What is PayPal?
PayPal is an online payment service that can be used to pay businesses and individuals online without sharing your financial details directly with the recipient.
Once you've set up your account and linked an eligible payment method, paying online is usually as simple as choosing PayPal at checkout, signing in and confirming your payment.
Is it safe?
PayPal is generally considered a secure way to pay online because, in most cases, merchants don't receive your card or bank account details when you pay through PayPal.
Like any online account, it's important to protect it by using a strong, unique password and enabling extra security features, such as two-factor authentication, if available.
PayPal also offers Buyer Protection for many eligible purchases. If an eligible item doesn't arrive or is significantly different from the seller's description, you may be able to make a claim (conditions and time limits apply). Buyer Protection doesn't apply to every purchase, and some transactions - including real estate, most motor vehicles, many items collected in person and personal payments - aren't eligible. Always check PayPal's current Buyer Protection terms before making a purchase.
Linking a payment method
To link a debit or credit card, sign in to your account and follow the prompts to add a card.
If you're linking a bank account, PayPal may verify the account before it can be used. This often involves sending small test deposits to your account, which you then confirm in PayPal. Verification methods can vary.
Transferring money to your bank
Money you receive can remain in your PayPal balance or be transferred to an eligible linked bank account or debit card.
Transfer options, fees and processing times vary depending on the destination and the type of transfer selected. At the time of writing, standard transfers to Australian bank accounts are generally free, while eligible instant transfers usually attract a fee. Fees and transfer options can change over time.
Watching out for scams
Scammers sometimes pretend to be PayPal in emails, text messages or phone calls. To help protect yourself:
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