The basic process: link your bank, then withdraw
To move money from PayPal to your bank account, you link your bank to PayPal first, then initiate a transfer from your PayPal balance. PayPal holds the money you receive—from sales, refunds, or transfers from other people—in your PayPal account until you move it out. The transfer itself takes 1 to 3 business days to land in your bank account, depending on your bank and the time of week you send it.
You do not need to pay a fee to transfer to your own bank account. PayPal charges fees for sending money to other people or for certain business transactions, but moving your own balance to your linked bank is free.
Key Takeaways
- Link your bank account to PayPal by providing your routing number and account number, which you can find on a check or your bank's website.
- Transfers to your bank account are free and take 1 to 3 business days, but weekends and holidays can add time.
- You can only transfer money that is already in your PayPal balance—you cannot pull directly from a linked credit or debit card.
- If your transfer fails, PayPal will return the money to your PayPal account within 5 to 10 business days.
How to link your bank account to PayPal
Open PayPal on your computer or in the app and go to Settings (the gear icon). Select Wallet or Linked Banks and Cards, then click Link a Bank Account. PayPal will ask for your bank's name, your account type (checking or savings), your routing number, and your account number.
Your routing number is a nine-digit code that identifies your bank. Your account number is unique to your account. Both appear on the bottom left of any check you write. If you do not have checks, log into your bank's website or app—most banks display both numbers in the account details section. Some banks also print them on statements.
After you enter this information, PayPal will send two small deposits (usually under $1 each) to your bank account within 1 to 2 business days. You then return to PayPal and confirm the exact amounts of those deposits. This verification step proves you own the bank account. Once confirmed, your bank is linked and ready to receive transfers.
Starting a transfer from PayPal to your bank
In the PayPal app or website, go to Wallet and select Transfer Money. Choose Transfer to Your Bank. PayPal will show your PayPal balance and ask how much you want to send. Enter the amount and select your linked bank account from the dropdown menu. Review the details and confirm.
PayPal will show you the expected arrival date—usually 1 to 3 business days. The transfer is not instant. If you send money on a Friday evening, it may not arrive until Tuesday or Wednesday because banks do not process transfers over weekends or holidays.
Once you confirm, the money leaves your PayPal account immediately and enters a processing state. You can see the transfer status in your PayPal activity or transaction history. Do not close the app or browser until you see a confirmation message.
What happens if the transfer fails or takes longer than expected
If your bank rejects the transfer—usually because the account number was entered incorrectly or the account is closed—PayPal will return the money to your PayPal balance within 5 to 10 business days. You will receive a notification explaining why the transfer failed. Check the bank account details in your PayPal settings and correct any errors before trying again.
If a transfer is taking longer than the stated arrival date, check your bank account first to confirm it has not already arrived. Bank processing times vary; some banks post transfers in 1 day, others take the full 3 days. If it has been more than 3 business days and the money has not arrived, contact PayPal support with your transfer confirmation number (found in your transaction history) and your bank's customer service to locate the transfer.
Limits on how much you can transfer at once
PayPal does not set a hard limit on the size of a single transfer to your bank account. However, your bank may have its own limits on how much money it will accept in a single deposit. Most banks allow transfers of several thousand dollars, but some smaller institutions have lower caps.
If you are transferring a very large amount and are unsure whether your bank will accept it, contact your bank before initiating the transfer. You can also split the transfer into multiple smaller amounts sent on different days, though each transfer will take 1 to 3 business days to process.
Transferring money when you do not have a bank account linked yet
If you have not yet linked a bank account, you cannot transfer money directly. You must complete the linking and verification process first. This takes at least 1 to 2 business days for the verification deposits to arrive, plus a few minutes to confirm them.
While you wait for verification, your PayPal balance sits in your PayPal account. You can use it to send money to other PayPal users, make purchases online, or pay bills through PayPal's bill pay feature. Once your bank is verified, you can transfer the balance whenever you choose.
Using PayPal's instant transfer option
PayPal offers an Instant Transfer feature that moves money to your linked debit card in minutes rather than 1 to 3 days. This service charges a small fee (typically 1% of the amount transferred, with a minimum fee). Instant transfers go to a debit card, not a checking or savings account, and the money appears as available funds you can withdraw or spend immediately.
To use Instant Transfer, go to Transfer Money in PayPal, select Transfer to Your Debit Card, and choose the debit card you want to use. The fee will be shown before you confirm. If you do not want to pay the fee, use the standard free transfer to your bank account instead—it just takes longer.
Frequently Asked Questions
Can I transfer money from PayPal to someone else's bank account?
No. You can only transfer money from your PayPal account to a bank account that is linked to and verified on that same PayPal account. To send money to another person's bank account, you would use a different PayPal feature (like sending money to friends and family) or a separate service like Venmo or a wire transfer.
What if I linked the wrong bank account by mistake?
You can unlink the incorrect bank account in your PayPal settings and link the correct one. If you already sent a transfer to the wrong account, contact PayPal support immediately with your transaction details. Depending on the bank and how long ago the transfer was sent, PayPal may be able to recall or reverse it.
Do I pay taxes on money I transfer from PayPal to my bank?
Transferring your own money from PayPal to your bank is not a taxable event. However, the money itself may be taxable depending on how you earned it. If you received the money as payment for goods or services, it counts as income. PayPal reports payments over a certain threshold to the IRS, so keep records of all transactions.
Why is my transfer still pending after 3 business days?
Check your bank account first—the money may have arrived and posted without a PayPal notification. If it has not arrived, the delay is usually on your bank's end. Contact your bank with the transfer confirmation number from PayPal. Some banks process transfers more slowly, especially if the transfer was sent late on a Friday or before a holiday.
Can I cancel a transfer after I have sent it?
If the transfer is still in processing status (before it reaches your bank), you may be able to cancel it through PayPal. Once the money has been delivered to your bank, you cannot cancel it through PayPal—you would need to contact your bank. Act quickly if you need to cancel; transfers can move fast, especially with some banks.