The basic steps to send a payment on PayPal

Open PayPal on your phone or computer and log in. Click or tap the "Send & Request" button (on mobile, it's usually at the bottom of the screen). Enter the recipient's email address, phone number, or PayPal username. Type the amount you want to send, choose whether it's a payment for goods or services or money to a friend or family member, add a note if you want, and click "Send Now".

The money leaves your PayPal account immediately. If the recipient has a PayPal account, it arrives in their account right away. If they don't have one yet, PayPal sends them a notification with instructions to claim the money—they have 30 days to do so, or the funds return to you.

You can send money from your PayPal balance, a linked bank account, a debit card, or a credit card. PayPal charges no fee when you send money to friends and family in the same country using your PayPal balance or bank account. If you use a credit card or send money internationally, PayPal charges a fee—the amount depends on the country and the payment method you choose.

Key Takeaways

  • PayPal sends money instantly to other PayPal users and notifies non-users so they can claim the funds within 30 days.
  • Sending to friends and family costs nothing if you use your PayPal balance or linked bank account, but credit card payments and international transfers carry fees.
  • You can send money using an email address, phone number, or PayPal username—you do not need the recipient's bank details.
  • Money sent as a goods or services payment is not protected by PayPal's buyer protection, so use the friends and family option for personal transfers.

Choosing the right payment category

PayPal offers two categories when you send money: "Friends and Family" and "Goods and Services." The difference matters for protection and fees. Friends and Family is for personal transfers—splitting rent, paying back a loan, sending a birthday gift. Goods and Services is for buying something or paying for work.

If you send money as Goods and Services, PayPal charges you a fee (usually around 2.9% plus $0.30 in the US, though this varies by country). Friends and Family has no fee when you use your balance or bank account. However, Friends and Family offers no buyer protection—if the recipient doesn't send you what they promised, PayPal will not reverse the payment. Use Goods and Services only when you are actually buying something or paying for a service and want protection if something goes wrong.

Linking a bank account or card to PayPal

Before you send money, you need a funding source. Log into PayPal, go to "Wallet" or "Settings," and select "Add a Bank Account" or "Add a Card." For a bank account, you will enter your routing number and account number—PayPal will make two small test deposits to verify ownership, usually within one to two business days. Once verified, you can send money from that account with no fee.

Adding a debit or credit card is faster. Enter the card number, expiration date, and CVV. PayPal may ask you to confirm a small charge on your statement. Credit card payments carry a fee when you send money, but debit cards do not (as long as you are sending to friends and family). If you already have a PayPal balance from previous payments or transfers, you can send from that balance first—it has no fee and no delay.

What happens when the recipient does not have PayPal

If you send money to someone without a PayPal account, PayPal emails them a notification with a link to claim the funds. They can create a PayPal account, link a bank account, and withdraw the money, or they can claim it directly to a debit card if PayPal offers that option in their country. The recipient has 30 days to claim the money.

If they do not claim it within 30 days, the money returns to your PayPal account automatically. You will see a notification that the payment was unclaimed. If the recipient wants the money after 30 days, you will need to send it again. For this reason, it is a good idea to let the recipient know you are sending them money and to check their email (including spam folders) for the PayPal notification.

Fees and exchange rates for international payments

Sending money to another country costs more. PayPal charges a fee based on the country you are sending to and the amount. The fee is usually shown to you before you confirm the payment, so you know the exact cost. If you are sending to a country where PayPal operates, the recipient can receive the money in their local currency, though PayPal applies an exchange rate that includes a markup.

To avoid high fees, ask the recipient if they have a bank account in your country, or use a service designed for international transfers like Wise (formerly TransferWise) or OFX, which often charge less than PayPal for cross-border payments. If you do use PayPal internationally, compare the exchange rate PayPal shows you with the mid-market rate (the real rate between banks) to understand how much you are paying in markup.

Canceling or disputing a payment

If you sent money to the wrong person or changed your mind, you can cancel the payment only if the recipient has not claimed it yet. Log into PayPal, find the transaction in your activity, and click "Cancel." The money returns to your account within a few minutes. Once the recipient claims the money or it is transferred to their bank account, you cannot cancel it.

If you sent money as Goods and Services and the recipient did not deliver what they promised, you can open a dispute within 180 days. Go to your transaction history, select the payment, and click "Dispute This Transaction." PayPal will ask for evidence—messages, photos, or proof of the agreement. If you sent money as Friends and Family, PayPal does not offer dispute protection, so you would need to contact the recipient directly or pursue the matter outside PayPal.

Frequently Asked Questions

Can I send money to someone if I do not know their email address?

You can send money using a phone number or PayPal username if you have either of those instead. If you only have their name, you will need to ask them for one of these details. PayPal needs a way to identify the recipient uniquely so the money reaches the right person.

How long does it take for money to arrive in someone's bank account?

If the recipient has PayPal and keeps the money in their account, it arrives instantly. If they withdraw it to their bank account, the timing depends on their bank—usually one to three business days. Some banks are faster, some slower. PayPal does not control this part.

What if I accidentally sent money to the wrong email address?

If the recipient has not claimed it yet, log into PayPal, find the transaction, and click "Cancel." The money returns to you within minutes. If they have already claimed it, you cannot cancel it through PayPal. Contact the recipient directly and ask them to send it back, or open a dispute if you sent it as Goods and Services.

Do I have to pay a fee if I send money using my PayPal balance?

No. Sending from your PayPal balance to friends and family costs nothing. You only pay a fee if you use a credit card, send internationally, or send money as a Goods and Services payment.

Can I send money on PayPal without a bank account or card?

Yes, if you already have a PayPal balance. You can send from that balance with no linked account. To add money to your balance, you will need a bank account or card at some point, but once you have a balance built up, you can send without adding new funding sources each time.