transactions the first time; if that happens, contact your bank and tell them to allow the charge, then try linking again. If you are using a prepaid card, some prepaid cards do not work with PayPal — check your card's terms or contact the card issuer.
If PayPal asks you to confirm your identity and you cannot upload an ID, you can contact PayPal Support through the Help Center. They may ask you to answer security questions or provide other proof of identity. This process can take longer but is still possible.
Frequently Asked Questions
Do I have to link a card or bank account right away?
No. You can create your PayPal account and confirm your email without linking anything. However, you will need to link a card or bank account before you can send money or make purchases. If someone sends you money first, it goes into your PayPal Balance and you can use it to pay for things without linking a payment method.
What is the difference between a Personal and Business account?
Personal accounts are free and designed for sending money to friends and shopping online. Business accounts are also free but include tools for invoicing, tracking sales, and receiving regular payments. If you only plan to send money occasionally, Personal is the right choice. If you are freelancing or selling items regularly, Business is better.
How long does it take to verify my bank account?
PayPal makes two small deposits to your bank account, which usually arrive within 1 to 3 business days. Once they arrive, you log back into PayPal and confirm the amounts. After you confirm, your account is verified immediately and you can send money right away.
Can I use PayPal if I do not have a bank account?
Yes. You can link a debit card or credit card instead of a bank account. PayPal will verify the card by charging and refunding a small amount. If you do not have a card either, you can still receive money into your PayPal Balance, but you will need to link a payment method eventually to transfer that money out.
Is PayPal safe to use?
PayPal uses encryption and fraud detection to protect your account. Your bank account and card numbers are not shared with sellers — they only see that you paid through PayPal. Turn on two-factor authentication for extra protection, use a strong password, and never share your login details with anyone.