The fastest way is a standard transfer, which takes one to two business days and costs nothing
To move money from PayPal to your bank account, go to your PayPal wallet, select the bank account you want to send to, enter the amount, and confirm. PayPal calls this a standard transfer. The money lands in your account within one to two business days, and there is no fee.
You can also choose an instant transfer, which moves the money in minutes instead of days. Instant transfers cost between 25 cents and $2, depending on the amount. Both options require that you have already linked a valid U.S. bank account to your PayPal account — a step that takes a few minutes the first time you do it.
If you have not linked a bank account yet, PayPal will ask you to provide your routing number and account number. You can find both on a check, or log into your bank's website or app. Once linked, that account stays on file and you can transfer to it whenever you want.
Key Takeaways
- Standard transfers take one to two business days and are free; instant transfers take minutes and cost 25 cents to $2.
- You must link a bank account to your PayPal profile before you can transfer money, using your routing and account numbers.
- Transfers from PayPal to your bank account are different from withdrawals to a debit card, which have their own timeline and fees.
- If a transfer fails, PayPal will return the money to your PayPal balance within one to three business days.
How to link a bank account to PayPal for the first time
Open PayPal on your phone or computer and go to your wallet. Look for an option to add a bank account or payment method. PayPal will ask for your bank's name, your account type (checking or savings), your routing number, and your account number. You can find all of this on a blank check from your bank, or by logging into your bank's app or website.
After you enter this information, PayPal may verify the account by sending two small deposits to your bank — usually between 1 and 2 cents each. This takes a few business days. Once the deposits arrive, PayPal will ask you to confirm the amounts. After you do, the account is linked and ready to use.
Some banks let PayPal verify your account instantly using your online banking login instead. If your bank supports this, PayPal will offer it as an option and you can skip the waiting period.
Standard transfers versus instant transfers
A standard transfer is free and takes one to two business days. This is the default option when you initiate a transfer. The money goes into a queue and PayPal processes it along with other transfers in batches. Weekends and bank holidays can add an extra day, so a transfer initiated on Friday evening might not land until Tuesday.
An instant transfer moves the money to your bank account within minutes. The fee is a flat percentage of the amount you are transferring: 25 cents for amounts under $10, and 1.5% of the transfer amount for larger transfers, capped at $2. So transferring $100 costs $1.50; transferring $200 also costs $1.50 because that is the maximum.
Choose standard transfer if you can wait a day or two and want to avoid the fee. Choose instant transfer if you need the money right away and the fee is worth it to you. Both options deduct the money from your PayPal balance immediately, even though it takes time to reach your bank.
What happens if a transfer fails or gets rejected
A transfer can fail if your bank account information is wrong, if your bank rejects the deposit for some reason, or if there is a temporary problem with PayPal's connection to the banking system. When this happens, PayPal will send you a notification and return the money to your PayPal balance. This reversal usually takes one to three business days.
The most common reason for rejection is a mismatch between the account number or routing number you entered and what your bank has on file. If you see an error message, double-check both numbers against a check or your bank's website. Then try the transfer again with the correct information.
If a transfer fails repeatedly, contact your bank to make sure they are not blocking PayPal transfers. Some banks flag transfers from payment apps as suspicious and decline them automatically. Your bank can whitelist PayPal or adjust your account settings to allow the transfers through.
Transfers to debit cards and other withdrawal methods
PayPal also lets you withdraw money to a debit card instead of a bank account. This is faster — usually one business day — but only works if you have a PayPal Cash or PayPal Cash Plus account. A standard PayPal account does not support debit card transfers.
You can also request a check from PayPal, though this is rarely the fastest option. PayPal will mail a physical check to your address, which takes five to seven business days to arrive, plus time for your bank to clear it. There is no fee for a check, but the timeline makes it impractical for most situations.
If you have a PayPal Cash card (a physical debit card issued by PayPal), you can move money to that card instantly and use it to withdraw cash from ATMs or make purchases. This is different from a transfer to your bank account and has its own fee structure.
Timing and what "business days" means
When PayPal says a transfer takes one to two business days, it means one to two days that your bank is open — Monday through Friday, excluding federal holidays. A transfer initiated on a Friday afternoon will not start processing until Monday, so it may not land in your account until Wednesday.
Instant transfers are truly instant and process at any time, including weekends and holidays. The money should appear in your account within minutes, though in rare cases it can take up to an hour.
Your bank may also take time to post the deposit once it arrives. Most banks post transfers the same day they receive them, but some wait until the next business day. If you do not see the money within the timeframe PayPal stated, check with your bank to see if it has arrived but not yet posted to your balance.
Fees, limits, and account restrictions
Standard transfers to a bank account are always free. Instant transfers cost 25 cents to $2 depending on the amount. PayPal does not charge a fee to link a bank account or to receive money into your PayPal balance — only to move it out.
PayPal does not publish a maximum transfer amount, but your bank may have limits on how much you can deposit in a single day or month. If you are transferring a large amount, contact your bank first to make sure they will accept it.
If your PayPal account is restricted or limited — for example, because of a dispute or unusual activity — you may not be able to transfer money out. PayPal will tell you why your account is restricted and what you need to do to restore full access. This usually involves confirming your identity or resolving a transaction dispute.
Frequently Asked Questions
Can I transfer money from PayPal to someone else's bank account?
No. Transfers from your PayPal wallet go only to a bank account in your own name. To send money to someone else, use PayPal's peer-to-peer transfer feature (called "Send Money to Friends and Family" or "Pay Someone"), which sends the money to their PayPal account, not their bank. They can then transfer it to their own bank account if they want.
What if my bank account is not showing up as an option to transfer to?
The account may not be fully linked yet. If you just added it, PayPal may still be verifying it with the small deposits. Wait a few business days and check again. If the account has been linked for a while and still is not showing up, try unlinking it and adding it again. Make sure you are entering the routing number and account number correctly — even one digit off will cause problems.
Do I pay taxes on money I transfer from PayPal to my bank account?
Transferring your own money from PayPal to your bank is not a taxable event. However, if the money in your PayPal account came from selling goods or services, that income is taxable. PayPal reports this to the IRS if you meet certain thresholds. The transfer itself is just moving money you already earned; the tax obligation comes from earning it, not from moving it.
How long does it take to link a new bank account?
If PayPal verifies your account using your online banking login, it is instant. If PayPal sends two small deposits to verify, it takes three to five business days for those deposits to arrive, plus a few minutes for you to confirm the amounts. After that, the account is ready to use.
Can I transfer money from PayPal if I do not have a U.S. bank account?
PayPal transfers to bank accounts work only in the United States and a few other countries. If you are outside the U.S., you may be able to withdraw to a PayPal Cash card or request a check, depending on your country and account type. Check PayPal's help center for your specific location.