PayPal is an online payment system launched in 1999 and is used by millions of people worldwide. Its mobile application for Android and iPhone provides a convenient way to send and receive money. PayPal also offers merchants portable point-of-sale devices.
Sending and Receiving Money Using the PayPal Mobile App
The PayPal mobile app, like other payment apps, allows you to send and receive money to and from other PayPal accounts using your mobile device only. There are no fees for sending or receiving money from friends and family; just enter the recipient’s phone number or email address to send or request payment.
PayPal requires linking a bank account to open an account, but you can add credit and debit cards as payment methods once your account is open.
Note: You can use your PayPal account to collect money with other PayPal users (“money pool”), donate to charities, and send money abroad.
You can access your PayPal account from your iPhone or Android phone at any time. The app allows you to:
- Check your account balance and recent activity
- Transfer money to and from your bank accounts
- Add or remove credit and debit cards
- Download account statements
Shopping and Paying Online with Your PayPal Account
You can shop and pay online without using a credit card if you have a PayPal account. To do this, you will choose the PayPal option at checkout. PayPal will give you the option to pay using your balance, a linked credit card, debit card, or checking account.
Note: PayPal offers a protection plan that reimburses you for the purchase price and shipping fees if the purchase does not arrive as specified.
Using the PayPal Cash Card to Pay in Stores
PayPal offers a very simple way to pay in stores: the PayPal Cash Card. It uses your PayPal balance to fund purchases. You can use it anywhere Mastercard is accepted, and you can track all your purchases from your phone.
PayPal also offers two credit cards – the PayPal Cashback Mastercard and the PayPal Extras Mastercard – in addition to Pay in 4, a plan for buy now, pay later that splits purchases into four payments made over six weeks.
Linking Your PayPal Account to Google Pay
If you have an Android phone, you can link your PayPal account to your Google Pay account. After that, you can use PayPal to pay in stores that accept wireless Mastercard payments. Just tap your Google Pay-enabled phone on the payment device at checkout.
Unfortunately, you cannot use PayPal as a payment source in Apple Pay with iPhone and iPad devices. However, you can add PayPal as a payment method for in-app purchases.
Buying and Selling Cryptocurrency Using PayPal
PayPal’s cryptocurrency trading platform allows U.S.-based customers (excluding Hawaii) to buy and sell Bitcoin, Bitcoin Cash, Ethereum, and Litecoin using their PayPal accounts. However, you cannot transfer cryptocurrency to or from your account.
In April 2021, the company expanded cryptocurrency trading to its other platform, Venmo, with plans to expand to specified international markets in the first half of 2021.
Note: PayPal announced in March 2021 that it would now allow users to fund eligible purchases using cryptocurrencies like Bitcoin, Litecoin, Ethereum, or Bitcoin Cash. The option will appear to users who have sufficient cryptocurrency in their accounts during the checkout process.
Fees
Related to Cryptocurrency
PayPal charges fees based on the difference between the market price from its trading service provider, Paxos, and the exchange rate between the US dollar and cryptocurrencies. PayPal discloses these fees, known as “the spread,” before completing the transaction. In addition to the spread, there are transaction fees for buying and selling cryptocurrencies:
| Purchase/Sale Amount | Fees |
|---|---|
| $1.00 – $24.99 | $0.50 |
| $25 – $100 | 2.30% |
| $100.01 – $200 | 2.00% |
| $200.01 – $1,000 | 1.80% |
| More than $1,000 | 1.50% |
PayPal Transaction Fees
Outside of cryptocurrency-related transactions, using the PayPal app is free in most cases. Shopping online or in stores will not cost you anything. Sending and receiving money directly from or to a PayPal account is free, but if you wish to use a credit or debit card to send money, it will cost you 2.9% plus 30 cents per transaction.
The person sending money can decide whether to absorb the fees or pass them on to the recipient. International transactions come with higher fees but are acceptable, which you can find in the PayPal fee statement, although some fees may be lower on small payments.
Frequently Asked Questions (FAQs)
How can I create a PayPal account?
To create a PayPal account, you will need to choose whether you want a personal or business account. If it’s a personal account, you will need to enter your name, address, phone number, and email address. If it’s a business account, you will need to provide your business contact information. You will also need to create a password and select security questions.
How can I delete my PayPal account?
Before you can delete or close your PayPal account, you must withdraw any funds in your account. You will also need to resolve any issues with your account. After that, you will need to go to your settings and select “Close your account” in the account options. Follow the instructions to finalize the closure of your account.
Source: https://www.thebalancemoney.com/paypal-mobile-apps-bring-digital-to-your-wallet-1293459
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