What you need to open a PayPal account
You can open a PayPal account in about 10 minutes with an email address, a password, and basic personal information. PayPal does not charge you to create an account. You will need to link a bank account, debit card, or credit card before you can send or receive money, but you can complete the account setup without doing that first.
PayPal offers two account types: Personal and Business. A Personal account is free and lets you send money to friends, pay for online purchases, and receive payments. A Business account is also free but includes invoicing tools and is designed for people who sell goods or services. Most people start with Personal.
You must be at least 18 years old and a resident of a country where PayPal operates. PayPal is available in more than 200 countries and regions, though the features available to you depend on where you live.
Key Takeaways
- You need only an email address and password to create a PayPal account; linking a payment method comes after.
- PayPal offers Personal accounts for everyday use and Business accounts for selling or invoicing, both free to open.
- The verification process takes a few minutes for email confirmation and up to 24 hours if PayPal needs to confirm your identity.
- You must add a payment method (bank account, debit card, or credit card) before you can send money or withdraw funds.
- PayPal protects your account with encryption and fraud monitoring, but you are responsible for keeping your password secure.
Step 1: Go to PayPal and enter your email
Visit paypal.com and click the "Sign Up" button, usually located at the top right of the page. Select "Personal Account" unless you plan to invoice clients or sell items regularly. Enter your email address in the field provided.
Use an email address you check regularly and can access from your phone or computer. PayPal will send you a confirmation link to this address, so if you enter it wrong, you will not be able to verify your account. If you already have a PayPal account linked to that email, PayPal will tell you and ask if you want to log in instead.
Step 2: Create a password and confirm your identity
PayPal will ask you to create a password. Use a combination of uppercase and lowercase letters, numbers, and symbols to make it strong. Do not use your name, email address, or a password you use for other accounts. Write it down somewhere safe or use a password manager.
Next, PayPal asks for your full name, date of birth, and address. Enter the information exactly as it appears on your government ID or bank account. PayPal uses this to verify you are who you say you are and to comply with anti-money-laundering rules. If the information does not match records PayPal can check, you may need to upload a photo of your ID later.
Step 3: Confirm your email address
PayPal sends a confirmation email to the address you provided. Open your email inbox (check spam if you do not see it within a few minutes) and click the link in the PayPal message. This confirms that you own the email address and can receive messages from PayPal.
If you do not confirm your email within 24 hours, the link expires and you will need to request a new one. Once you click the link, your account is created and you can log in.
Step 4: Add a payment method
After you log in, PayPal asks you to add a way to fund your account. You can link a bank account, debit card, or credit card. To link a bank account, you will need your routing number and account number, which you can find on a check or by logging into your bank's website.
If you link a debit or credit card, PayPal asks for the card number, expiration date, and CVV (the three-digit code on the back). PayPal may place two small deposits in your bank account (usually under $1 each) to confirm it is yours. You will need to verify these amounts in your PayPal account within 30 days.
You do not have to add a payment method right away. You can skip this step and add one later when you are ready to send money or make a purchase.
Step 5: Review your account settings and security
Once your payment method is confirmed, log into your account and go to Settings (usually a gear icon). Review your contact information, make sure your email address is correct, and check that your payment method is listed.
Turn on two-factor authentication for extra security. This means PayPal will ask for a code from your phone or email every time you log in from a new device. Go to Settings, find Security, and follow the prompts to set it up. This protects your account if someone learns your password.
What happens if PayPal asks for more information
Sometimes PayPal flags an account for additional review, especially if the information you entered does not match what they can verify through public records or your bank. PayPal will send you an email asking you to upload a photo of your ID, a utility bill, or another document.
Upload a clear photo of the front and back of your ID (driver's license, passport, or state ID card work). Make sure your face is visible and the text is readable. PayPal usually reviews documents within 24 hours. If there is a problem, they will tell you what to fix and ask you to resubmit.
If PayPal cannot verify your identity after you submit documents, they may limit your account or ask you to call their support line. This is rare, but it can happen if the information you provided does not match your ID or if PayPal suspects fraud.
How to use your account once it is set up
Once your account is active and your payment method is confirmed, you can send money to anyone with an email address, pay for online purchases at stores that accept PayPal, and receive payments from others. To send money, click "Send Money" in your account, enter the recipient's email address or phone number, and choose the amount.
If you receive money, it lands in your PayPal balance. You can spend it at stores that accept PayPal, send it to someone else, or transfer it to your bank account. Transfers to your bank account usually take one to three business days, depending on your bank.
PayPal charges fees for some transactions. Sending money to friends and family in the same country is free if you use your bank account or PayPal balance, but using a credit or debit card costs a small percentage. Receiving money as a business or for goods and services costs a percentage of the amount received. PayPal shows you the fee before you complete any transaction.
Frequently Asked Questions
Can I open a PayPal account without a bank account?
Yes. You can create an account with just an email address and password. However, you will need to link a debit card or credit card before you can send money or withdraw funds to a card. You cannot withdraw money to a bank account without linking one.
What if I forget my PayPal password?
Go to paypal.com and click "Log In". Below the login fields, click "Forgot your password?" PayPal sends a reset link to your email address. Click the link, create a new password, and log in. If you cannot access the email address linked to your account, contact PayPal support.
Does PayPal charge a monthly fee to keep an account open?
No. PayPal does not charge you to have a Personal account. You only pay fees when you send money using a credit card, receive money as a business, or use certain services. Sending to friends and family with your bank account or PayPal balance is free.
How long does it take to verify my account?
Email verification takes a few minutes once you click the confirmation link. If PayPal needs to verify your identity with documents, it usually takes 24 hours. In rare cases, it can take longer if PayPal needs to contact your bank or if there is a discrepancy in your information.
Can I have more than one PayPal account?
PayPal allows one Personal account and one Business account per person, but both must use different email addresses. If you try to create a second account with the same email, PayPal will ask you to log into your existing account instead. Using multiple accounts to avoid limits or hide activity violates PayPal's terms.