Where to find and change your preferred payment method in PayPal
Your preferred payment method is the card, bank account, or PayPal balance that PayPal uses first when you send money or make a purchase. To change it, log into your PayPal account on a computer or the mobile app, go to Wallet, and look for the payment method marked as "preferred" — it will have a checkmark or a label saying so. Click or tap on that method, select Edit, and then choose Make this my preferred payment method on a different card or account. Save the change.
On mobile, the path is slightly different. Open the app, tap the menu icon (three horizontal lines), select Wallet, find the payment method you want to use instead, and tap the three dots next to it. Choose Make preferred. The change takes effect immediately.
If you do not see a Wallet option, you may be using an older version of the app or a business account with a different layout. Update the app or switch to the desktop version to access the full menu.
Key Takeaways
- Your preferred payment method is the one PayPal charges first for purchases and transfers, and you can change it anytime from your Wallet.
- On desktop, go to Wallet, click the payment method marked preferred, select Edit, and choose a new preferred method.
- On mobile, open Wallet, tap the three dots next to the payment method you want, and select Make preferred.
- The change takes effect right away and applies to all future transactions unless you change it again.
Why you might want to change your preferred payment method
You may want to switch your preferred method if you are trying to use a specific card for rewards or cash back, if one account has a lower balance than another, or if you want to avoid overdraft fees on a particular bank account. Some people rotate their preferred method by season — for example, using a card with travel rewards during vacation months and switching to a different card the rest of the year.
Changing your preferred method does not delete or remove any of your other payment methods. All of them stay in your Wallet. You are only telling PayPal which one to reach for first.
What happens when you change your preferred payment method
The new preferred method becomes active immediately. Any purchase or transfer you make after the change will draw from the new method first. If that method does not have enough funds or is temporarily unavailable, PayPal will try your backup payment methods in the order you have set them.
Transactions that were already in progress before you made the change will still use the old preferred method. Only new transactions going forward use the new one. If you have a subscription or recurring payment set up, it will continue to use whatever method you assigned to that specific subscription — changing your overall preferred method does not affect subscriptions unless you edit them separately.
How to set a backup payment method
PayPal lets you rank your payment methods so that if the first one fails, it tries the second, then the third. To do this, go to Wallet on desktop, find each payment method, and look for an option to set its priority or order. On mobile, the order is usually set by tapping and dragging payment methods into the sequence you want.
If you do not see a drag-and-drop option on mobile, tap the three dots next to each method and look for Change order or Set priority. The method at the top of your list is your preferred method; the ones below are backups in order.
Having backups matters because if your preferred card is declined or expired, PayPal will not stop the transaction — it will try the next method on your list. This reduces the chance of a failed payment.
Removing a payment method from your account
If you want to stop using a card or bank account entirely, you can delete it from your Wallet. Go to Wallet, click the payment method you want to remove, select Edit, and choose Remove or Delete. You cannot delete your preferred method while it is still set as preferred — you must change your preferred method to something else first, then delete the old one.
Once you delete a payment method, PayPal will not be able to charge it for future transactions. Any recurring payments tied to that method will fail unless you update them to use a different card or account.
Troubleshooting: preferred method not changing
If you try to change your preferred method and the change does not stick, first try logging out and logging back in. Sometimes the Wallet page does not refresh properly. If that does not work, clear your browser cache or close and reopen the mobile app.
If the problem continues, check whether your account has any restrictions or holds. PayPal sometimes limits which payment methods you can use if there is a dispute, a chargeback, or unusual activity on your account. You can see any account limitations by going to Resolution Center or Account Limitations in your account settings. If you see a limitation, you will need to resolve it before you can change your payment method.
Another reason the change might not work is if the payment method you are trying to set as preferred has not been verified. New cards and bank accounts sometimes require verification — PayPal may send a small deposit to confirm the account is real. Check your payment method details to see if it says "unverified" or "pending confirmation," and complete that step before trying again.
Frequently Asked Questions
Does changing my preferred payment method affect my PayPal balance?
No. Your PayPal balance is separate from your payment methods. Changing which card or bank account is preferred does not move money in or out of your balance. If you want to use your PayPal balance as your preferred method, you can set that in your Wallet the same way you would set a card or bank account.
Can I set a different preferred payment method for different types of transactions?
No. PayPal uses one preferred method for all transactions — purchases, transfers, and bill payments. However, at checkout for some purchases, you may see an option to choose a different payment method for that single transaction. That choice does not change your overall preferred method.
What if I change my preferred method right before a payment goes through?
If you change your preferred method seconds before a payment processes, PayPal may still charge the old method because the transaction was already queued. Wait a few minutes after changing your preferred method before making a new payment to be safe.
Does my preferred payment method affect my PayPal credit or financing options?
No. PayPal Credit and PayPal's installment plans are separate products. Your preferred payment method does not determine whether you can use them. When you choose to pay with PayPal Credit or an installment plan at checkout, that choice overrides your preferred method for that transaction only.