How to send money through paypal family and friends

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Upcoming Changes to Goods & Services Payments on PayPal

• PayPal will be rolling out two changes in the coming weeks to our peer-to-peer Goods & Services fee for U.S. businesses and consumers and updating the ways U.S. business accounts can receive payments.
• These changes will be effective for PayPal customers in the U.S. on July 28, 2022.

In the coming weeks, we will be rolling out two changes to our peer-to-peer pricing structure in the U.S., specifically for Goods & Services payments. We will be simplifying our goods & services fee structure and changing the ways U.S. business accounts can receive payments, effective for PayPal customers in the U.S. on July 28, 2022.

Updated Peer-to-Peer Goods & Services Pricing Structure  

We will be simplifying the Goods & Services seller fee to 2.99%, with no fixed fee, for customers in the U.S. PayPal’s current Goods & Services fee is 2.89% + $0.49 USD. 

As an example, if a customer is buying a piece of furniture for $225.00 USD, the seller will now pay $6.73 USD under the new simplified fee structure, versus $6.99 USD under the previous structure. In addition, Goods and Services transactions may be eligible for Purchase Protection which can be beneficial for both buyers and sellers.

Purchase Protection gives customers peace of mind, helping a buyer if they don't receive the item that they ordered, or if it shows up significantly different from its description, for eligible purchases. PayPal will reimburse the buyer for the full purchase price plus any original shipping costs, subject to terms and limitations. For sellers, PayPal’s Seller Protection Policy can protect online sales, minimize claims and chargebacks and help prevent fraudulent purchases.

Transition of Friends and Family Payments for Business Accounts

PayPal is also evolving the ways customers send money to Friends & Family and make payments for Goods & Services. In the coming weeks, U.S. customers will now only be able to send Friends and Family peer-to-peer payments to consumer PayPal accounts.

This update helps ensure that eligible purchases of Goods and Services will be protected for both parties and will drive consistency on our platform, while also removing confusion around which payments are eligible for buyer and seller protections. This will also enable PayPal to help businesses properly reconcile data-keeping and organize personal and business income. Business account holders can continue to access business-only features like automated reporting, invoicing, multi-employee access, and more. Business account holders who currently use PayPal to receive non-business-related payments can use or create a personal account to receive personal payments without seller fees, while using their business account to receive commercial payments.

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PayPal is one of the easiest ways to send and receive money from friends and family or pay someone for a product or service. Here’s how to send money through PayPal using the app or website.

Read more: What is PayPal? Everything you need to know

QUICK ANSWER

To send money through the PayPal app, tap the $ icon and Pay. Enter the recipient's username, email address, or phone number. Choose whether you are sending funds to friends and family or paying for a product or service. Select your payment method (PayPal balance, linked bank account, linked debit or credit card), and tap Next.

JUMP TO KEY SECTIONS

• How to send money on the PayPal app
• Send money on the PayPal website

How to send money on the PayPal app

Open the app and swipe to the Send money banner on the homepage to the right. You can also tap the $ icon and tap Pay.

Type in the name, email address, or phone number of the recipient and tap Next. Enter the amount and tap Next. You will have to choose whether you’re sending money to friends and family or if you’re buying something. Choose Goods and services if you’re making a purchase.

Choose your payment method (linked bank account, debit card, or credit card) and tap Send. Sending funds using a linked card has a 2.9% fee.

Send money using the PayPal website

Ankit Banerjee / Android Authority

Log in to your PayPal account and click Send or go to the Send and request tab. Type the person’s username, email address, or phone number and click Next.

Ankit Banerjee / Android Authority

Type in the amount you want to send. You also have the option to add a payment note.

Ankit Banerjee / Android Authority

Select whether you’re sending money to friends or family or if you are paying someone for a product or service. Choose your payment method and click Send. PayPal charges a fee for sending funds from a card, but it’s free if you send it using your PayPal balance or bank account.

Read more: How to receive money on PayPal

FAQs

How long does it take for PayPal to send money?

Unless there is a payment hold, sending money from one PayPal account to another is instant with your PayPal balance. Using your bank account as the payment method could take one to three business days.

Is there a fee to send money?

PayPal charges a 2.9% fee if you use a linked debit or credit card to transfer funds. There’s no fee if you use your PayPal balance or bank account.

Can you send money from PayPal to Venmo?

While you can use Venmo to make a payment at an online store when using PayPal as the checkout option, you cannot transfer funds from PayPal to Venmo directly.

Are there any transfer limits when sending money to someone?

If you have a verified PayPal account, you can send up to $60,000 in a single transaction. If your account isn’t verified, there is a $10,000 transfer limit.

Where is the friends and family option on PayPal?

Can you still send PayPal to friends and family?

How do I change my goods and services payment to friends and family?