How to Send Money with PayPal: A Step by Step Guide

Introduction

PayPal is an online payment system that allows individuals and businesses to send and receive money securely. Founded in 1998, it has become one of the most widely-used payment platforms in the world, available in more than 200 markets, and managing over 350 million accounts. Whether you need to pay for goods and services online, send money to friends and family, or receive payments from clients, PayPal is a fast, convenient, and reliable option.

In this article, we will provide a step-by-step guide on how to send money with PayPal. We will discuss the different methods of sending money, fees involved, safety and security measures, and solutions to common issues. By the end of this article, you’ll know how to use PayPal to send money with confidence.

Methods of Sending Money with PayPal

There are several ways to send money with PayPal, depending on your needs and preferences:

Sending to friends and family

If you’re sending money to someone you know personally, such as a family member, friend, or colleague, you can use the “Send Money” feature on PayPal. This is a fee-free service, provided that you use your PayPal balance or a linked bank account to fund the transaction. You can send money to anyone with a PayPal account, regardless of whether they have a linked bank account or not.

Making a payment

If you’re paying for goods or services online, you can use the “Pay for goods or services” feature on PayPal. This allows you to enter the recipient’s email address or mobile number, specify the amount you want to pay, and add a description of the transaction. When you make a payment using this method, PayPal protects both the buyer and the seller by providing secure payment processing, dispute resolution, and buyer protection programs. There is a fee involved with this service, which varies depending on the country and the amount of the payment.

Requesting money

If you need to receive money from someone, you can use the “Request Money” feature on PayPal. This allows you to send a payment request to the recipient, specifying the amount and the reason for the request. The recipient will receive an email or a notification on their PayPal account, and they can then pay the requested amount using their PayPal balance, a linked bank account, or a credit or debit card. There is no fee involved with this service, and the recipient can choose to accept or deny the request.

Using PayPal.me to request money

If you need to receive payments on a regular basis, you can set up a PayPal.me link. This is a personalized link that you can share with anyone who needs to pay you, such as clients or customers. When they click on the link, they will be directed to your PayPal account, where they can enter the amount they want to pay and complete the transaction. This service is also free, and there are no fees involved with the transaction if the payment is made using a PayPal balance or a linked bank account.

How to Send Money with PayPal – Step by Step Guide

Now that you know the different methods of sending money with PayPal, let’s go through the step-by-step process of each method:

Sending to friends and family

1. Log in to your PayPal account.
2. Click on “Send & Request” on the top menu bar.
3. Click on “Send to friends and family”, and enter the recipient’s email address or mobile number.
4. Enter the amount you want to send and select the currency.
5. Add a note or message to the recipient, if desired.
6. Select your payment method, either using your PayPal balance or a linked bank account.
7. Review the transaction details and click on “Send Payment Now”.

Making a payment

1. Log in to your PayPal account.
2. Click on “Send & Request” on the top menu bar.
3. Click on “Pay for goods or services”.
4. Enter the recipient’s email address or mobile number, or click on the “Find Businesses” button to search for a specific merchant or seller.
5. Enter the amount you want to pay and select the currency.
6. Add a description of the transaction, such as the item name or order number.
7. Select your payment method, either using your PayPal balance, a linked bank account, or a credit or debit card.
8. Review the transaction details and click on “Send Payment Now”.

Requesting money

1. Log in to your PayPal account.
2. Click on “Send & Request” on the top menu bar.
3. Click on “Request from friends and family”.
4. Enter the recipient’s email address or mobile number, and the amount you want to request.
5. Specify the reason for the request, if desired.
6. Select “Request Now” to send the payment request.

Using PayPal.me to request money

1. Log in to your PayPal account.
2. Click on “Money” on the top menu bar.
3. Click on “Get your PayPal.me link”.
4. Enter your name or business name, and choose a personalized handle for your link.
5. Share the link with anyone who needs to pay you, either by sending it via email, messaging, or including it on your website or social media accounts.
6. When someone clicks on the link, they will be directed to your PayPal account, where they can enter the amount they want to pay and complete the transaction.

Fees Involved with Sending Money with PayPal

While PayPal offers many fee-free services, there are some fees involved when sending money, depending on the country, currency, and payment method. Here are some of the fees you may encounter:

International fees

If you’re sending money to someone in another country, there may be additional fees involved, such as exchange rate fees or cross-border fees. These fees can vary depending on the currency conversion rate and the country you’re sending money to.

Currency conversion fees

If you’re sending money in a different currency from your PayPal balance or linked bank account, you may be charged a currency conversion fee. This fee ranges from 2.5% to 4% of the transaction amount, depending on the currency conversion rate and the country.

Fees for using a credit or debit card

If you’re using a credit or debit card to fund your PayPal payment, there may be additional fees involved, such as a flat fee of $0.30 per transaction, or a percentage fee of up to 3.4% of the transaction amount.

Safety and Security of Transactions

PayPal takes the security and privacy of its users seriously. Here are some measures you can take to ensure the safety and security of your transactions:

Setting up two-factor authentication

Two-factor authentication adds an extra layer of security to your account by requiring a unique code sent to your mobile device or email, in addition to your password, to log in to your PayPal account. This prevents unauthorized access to your account, even if your password is compromised.

Using a strong and unique password

It’s important to use a strong, complex, and unique password for your PayPal account, and to never share it with anyone. This helps prevent hackers from gaining access to your account and stealing sensitive information.

Verifying recipient details

Before sending money to someone, make sure you have verified their details and identity, such as their name, email address, or phone number. This helps prevent sending money to the wrong recipient, or to a fraudulent account.

Common Issues When Sending Money with PayPal

While PayPal is a reliable and convenient payment platform, there can be some common issues that you may encounter:

Stuck payment in pending status

Occasionally, a payment may be stuck in a pending status, which means that the transaction is being processed and may take up to 24 hours to complete. This can be due to several reasons, such as insufficient funds, an issue with the recipient’s account, or a technical glitch.

Sending money to the wrong recipient

Double-check the recipient’s details and the amount before sending money, to ensure that you’re sending it to the right person. In case you mistakenly sent money to the wrong recipient, you can contact PayPal’s customer service to request a refund or dispute the transaction.

Conclusion

Now that you know how to send money with PayPal, you can make your transactions with confidence. Whether you’re sending money to friends and family, paying for goods and services, or requesting money from clients, PayPal offers a secure, fast, and reliable payment platform that takes the hassle out of online transactions.

If you encounter any issues or have further questions about using PayPal, you can check out their FAQ section, contact their customer service, or refer to their user manual and video tutorials for more information.