Sending money between PayPal accounts is straightforward

To send money from your PayPal account to someone else's PayPal account, you log into your PayPal account, click the "Send Money" button, enter the recipient's email address or phone number, type the amount, and confirm the transaction. The money moves from your PayPal balance or linked bank account to their PayPal account, usually within minutes. You do not need the recipient to do anything on their end — the money arrives in their account ready to use.

PayPal charges no fee when you send money to friends and family using your PayPal balance or a linked bank account. If you send from a credit or debit card, PayPal charges a percentage fee (the exact amount varies by country). The recipient never pays a fee to receive the money.

Key Takeaways

  • You need only the recipient's email address or phone number registered with PayPal to send them money.
  • Sending from your PayPal balance or a linked bank account is free when you choose the "Friends and Family" category.
  • Money sent as "Goods and Services" includes a fee and is meant for business transactions, not personal transfers.
  • The recipient's money typically arrives within minutes, though it can take up to 24 hours depending on their bank.

How to send money step by step

Start by logging into your PayPal account on the website or mobile app. On the website, look for the "Send Money" button near the top of the page. On the mobile app, tap the send icon (usually a paper airplane or arrow) at the bottom of the screen.

Enter the recipient's information. You can use their email address, phone number, or PayPal username — whichever one is connected to their PayPal account. Type the amount you want to send. Then select the reason for the payment: choose "Friends and Family" for personal transfers (which has no fee) or "Goods and Services" if you are paying for something they sold you (which includes a fee).

Review the details one more time, then click "Send" or "Send Money Now." PayPal will confirm the transaction and show you a confirmation number. The recipient will receive a notification that money has been sent to their account, and the funds will appear in their PayPal balance right away.

What happens if you use the wrong recipient address

If you accidentally send money to the wrong email address or phone number, the money goes to whatever PayPal account is registered under that address. If no PayPal account exists for that address, PayPal holds the money and sends the recipient an invitation to claim it. They have 30 days to open a PayPal account and claim the funds, or the money returns to your account.

If you sent to the wrong person's correct PayPal account, you will need to contact that person and ask them to send the money back. PayPal cannot reverse a completed payment between accounts. You can also contact PayPal's Resolution Center to report the error, though they can only help if the recipient has not yet claimed the funds.

Fees and payment methods

When you send money to friends and family, there is no fee if you pay from your PayPal balance or a linked bank account. A linked bank account means a checking or savings account you have connected to PayPal for transfers.

If you send from a credit card or debit card, PayPal charges a percentage of the amount sent. This fee varies by country — in the United States, it is typically around 2.2% plus a fixed amount, but check your account for the exact rate. The "Goods and Services" category always includes a fee, even if you pay from your balance, because it is designed for business transactions and includes buyer protection.

The recipient never pays a fee to receive money, regardless of which payment method you used or which category you chose.

When money takes longer to arrive

Most PayPal-to-PayPal transfers show up in the recipient's account within minutes. However, the money may take up to 24 hours to appear if PayPal needs to verify the transaction for security reasons, or if the recipient's bank is slow to process the deposit.

If you sent money to a bank account instead of a PayPal account (through PayPal's "Transfer to Bank" feature), that takes one to three business days. But if both you and the recipient have PayPal accounts, the transfer between accounts is nearly when ready.

Sending money internationally

You can send money to PayPal accounts in most countries, but the process and fees differ from domestic transfers. PayPal charges a fee for international transfers, and the amount depends on the country you are sending to and the payment method you use. The recipient may also see a slightly different amount due to currency conversion if they are in a different country.

Before sending internationally, check PayPal's fee schedule for the specific country. You can see the exact fee PayPal will charge before you confirm the transaction. Some countries have restrictions on which payment methods you can use, so PayPal will tell you if your bank account or card is not available for that destination.

Frequently Asked Questions

Can I send money to someone who does not have a PayPal account yet?

Yes. If the email address or phone number is not connected to a PayPal account, PayPal sends the recipient an invitation to claim the money. They have 30 days to open an account and claim it. After 30 days, the money returns to your account automatically.

What is the difference between Friends and Family and Goods and Services?

Friends and Family is for personal transfers and has no fee when you pay from your balance or bank account. Goods and Services is for paying someone for something they sold you and always includes a fee. Goods and Services also gives you buyer protection if there is a dispute.

Can I cancel a payment after I send it?

If the recipient has not claimed the money yet, you can cancel it through your PayPal transaction history and the money returns to your account. Once they claim it, the payment is complete and cannot be reversed. You would need to ask them to send the money back.

Is there a limit to how much I can send?

PayPal sets sending limits based on your account age, history, and verification status. New accounts have lower limits. You can check your sending limit in your account settings. If you hit your limit, you can request an increase or wait for it to reset.

Do I need the recipient's bank account information?

No. You only need their email address or phone number registered with PayPal. PayPal handles the rest — the money goes directly into their PayPal account, and they can transfer it to their bank later if they want.