Five Benefits of adding a Bank Account

Speed - send money instantly from your bank account

Having set up Direct Debit with PayPal, your bank account becomes your default payment option. You then have the option to make payments by Instant Bank Transfer. This is when your money is debited from your bank account and then transferred into the recipient's PayPal account instantly. In the event that there is not enough money in your bank account to make a payment, your debit or credit card acts as a back-up funding method

Convenience - use the same bank account for payments and withdrawals
You can transfer money from your PayPal account to the same bank account that funds your PayPal payments. It's free to withdraw £50.00 GBP or more, or just 25p for £49.99 GBP or less

Comfort - add funds to your PayPal balance
If you feel more comfortable knowing that you always have some money in your PayPal balance, just Log In to your PayPal account, click Add Funds and follow the instructions. You will then be able to transfer funds directly from your bank account into your PayPal balance. This process is free and you can continue using your PayPal account as usual while waiting for the funds to clear (seven to nine working days)

Send unlimited payments
By setting up Direct Debit and entering your debit or credit card details, you are then able to send as much money as you like. At some point, PayPal will ask you for additional information to gain a 'Verified' status but until then you may send unlimited payments. Click here to find out more about verification

First Step to gaining the status of Verified When a PayPal member receives the status of Verified it signifies that s/he has passed a series of stringent security checks carried out by PayPal. It sends out a message to other buyers and sellers that this person is trustworthy, so it is important to try to get Verified as soon as possible. Click here to find out more about verification

  Top of page

How to Set Up Direct Debit
Step 1: Log in to your PayPal account and click on Set up Direct Debit on the left hand side of your Account Overview page. When prompted, enter your bank details and review our Direct Debit agreement.

Step 2: When we have received your bank details, we will deposit two small amounts into your bank account. When you see your next bank statement, make a note of these amounts.

Step 3: Log in to your PayPal account and tell us what these two amounts are.

When you have completed all three steps, you can then start sending PayPal payments funded by your bank account.

  Top of page

If I set up Direct Debit, does it mean that PayPal can take money from my bank account?
In the United Kingdom, a Direct Debit is defined as "the payment of an agreed amount collected from a customer's bank account by an originator on request." The amounts and dates may vary from payment to payment.

As the account holder, you are the originator in the Direct Debit arrangement as defined above. This means that only you can request that a payment be made from your bank account. PayPal will never seek to debit funds from your bank account without your prior authority.

  Top of page

How to Add Funds Directly From Your Bank Account