What you need to create a PayPal account

You can create a PayPal account in about five minutes using a computer or phone. You will need a valid email address, a password you create yourself, and either a debit card, credit card, or bank account number to link to your account. PayPal does not charge you to open an account — you only pay fees when you send money or receive payments for goods and services.

PayPal offers two account types: Personal and Business. A Personal account is for sending money to friends and family or making purchases online. A Business account is for people who sell items or run a business and need to receive payments from customers. Most people start with a Personal account. You can change to a Business account later if you need to.

Before you start, have your email address ready and decide whether you want to link a debit card, credit card, or bank account. You do not have to link a payment method right away, but you will need one before you can send money or make purchases.

Key Takeaways

  • You need a valid email address and a password to create a PayPal account, and the whole process takes about five minutes.
  • PayPal offers Personal accounts for sending money and making purchases, and Business accounts for people who receive customer payments.
  • You can link a debit card, credit card, or bank account to your PayPal account, but you do not have to do this immediately.
  • PayPal will ask you to verify your email address and may ask for additional information like your phone number or address.
  • Once your account is set up, you can send money, make online purchases, and receive payments without paying monthly fees.

Step-by-step: Creating your PayPal account

Step 1: Go to PayPal.com Open a web browser and type paypal.com into the address bar. On the home page, look for a button that says "Sign Up" — this is usually near the top right of the page. Click it.

Step 2: Choose your account type PayPal will ask whether you want a Personal or Business account. For most people, Personal is the right choice. Click the Personal option and then click "Next".

Step 3: Enter your email address Type in the email address you want to use for your PayPal account. This is the address you will use to log in every time. Make sure you type it correctly — you will need access to this email to verify your account. Click "Next".

Step 4: Create a password PayPal will ask you to create a password. Use something you can remember but that is not easy to guess. A good password includes uppercase letters, lowercase letters, numbers, and symbols (like ! or @). Write it down somewhere safe. Click "Next".

Step 5: Enter your personal information PayPal will ask for your first name, last name, date of birth, and address. Type this information exactly as it appears on your government ID or bank account. This helps PayPal verify who you are. Click "Next".

Step 6: Verify your email PayPal will send a message to the email address you provided. Open that email and look for a link or code from PayPal. Click the link or type the code into PayPal's website. This proves you own the email address and can access it.

Step 7: Link a payment method (optional for now) PayPal will ask if you want to add a debit card, credit card, or bank account. You can skip this step and add one later, or you can enter the information now. If you add a card or bank account, PayPal may make two small test deposits to verify it belongs to you — this is normal and takes a few days.

Linking a debit card, credit card, or bank account

You do not have to link a payment method when you first create your account, but you will need one before you can send money or make purchases. When you are ready, log into PayPal and look for a menu option called "Wallet" or "Payment Methods". Click it.

Choose whether you want to add a debit card, credit card, or bank account. If you add a card, type in the card number, expiration date, and the three-digit security code on the back. If you add a bank account, you will need your routing number and account number — these appear at the bottom of your checks or you can get them from your bank's website.

After you enter the information, PayPal may make two small deposits (usually less than one dollar each) to your bank account or card to verify it is real. Check your bank statement a few days later, find those two amounts, and enter them into PayPal. Once PayPal confirms the amounts match, your payment method is linked and ready to use.

What happens after you verify your email

Once you verify your email address, your account is active and you can log in anytime. You can start receiving money from other PayPal users right away — they just need your email address. However, you cannot send money or make purchases until you link a payment method.

PayPal may ask for additional information like your phone number, the last four digits of your Social Security number, or a photo of your ID. This is normal and helps PayPal prevent fraud. You do not have to provide this information immediately, but PayPal may limit what you can do with your account until you do.

Keep your password safe and do not share it with anyone. If you forget your password, go to PayPal.com and click "Log In", then click "Forgot password?" and follow the steps to reset it using your email address.

Common mistakes to avoid

The most common mistake is typing your email address wrong. If you make a typo, you will not be able to verify your account because PayPal's confirmation email will go to the wrong address. Type slowly and double-check before you click "Next".

Another mistake is using a password that is too simple or that you use for other websites. If someone guesses your password, they can access your PayPal account and your linked bank account or card. Use a unique password that you do not use anywhere else.

Do not link a payment method and then forget about it. Check your PayPal account regularly to make sure no unauthorized charges appear. If you see something you did not do, contact PayPal right away through the "Contact Us" option in your account settings.

Using your PayPal account once it is set up

Once your account is active and you have linked a payment method, you can send money to friends and family, make purchases on websites that accept PayPal, or receive payments if you sell something. To send money, log into PayPal, click "Send Money", type in the recipient's email address or phone number, enter the amount, and click "Send".

When you make a purchase on a website, look for a PayPal button at checkout. Click it, log into your PayPal account if you are not already logged in, and PayPal will charge your linked payment method. You do not have to enter your card number on the website — PayPal handles the payment for you.

If someone sends you money, it will appear in your PayPal account. You can leave it there, transfer it to your bank account, or use it to make purchases or send money to someone else. To transfer money to your bank account, log into PayPal, click "Wallet", find your bank account, and click "Transfer Money".

Frequently Asked Questions

Can I create a PayPal account without a credit card or bank account?

Yes. You can create an account using only your email address and password. However, you will not be able to send money or make purchases until you link a debit card, credit card, or bank account. You can receive money from other PayPal users without linking a payment method.

How long does it take to verify my email address?

PayPal sends the verification email immediately after you sign up. Check your email inbox and spam folder within a few minutes. Click the link in the email and your account is verified right away. If you do not see the email, go back to PayPal.com, log in, and click "Resend" to send another verification email.

What if I forget my password?

Go to PayPal.com and click "Log In". Click "Forgot password?" and enter your email address. PayPal will send you a link to reset your password. Click the link in the email and create a new password. Make sure the new password is different from your old one and that you do not use it on other websites.

Do I have to use my real name on my PayPal account?

Yes. PayPal requires your legal first and last name to prevent fraud. The name on your PayPal account should match the name on your bank account or ID. If they do not match, PayPal may not let you link your payment method or may limit your account.

Can I have more than one PayPal account?

PayPal allows one Personal account and one Business account per person, but both must use different email addresses. Having multiple accounts with the same email address violates PayPal's rules and can get your accounts closed. If you need both a Personal and Business account, use two separate email addresses.