Most of us are the beneficiaries of internet banking, right? It reduces our effort and saves time as we can check balance, send and receive money without going to the branch.
But when it comes to overseas payment, things start to change. You can’t use the website of a bank to send or receive foreign payments. That’s where PayPal becomes extremely significant.
As a blogger, internet marketer or freelancer, creating a PayPal account is the first thing you should do. Or else, you will miss some good paying opportunities.
See Also: How to Add a PayPal Donate Button to your Website
So, here in this article, you are going to know how to use PayPal to send or receive money.
How to Use PayPal to Send or Receive Money
I hope you don’t need an introduction to PayPal. In fact, it is a fund transferring platform using which you can send money to anyone in the world. Similarly, you can receive as well.
How does PayPal Work?
Before going deep into the core of this article, let us check out how PayPal works. As I said earlier, PayPal is used to transfer funds no matter from where or to whom.
How can you send a text message to your friend who doesn’t care to have a mobile number? It is impossible. Two people indulging in conversation should have cell numbers.
Similarly, you have to make sure that the person to whom you want to send payment has a working PayPal account. Both of you must have PayPal accounts to transfer funds in between.
See Also: How to Setup a PayPal Account
The entire PayPal system is based on email accounts. In short, money is transferred from one email to another.
Setting Up a PayPal Account
Setting up a PayPal account is not at all a tough row to hoe. But you have to fill some forms to get an account.
The steps are given below.
Step 1: Go to PayPal website and click on Sign up.
Step 2: Now, you will be asked to select one from two account types. Two options are Personal and Business account. The second one favors massive payments.
Step 3: The next step is to choose your country, enter an email address and password. Your email address will function as PayPal email. When you have to accept payment, the only thing you will tell the sender is the email address.
So, it will be good if you enter your regular email.
Step 4: Now, a relatively long form will be displayed. Make sure that the first name and last name you enter is the same as that on your PAN card and bank account. Then click Agree and Create account.
N.B. – PAN card number is not a necessary to open a PayPal account. But you can’t receive payments if you don’t have one.
Step 5: On the next page, you need to fill the form with your debit or credit card details. You can either fill up right there or choose I’ll link my card later.
Then, click on Go to your account.
Wow! You can take a deep breath now saying ‘finally I have my PayPal account’.
5 Things You Must do to have a Fully Functional PayPal Account
See Also: How to Get a PayPal Prepaid Card
Soon after the account set up, you should do the following tasks to make it fully functional.
- Confirm email address
- Confirm phone number
- Link your debit/credit card
- Link bank account
- Add your PAN card number (mandatory to receive payments).
How to Verify Your Bank Account on PayPal?
Linking bank account is important to receive money on PayPal. Bank account is the place where we can convert virtual money into currency.
As a verification process, PayPal transfers a small amount of money (say $0.25 or 0.01) to your bank account. As soon as you get the money, you have to enter the exact figure on PayPal. If you enter it right, your PayPal will get verified.
How to Receive Money on PayPal?
PayPal is the best option to receive overseas payments. You don’t have to share as many details as we used to receive money in our bank accounts.
The only thing you have to reveal in order to receive payments on PayPal is the email only. And, make sure that both you and the sender has discussed on transaction charges. They have to send extra amount so that it includes that cost also.
The transactions are instant. So, you don’t need to wait days or even hours to get the payment. You will receive an email from PayPal soon after the money gets transferred.
You can keep the money in your PayPal account. And, it is possible to withdraw the money to your bank account if you want. Another option is setting up a threshold amount so that PayPal can transfer the money to your bank when it reaches a specific amount.
You will see email notification when PayPal gets payment.
How to Add Money on PayPal?
See Also: How to Verify PayPal
The convenient way to add money is to use your bank account. As you already linked your bank account with PayPal, it can be done easily.
At first, sign in to your PayPal account and go to add money under PayPal balance. Then you can see the bank account choices if you have multiple accounts.
Choose one account and then, you will be asked to input the amount you want to add. Finally, click Add to complete the process.
That’s all. According to the terms of your bank, it may take time.
To track the transfer progress, go to Activity page.
How to Pay with PayPal?
Step 1: Login to your PayPal account and go to Make Payment tab.
Step 2: Then, enter the receiver’s email id, amount, and purpose of the payment.
Step 3: Review the details and click Send.
Bottom Line
I hope you now know how to use PayPal to send or receive money. PayPal is the most convenient option to make online purchases as well.
If you have any doubt regarding this article, shoot your queries using the comment form given below.
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