The fastest way to transfer PayPal funds to your bank
You can move money from PayPal to a linked bank account in one of two ways: a standard transfer that takes one to two business days, or an instant transfer that arrives within 30 minutes. Standard transfers are free. Instant transfers cost a flat fee (currently $0.25 per transfer in the US, though this varies by country and may change). Both require you to have already added and confirmed your bank account in PayPal's settings.
The standard transfer is the default option and works for most situations where you are not in a hurry. If you need the money the same day or within hours, instant transfer is the only PayPal option, though the fee applies every time you use it.
Key Takeaways
- Standard transfers from PayPal to your bank account are free and take one to two business days to arrive.
- Instant transfers cost $0.25 per transaction and arrive within 30 minutes, but only if your account is may be able to access.
- Your bank account must be added to PayPal and confirmed before you can transfer money to it.
- Transfers on weekends or holidays may not process until the next business day, even if you choose instant transfer.
- If a transfer fails, PayPal will return the money to your PayPal balance within one to two business days.
How to add and confirm your bank account in PayPal
Before you can transfer money out, you need to link your bank account. Log into PayPal, go to Settings (the gear icon), select Wallet, then click Link a Bank Account. Enter your routing number and account number—both appear on the bottom left of a check, or you can find them in your bank's app or website. PayPal will then send two small deposits (usually under $1 each) to your bank account.
Check your bank statement in one to two business days for those deposits. Once you see them, go back to PayPal, return to the bank account you just added, and enter the exact amounts of those two deposits. PayPal will confirm the account is yours. Until you complete this step, you cannot transfer money out. If you do not see the deposits after three business days, contact PayPal support—sometimes the deposits go to a different account if your bank routes them differently.
Steps to transfer money using standard transfer
Open PayPal and click Wallet at the top of the page. You will see your PayPal balance and any linked bank accounts below it. Click Transfer Money, then select Transfer to Your Bank. Choose the bank account you want the money to go to (if you have more than one linked), enter the amount, and click Transfer Now.
PayPal will show you a confirmation screen with the amount, the receiving bank, and the expected arrival date. The money leaves your PayPal balance immediately, but your bank will not show it for one to two business days. If you transfer on a Friday afternoon, the money may not arrive until Tuesday, because banks do not process transfers over weekends. You will receive an email confirmation once PayPal sends the transfer, and another when your bank receives it.
Steps to transfer money using instant transfer
The process is nearly identical to standard transfer, but you choose Instant Transfer instead of the standard option. PayPal will show you the $0.25 fee before you confirm. The money should appear in your bank account within 30 minutes, though it can take up to an hour during peak times. Your bank may take a few additional minutes to post it to your balance, so check your available funds rather than your pending transactions.
Instant transfer is not available to all PayPal accounts. If the option does not appear, your account may be too new, you may not have enough transaction history, or you may have had disputes or chargebacks in the past. PayPal does not always explain why an account is not may be able to access. If you need the money urgently and instant transfer is not available, contact PayPal support to ask whether your account can be reviewed.
What happens if a transfer fails or gets stuck
If PayPal cannot send the transfer to your bank—usually because the account number or routing number is wrong—the money returns to your PayPal balance within one to two business days. PayPal will send you an email explaining why the transfer failed. Check the email for the specific reason: common causes are a typo in the account number, a closed account, or a mismatch between the name on your PayPal account and the name on the bank account.
If the name mismatch is the issue, you may need to update your PayPal name to match your bank account exactly, or contact your bank to confirm they will accept transfers to a slightly different name. If the account is closed, you will need to add a different bank account to PayPal. Once you fix the problem, you can retry the transfer immediately—PayPal does not make you wait.
Fees and limits on PayPal transfers
Standard transfers are always free. Instant transfers cost $0.25 per transaction in the United States; fees vary in other countries and PayPal may adjust them. There is no limit to how many transfers you can make per day, but your total transfer amount may be capped based on your account history and verification status. New accounts often have lower limits that increase over time as you use PayPal.
To check your transfer limit, go to Settings, then Resolution Center, then Limits. You will see your current sending limit and how much you have used. If you hit your limit, you can wait for it to reset (usually monthly) or contact PayPal to request a higher limit. Verified accounts with a long history of successful transfers typically have higher limits than new accounts.
Transfers on weekends and holidays
Banks do not process transfers on weekends or federal holidays. If you initiate a standard transfer on Friday evening, Saturday, or Sunday, it will not leave PayPal until Monday morning, and your bank will not receive it until Tuesday or Wednesday. Instant transfers initiated during bank holidays may also be delayed, though PayPal will still attempt to process them within 30 minutes of your request.
If you need money on a specific date, initiate the transfer at least two business days before that date to account for weekends and holidays. PayPal's confirmation screen will show you the expected arrival date, so check that before you confirm the transfer.
Frequently Asked Questions
Can I transfer money from PayPal to someone else's bank account?
No. PayPal transfers only go to a bank account registered in your own name. 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 withdraw to your own bank account and then send it from there.
What if my bank account name does not match my PayPal name exactly?
Most banks accept transfers even if the name is slightly different—for example, if your PayPal account says "James Smith" but your bank account says "James R. Smith." However, if the names are very different or if your bank rejects the transfer, you will need to update your PayPal name to match your bank account exactly, or add a different bank account to PayPal.
Why is my instant transfer taking longer than 30 minutes?
Instant transfers usually arrive within 30 minutes, but can take up to an hour during peak times or if your bank is slow to post the deposit. If more than an hour has passed and the money has not arrived, check your bank account to see if it is pending. If it does not appear within 24 hours, contact PayPal support with your transaction ID.
Can I cancel a transfer after I have sent it?
Standard transfers cannot be cancelled once they leave PayPal, which happens immediately when you confirm. Instant transfers also cannot be cancelled. If you sent money to the wrong account, contact PayPal support right away with your transaction ID—they may be able to help, but there is no may provide.
Do I pay taxes on money I transfer from PayPal to my bank?
Transferring money from PayPal to your bank is not a taxable event—you are moving money you already earned or received. However, the original income or payment that went into your PayPal account may be taxable depending on how you earned it. Keep records of all PayPal transactions for tax purposes.