PayPal is one of the best online money transfer platform and so for that reason, am sure that several individuals will want to set up a PayPal account. If you are one of them, just know that you have fallen on the right article as I will show you how to do so.
Setting up a PayPal account is a quite easy task. Once you already have your PayPal account setup, you can easily make your transactions such as transferring money to businesses and individuals as well as buying goods and services online.
Even though setting up a PayPal account is easy, you still have to follow some steps keenly as you will see in this article. There are specific requirements that you must have in order to setup a PayPal account - which is an active bank account and an operational debit card.
Want to know how to set up a PayPal account? then stay glued to this article as I will show you how to set up and verify your PayPal account.
Table of Contents
What is PayPal?
According to Wikipedia, PayPal Holdings, Inc. is an American multinational financial technology company operating an online payments system in the majority of countries that support online money transfers, and serves as an electronic alternative to traditional paper methods such as checks and money orders. The company operates as a payment processor for online vendors, auction sites and many other commercial users, for which it charges a fee.
Established in 1998 as Confinity, PayPal went public through an IPO in 2002. It became a wholly owned subsidiary of eBay later that year, valued at $1.5 billion. In 2015 eBay spun off PayPal to its shareholders, and PayPal became an independent company again. The company was ranked 143rd on the 2022 Fortune 500 of the largest United States corporations by revenue.
How Does PayPal Work?
Between you and a bank, PayPal acts as a middleman. A user can choose which bank account to debit when making an online payment after adding a bank account or credit/debit card to the PayPal system. All transactions are handled by PayPal rather than your bank.
In conclusion, we can say the following about PayPal
- Enables online and in-person payments for goods and services
- Provides a way to send and receive money internationally
- Ensures various levels of digital security and payment protection
- Charges a variable and/or fixed fee for services rendered.
Can Anyone Setup a PayPal Account?
You'll need a few things to set up an account. First, you'll need to provide your personal information, such as your full name, address, phone number, and email. You'll also need to connect your account to your debit card, credit card, or bank account. In some cases, PayPal may also ask you for proof of ID.
How to Setup a PayPal Account - Step-by-Step
Note that setting up a PayPal account is totally free of charge. Once your account is ready, you can make purchases and send money to people free of charge too.
If you have money in your PayPal account, you can make use of it to buy goods and services online. With PayPal, transaction fees are applicable for credit and debit cards.
You will need a few key things to set up your PayPal account and these include an existing credit or debit card, recent bank statements for verification and a photo ID like passport or any other government issued ID card.
In order to set up your PayPal account, follow the step by step guide below:
- Open the PayPal website and click on the Sign-Up place on the top right corner of the webpage.
- Choose the type of account you need- Personal or Business and click on Continue.
- Your mobile number must be entered on the page before you can proceed to the verification stage.
- You will be prompted to enter your personal information after your phone number has been validated. Your name, email address, and account password are all included in this. Click Continue to move the application forward after that.
- Be sure to verify your email address by clicking on the link sent to your email account.
- Next, you will be asked to enter your current address and associated information. Once entered, click on Continue.
- Optional step- Click on the Get Started button to enter in your bank details- this includes your card details and bank-related information.
- Read the terms and conditions and check the box to agree to the terms of use.
- You are now ready to use your PayPal account!
PayPal offers its customers two types of accounts – Personal and Business, which essentially cover most interests and needs of people.
Anyone who wants to conduct straightforward transactions, such as sending money to friends and relatives or shopping online, should open a personal PayPal account.
More complex features are available with business accounts, such as the ability to collect payments using different debit and credit cards, operating under a company name, granting access to more than 200 employees, and having a separate email account specifically for customer service issues.
How to Verify Your PayPal Account
For safety reasons, it is necessary for you to verify your PayPal account before it is operational and the verification process starts with you linking your bank account or debit/credit card to PayPal.
In order to do this, you will have to go to PayPal and choose the Pay and Get Paid Tab. Under the Wallet section, choose Banks and Cards. Choose your bank and enter the cards you need to verify.
Verifying Credit and Debit Cards
Check PayPal's policy and charges on credit card statements if you decide to use your debit or credit cards. For the card to be verified, you need a four-digit code. The following steps will show you how to check your credit or debit card:
- Open PayPal and log in to your account.
- Click on the Pay and Get Paid tab
- In the Wallets section, go to the Banks and Cards section to verify the card
- Select your bank account and the card you want to verify
- Check the bank statement and card activity on PayPal’s interface
- Enter the four-digit code and click confirm.
- You have now verified your cards, and they are ready to use!
Do not forget the fact that if you are opening your PayPal account outside the US, you will have to activate international transactions on your credit/debit card.
How to Add a Bank Account to PayPal Account
To start linking a new bank account, look for Wallet on the top bar, which brings you to an overview of your current PayPal balance, as well as linked credit or debit cards. Simply click on Link a bank account to start the process.
Bank account verification on PayPal is similar to that of a credit/debit card but an additional factor is the deposit made by PayPal to your bank account. PayPal makes 2 deposits of any amount raging from $0.01 and $0.99.
As soon as the deposit is made, PayPal will then ask you to verify your transaction by entering the four digit code sent to you. Once the verification is done, PayPal reverses the transaction. Thus, your bank account has been verified.
How to Add a Credit Card to a PayPal Account
Link your credit card or debit to PayPal is an amazing way to enhance more flexibility of your funds. Below are the steps involved in adding a new credit card to your PayPal account.
- Open the PayPal website
- Click on the Pay and Get Paid Tab
- Click on the Wallet tab at the top of the page
- Locate the Link a debit or credit card tab on the left-hand side of the page
- Click on the link and follow the instructions to add your credit card.
It is significant to remember that before being utilized on PayPal, each additional credit must pass through a separate verification process. These are the security precautions PayPal employs to prevent fraud and other frauds and to safeguard user accounts.
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Final Thoughts on How to Set Up a PayPal Account
PayPal is one of the best online money transfer platform and so for that reason, am sure that several individuals will want to set up a PayPal account. If you are one of them, just know that you have fallen on the right article as I will show you how to do so.
Setting up a PayPal account is a quite easy task. Once you already have your PayPal account setup, you can easily make your transactions such as transferring money to businesses and individuals as well as buying goods and services online.
We have covered everything there is to know about setting up a PayPal account. The process is straightforward, and it barely takes fifteen minutes to set up. You can use the desktop website or the mobile app to access your PayPal account.
Frequently Asked Questions
How do I add a bank account to PayPal that is not listed?
If your bank is not listed among those provided by PayPal, or you don't have your online banking details available, you can connect your bank manually using your bank routing and account numbers. From the Select your bank page, click the I have a different bank button.
How long does it take to link a bank account to PayPal?
Click on the Money tab and Link a Bank Account. Enter your bank account information and select continue. To verify your account, we'll make two small deposits (less than $1 each) into the bank account provided. This usually takes approximately 3-5 business days.
Can I withdraw money from PayPal at ATM?
With PayPal's Debit MasterCard you can withdraw cash from most ATMs. PayPal Debit MasterCard is only available for customers from the US. Select Checking Account when withdrawing money from an ATM. You can withdraw up to $400.00 USD from your PayPal account from an ATM each day.
Can I delete my PayPal account and start again with the same email?
Yes once you have successfully closed down a PayPal account, you can use the same email to create a new account.
Can I link my debit card to PayPal?
Log in to your PayPal account with your email address and password. Click the Wallet link near the top of the page. Click on Link a credit or debit card and then click on Debit or credit card. Enter your card number, type, expiration date, CVV and billing address.