What you need to open a PayPal account

You can open a PayPal account in about 15 minutes with an email address, a valid government ID, and either a bank account or debit card. PayPal does not charge to create the account itself. You will need to verify your identity and link at least one payment method before you can send or receive money.

PayPal offers two account types: Personal and Business. A Personal account is free and works for sending money to friends, paying bills, and receiving payments. A Business account is also free to create but includes invoicing tools and is designed for people who sell goods or services. Most people start with Personal unless they plan to run a business.

The verification process is automatic for most people — PayPal checks your information against public records in real time. If you pass, your account is ready to use immediately. If verification stalls, PayPal will ask you to upload a photo of your ID or provide additional details, which usually takes one to three business days.

Key Takeaways

  • You need an email address, government ID, and a bank account or debit card to open a PayPal account, and the whole process takes about 15 minutes.
  • PayPal verifies your identity automatically in most cases, but may ask for a photo of your ID if something does not match their records.
  • A Personal account is free and covers sending money to friends and paying bills; a Business account is also free but adds invoicing and is meant for sellers.
  • You must link and confirm a payment method before you can send money, though you can receive money as soon as your account is verified.
  • PayPal charges no fee to create an account, but does charge fees when you send money internationally or receive payments as a business.

Step-by-step: creating your account

Go to paypal.com and click "Sign Up" in the top right corner. Choose Personal or Business, then enter your email address and create a password. PayPal will send a confirmation link to that email — click it to verify the address is yours.

Next, enter your full name, date of birth, and address. PayPal uses this information to verify your identity against public records. If you have a Social Security number, enter it; if not, PayPal may ask for additional documents later. Then link a payment method: either a bank account (you will need your routing and account number) or a debit card (card number, expiration date, and CVV).

PayPal will verify your bank account by depositing two small amounts (usually under $1 each) and asking you to confirm the exact totals within a few days. Debit cards verify instantly. Once your payment method is confirmed, your account is active and you can send money.

What happens during identity verification

PayPal runs your name, date of birth, and address through automated verification systems. If everything matches, you will see a confirmation screen and your account is ready. This happens for most people within seconds.

If PayPal cannot verify you automatically, you will receive an email asking you to upload a photo of your government ID — a driver's license, passport, or state ID card. Take a clear photo of the front and back, upload both images, and PayPal will review them. This manual review usually takes one to three business days. You can still receive money while waiting, but cannot send it until verification is complete.

In rare cases, PayPal may ask you to provide proof of address — a recent utility bill, lease, or bank statement with your name and current address. If this happens, upload a clear photo or PDF and wait for approval.

Linking a bank account versus a debit card

A bank account and a debit card both work as payment methods, but they behave differently. A debit card verifies instantly and you can send money right away. A bank account takes three to five business days to verify because PayPal deposits two small amounts and waits for you to confirm the exact totals — this extra step proves you own the account.

Bank accounts are safer for large transfers because they connect directly to your checking or savings account and do not expose your card number. Debit cards are faster if you need to send money today. You can link both and choose which one to use each time you send money.

If you link a bank account, PayPal will ask for your routing number and account number. You can find these on a check, in your bank's mobile app, or by calling your bank. Do not use a credit card as your payment method — PayPal does not accept credit cards for sending money, only for receiving payments if you are a business.

Fees you will and will not pay

Creating a PayPal account is free. Sending money to friends in the United States using your bank account or debit card is free. Receiving money from friends is free. These are the most common uses and they cost nothing.

You will pay a fee if you send money internationally (the fee depends on the country and the amount), if you receive a payment as a business (2.2% plus $0.30 per transaction in the United States), or if you use certain payment methods like a credit card to send money. PayPal shows you the exact fee before you confirm any transaction, so you will never be surprised.

If you transfer money from PayPal to your bank account, PayPal charges $0.25 per transfer in the United States. Transfers take one to three business days. You can avoid this fee by using your PayPal balance to pay bills or send money to other people instead of withdrawing to your bank.

What to do if verification gets stuck

If PayPal asks for your ID and you upload it but do not hear back within five business days, log into your account and check the Resolution Center — PayPal posts updates there. If the status still says "pending," contact PayPal support through the Help Center on paypal.com. Have your ID and a photo of it ready.

If PayPal denies your verification, the email will explain why — usually because the name on your ID does not match what you entered, or because your address could not be confirmed. You can appeal by uploading additional documents or correcting the information you provided. If you entered your name wrong, you can edit it in your account settings and resubmit.

If you cannot verify your account after multiple attempts, you may need to contact PayPal support by phone. The phone number is in the Help Center, and wait times vary by time of day. Have your ID, proof of address, and the email address you used to sign up ready when you call.

Keeping your account secure after you open it

Enable two-factor authentication as soon as your account is active. Go to Settings, then Security, and turn on two-step verification. PayPal will send a code to your phone or email each time someone tries to log in from a new device. This stops someone who steals your password from accessing your account.

Use a strong, unique password — one you do not use anywhere else. If you reuse passwords and one website gets hacked, a criminal can try that password on your PayPal account. A password manager like Bitwarden or 1Password can generate and store strong passwords for you.

Do not click links in emails claiming to be from PayPal. Criminals send fake emails that look like PayPal to steal login information. Instead, go directly to paypal.com in your browser or open the PayPal app. If you are unsure whether an email is real, log into your account and check the Resolution Center — PayPal posts all official messages there.

Frequently Asked Questions

Can I open a PayPal account without a bank account?

Yes. You can link a debit card instead of a bank account. PayPal verifies debit cards instantly, so you can start sending money right away. You will still need a government ID to verify your identity.

What if I do not have a government ID?

PayPal requires a government-issued ID to open an account. This can be a driver's license, passport, state ID card, or tribal ID. If you do not have one, you will need to obtain one before you can create a PayPal account. Some states offer free ID cards for people who cannot afford a driver's license.

How long does it take to receive money after I open my account?

You can receive money as soon as your account is verified, which usually happens within seconds. The person sending you money does not have to wait for anything. The money will appear in your PayPal balance immediately, and you can transfer it to your bank account within one to three business days.

Can I change my email address after I open my account?

Yes. Go to Settings, then Email, and add a new email address. PayPal will send a confirmation link to the new address. Once you confirm it, you can set it as your primary email or keep your old one active as a backup. You cannot remove your original email entirely, but you can change which one you use to log in.

What happens if I forget my password?

Go to paypal.com and click "Log In," then click "Forgot password?" Enter your email address and PayPal will send you a link to reset it. Click the link, create a new password, and log in. If you do not receive the email, check your spam folder or contact PayPal support.