Online digital marketplaces such as Paypal and eBay offer convenience to both merchants and consumers. However, these e-commerce websites also pose a number of problems in terms of security and regulation. Among the most common security issues are identity theft and fraud, where PayPal has been commended for its efforts in preventing this from happening to its users.
But one question still remains: How do you withdraw your money? How does a consumer transfer funds safely from their PayPal account to their bank account when they have already completed all necessary transactions online? Well, today we will be discussing just that!
In order to answer this question, we must first distinguish between two options: withdrawing funds from your PayPal balance or withdrawing cash directly from your credit card linked with your account. In order to withdraw from your PayPal balance, you have a few options. First, log in to PayPal and select the profile icon in the top right-hand corner of your account. Click on “My money” and then on “Withdraw”.
You will now see a list of options for withdrawing funds. The first option is to withdraw directly to your linked credit card or bank account using either ACH transfer or by check. If you choose this option it can take up to 14 days for your funds to show up in your bank account depending on how long it takes your bank to process the transaction after receiving the funds from PayPal.
An alternative option is offered next—the eCheck option which works by sending an electronic notification instructing banks to move money between accounts. This option is relatively faster than the first option with a maximum of four days for funds to be available in your account.
The second method is withdrawing from your PayPal balance directly to your bank account using a direct withdrawal service such as Dwolla or Popmoney. How this works is that the cash will be deposited into the user’s bank just like if they went and made a deposit at an ATM machine. How this differs from getting cashback on credit card transactions though, is that you cannot just go and withdraw money from an ATM machine—you must register with one of these services and provide them with certain information so they can process the transaction correctly.
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