Need cash from your PayPal account right away? PayPal users will soon be able to instantly transfer money to their bank accounts via eligible debit cards linked to their PayPal account – for a fee of 25 cents – thanks in part to the company’s relationships with Visa and Mastercard.
You’ve read a lot from me about PayPal’s mobile commerce growth but beyond PayPal making it easier to shop from your mobile device, it is easier than ever these days to pay back family or friends with your phone – no need to pull out your wallet.
PayPal has been leading the peer-to-peer payments (P2P) charge for nearly two decades. PayPal’s first product back in 1998 allowed you to “beam money” to your friends from one Palm Pilot to another. Today, people are using PayPal’s P2P services, including Venmo and Xoom, to send and receive more than $7 Million an hour to their friends and family.
As we continue to democratize the management and movement of money for our customers, we are making it radically simpler to transact on mobile, with products such as PayPal One Touch, and giving customers more options with our Customer Choice initiatives.
In that same spirit, PayPal users in the U.S. will soon be able to instantly transfer money to their bank accounts via eligible debit cards linked to their PayPal account. We expect that funds will typically be available in your bank account in a matter of minutes, although some banks may take up to 30 minutes. Our beta of this is now available to select PayPal users and will be made available to all U.S. PayPal users with eligible Visa or Mastercard debit cards over the coming weeks and months.
This new feature is another benefit to our customers that we’re able to make possible through the partnerships we announced last year with Visa and Mastercard and our closer working relationship with the bank and card issuing ecosystem. As always, funds in your balance are immediately available to use when shopping with PayPal, and there is no charge to transfer funds directly to your bank account through our original bank transfer functionality, which typically takes one business day. Our new transfer option will be available for a nominal fee of $0.25 per transfer.
SOURCE: PayPal Announcement