PayPal has become one of the most trusted platforms for sending and receiving money across the globe. Whether you're paying for services, purchasing items, or sending funds to friends and family, understanding the correct and secure method to send money via PayPal is essential. In this comprehensive guide, we’ll walk you through every detail you need to know.

What is PayPal and How Does It Work?

PayPal is a digital payment system that allows users to send and receive money using email addresses or mobile numbers, rather than traditional bank details. Once connected to a bank account, debit, or credit card, PayPal enables secure, fast, and trackable transactions worldwide.

How to Create a PayPal Account?

Before you can send money, you need a verified PayPal account. Here’s how to set it up:

Linking a Payment Method to PayPal

To send money, you must link at least one funding source:

• Bank Account: Preferred for sending larger amounts
• Credit/Debit Card: Instant but may include a fee
• PayPal Balance: Easiest and fastest if funds are available

To link a bank or card:

• Go to Wallet
• Click Link a Bank or Card
• Enter your details and follow the on-screen prompts
• Verify the account if prompted via micro-deposit or code

Step-by-Step Guide to Sending Money via PayPal1. Log in to Your PayPal Account

Visit paypal.com or open the mobile app. Enter your login credentials.

2. Click on “Send” or “Send & Request”

Choose "Send Money" or "Send & Request" depending on your device.

3. Enter Recipient Information

Type the email address or mobile number of the person you wish to send money to.

4. Choose the Payment Type

• Friends and Family: For personal transfers with lower or no fees
• Goods and Services: For business transactions (includes seller protection and fees)

5. Enter the Amount

Input the exact amount. You can switch currencies if needed.

6. Select the Payment Method

Choose whether the funds will be pulled from your PayPal balance, linked bank, or card.

7. Add a Note (Optional)

Mention the purpose or add a friendly note for clarity.

8. Review and Confirm

Double-check all details. Click “Send Payment Now” to complete the transaction.

PayPal Fees: What You Should Know

Sending money can be free or come with charges depending on:

Payment TypeFunding SourceFee

Friends & Family (US) Bank or PayPal Balance Free

Friends & Family (US) Credit/Debit Card 2.9% + fixed fee

International Transfers Any 5% up to $4.99 cap

Goods & Services Any 2.9% + $0.30

Always review the fee summary before confirming the payment.

How to Send Money Internationally via PayPal?

PayPal supports over 200 countries and 25 currencies. To send funds internationally:

PayPal automatically converts the currency using its own exchange rate, which includes a currency conversion margin.

How to Send Money Using the PayPal App?

The mobile app offers a user-friendly interface:

• Tap the "Send" button
• Choose or enter a contact
• Enter amount and purpose
• Select funding source
• Confirm and tap “Send”

With fingerprint or facial ID enabled, the process is even faster.

How to Cancel a Payment on PayPal?

A payment can only be canceled if it’s still pending. Here's how:

• Go to Activity
• Find the pending payment
• Click Cancel (if available)
• If not, contact the recipient or open a dispute if unauthorized

Safety Tips When Sending Money by PayPal

To ensure your funds and account stay protected:

• Always verify the recipient’s email
• Never send money as “Friends & Family” for purchases
• Enable Two-Factor Authentication on your account
• Review transaction history regularly
• Use strong, unique passwords

Common Issues and Troubleshooting1. Payment on Hold

PayPal may place funds on hold if:

• You’re sending to a new seller
• The account has suspicious activity
• It’s a large or unusual transaction

Solution: Wait 21 days or ask the recipient to mark the order as processed.

2. Declined Payment

Can happen due to:

• Insufficient funds
• Card/bank issues
• Account limitations

Fix: Check with your bank, ensure the account is verified, or contact PayPal Support.

Benefits of Using PayPal to Send Money

• Secure and encrypted transactions
• Global reach with multi-currency support
• Fast transfers, often within minutes
• Trackable payment history
• Optional buyer/seller protection

Alternatives to Sending Money via PayPal

If PayPal isn't ideal for your needs, consider:

• Wise (formerly TransferWise) – Lower international fees
• Venmo – Domestic social payments (US only)
• Zelle – Instant bank transfers (US only)
• Revolut or Cash App – For specific regions

Conclusion

Sending money with PayPal is both simple and efficient, provided you follow the correct steps. Whether you're sending funds locally or internationally, PayPal offers a secure environment with transparent fees and real-time tracking. By using this guide, you can send money with confidence, avoid common pitfalls, and take full advantage of PayPal’s services.