PayPal Fees: How Much Does PayPal Charge? (2026)
Does PayPal charge a fee? For most everyday use, no. Paying for something in your own currency and sending money to friends and family from your PayPal balance or bank account are free in the US and the UK. PayPal fees start when a card funds a personal payment, when you sell, when money changes currency, when it crosses a border or when you want it in your bank within minutes.
The differences are large. Under PayPal's own fee pages, checked on 5 November 2026, $100 sent to a friend from a US bank account costs nothing, the same $100 paid by card costs $3.20, and a $100 sale costs the seller $2.99. On the same day, $1,000 sent to a friend in Europe cost $46.10 once PayPal's exchange rate was counted.
This guide sets out how much PayPal charges for each of those, for US and UK accounts, with worked examples per transaction. Where PayPal is the expensive option, which is mostly when currencies change, we show what Wise, Remitly and Xe charge for the same job.
Check What Sending Money Abroad Costs Before You Use PayPal
PayPal is cheapest at home and most expensive across borders, where its exchange rate does most of the damage. Enter an amount and a destination to see what Wise, Remitly and Xe would deliver today, then read on for every PayPal fee, starting with the full schedule.
PayPal Fees at a Glance: What PayPal Charges in the US and UK
PayPal fees depend on what you do. Paying a shop or sending money to friends and family in your own currency is free from your balance or bank. You pay when a US card funds a personal payment, when you are paid for a sale, when currencies change, when money goes abroad and when you withdraw instantly.
Activity | US account | UK account |
|---|---|---|
Paying friends and family at home from balance or bank | Free | Free |
Paying friends and family at home by card | 2.90% + $0.30 | Free |
Buying in your own currency | Free | Free |
Receiving a personal payment | Free | Free |
Receiving a goods and services payment (seller fee) | 2.99%, no fixed fee | 2.9% + £0.30 |
Extra when the buyer is abroad | 1.50% | 1.29% from the EEA, 1.99% elsewhere |
Paying friends and family abroad | 5%, minimum $0.99, maximum $4.99 | 5%, minimum £0.99, maximum £2.99 |
Converting currency | 4.00% spread on payments, 3.00% on other conversions | PayPal's transaction rate, no published percentage |
Standard withdrawal to your bank | Free | Free, but 3% to a US bank |
Instant transfer to a bank or debit card | 1.75%, minimum $0.25, maximum $25 | No fee listed to a bank or debit card |
From PayPal's US consumer fee page (updated 19 May 2026), US merchant fee page (updated 4 November 2026), UK consumer fee page (updated 22 January 2026) and UK merchant fee page (updated 1 October 2026), all checked 5 November 2026. Fixed fees shown are for payments received in dollars or pounds. All free items assume no currency conversion.
Does PayPal Charge a Fee? When It Is Free and When It Is Not
For routine domestic use, personal users pay little. Buying online is free for the buyer whenever the item is priced in your own currency, because the seller pays. Sending money to friends and family at home is free from a PayPal balance, a linked bank account or, in the US, an Amex Send account.
So does PayPal charge a fee to send money? Only when a card funds a personal payment from a US account, when the money goes to someone registered in another country, or when it changes currency. Receiving is free unless you are paid for goods or services, and withdrawing is free unless you choose speed or a conversion.
How Much Does PayPal Charge Per Transaction? Everyday Examples
Percentages are easier to judge in money. The table works through common payments of 100 in dollars and pounds at the published rates above, with no currency conversion except where a row says so.
Payment of 100 | US account, $100 | UK account, £100 |
|---|---|---|
Send to a friend at home from your bank or balance | $0 | £0 |
Send to a friend at home by card | $3.20 | £0 |
Pay a shop priced in your own currency | $0 | £0 |
Get paid for an item as goods and services | $2.99 | £3.20 |
Get paid for an item by a buyer abroad | $4.49 | £4.49 from the EEA, £5.19 from elsewhere |
Send to a friend abroad who receives your currency | $4.99 | £2.99 |
Send to a friend abroad who receives another currency | About $8.99 | £2.99 plus PayPal's spread |
Withdraw to your bank by standard transfer | $0 | £0 |
Withdraw to a debit card | $0 standard, $1.75 instant | £0 |
Our calculations from PayPal's published US and UK rates, checked 5 November 2026. The converted US payment assumes the 4 percent spread PayPal lists; the UK spread is not published.
At home, PayPal is free unless a card pays or you are the one selling. Once a payment crosses a border or a currency, the cost jumps, and on larger sums the exchange rate, not the visible fee, is the main cost.
Small charges add up over a year. A US seller paid $500 a month as goods and services gives up $179.40 a year, and a UK seller paid £500 a month in one payment gives up £177.60, before any dispute or conversion costs.
How Much Does PayPal Charge to Send Money to Friends and Family?
Sending money to friends and family in your own country is free from your PayPal balance or a linked bank account, in the US and the UK. A US account pays 2.90 percent plus $0.30 when a card funds the payment. Money sent to someone registered in another country adds a capped international fee of 5 percent.
Does PayPal Charge a Fee to Send Money From Your Balance or Bank?
No. The US schedule lists no fee for a domestic personal payment funded by your PayPal balance, by the PayPal Debit Card (which spends that balance) or by a linked bank account, and none for Amex Send. The UK schedule lists no fee for a domestic personal payment at all, whatever funds it, as long as no conversion is involved.
The trade-off with bank funding can be speed. If PayPal funds the payment as an eCheck from your bank, your friend may have to wait for it to clear. Our guide to why PayPal transfers take so long explains those holds and how to avoid them.
The PayPal Friends and Family Fee When a Card Pays
At home, the PayPal friends and family fee only appears on US accounts when a card funds the payment. It is 2.90 percent of the amount plus a fixed fee set by the currency your recipient gets: $0.30 for dollars, £0.20 for pounds and €0.35 for euros. On $100 that is $3.20, on $500 it is $14.80 and on $1,000 it is $29.30, every time.
Your card issuer may add its own charges on top, so check its terms before you use a credit card to pay a person. The UK schedule lists no card surcharge on personal payments at all.
What Counts as a Personal Payment, and Who Cannot Receive One
PayPal calls a payment to friends and family a personal payment: a gift, your share of a bill or the rent, money for a relative. Personal payments are not covered by PayPal's Purchase Protection in the US or Buyer Protection in the UK, which is why they are never meant for buying anything.
There are limits on who can receive one. Since 28 July 2022, US business accounts cannot receive friends and family payments from US senders, and the UK user agreement says business accounts are not eligible to receive personal payments. PayPal's US help centre says it currently cannot process personal payments to or from India. If you tag a personal payment as a purchase by mistake, the type cannot be changed, but US support may be able to return the fee.
PayPal Goods and Services Fee: What Buyers and Sellers Pay
The buyer pays nothing in their own currency and the seller pays the fee. On a US goods and services payment, the PayPal seller fee is 2.99 percent with no fixed fee. In the UK it is 2.9 percent plus £0.30. A buyer abroad adds 1.50 percent in the US and 1.29 or 1.99 percent in the UK.
Seller fee | US account | UK account |
|---|---|---|
Payment received as goods and services | 2.99% | 2.9% + £0.30 |
Payment through PayPal Checkout on a website | 3.49% + $0.49 | 2.9% + £0.30 |
Extra when the buyer is in another country | 1.50% | 1.29% from the EEA, 1.99% from elsewhere |
Fee returned when you refund the buyer | No | No |
Standard dispute fee | $15 | £12 |
Dispute fee for high-volume sellers | $30 | £24 |
Chargeback fee on card payments outside a PayPal account or guest checkout | $20 | £14 |
From PayPal's US merchant fee page (updated 4 November 2026) and UK merchant fee page (updated 1 October 2026), checked 5 November 2026. UK goods and services payments fall under the All Other Commercial Transactions rate.
Buying With PayPal Is Free in Your Own Currency
Both schedules say it is free to use PayPal to pay for a purchase unless a currency conversion is involved. If the item is priced in another currency, PayPal converts at its own rate with a spread, 4 percent on the US schedule, unless your card issuer converts instead.
What the buyer gets for free is protection. PayPal covers eligible goods and services payments under Purchase Protection in the US and Buyer Protection in the UK, which is the main reason to pay a seller this way rather than as a friend. Our guide on whether PayPal is safe covers how a claim works and what it does not cover.
The PayPal Seller Fee on a Goods and Services Payment
In the US, PayPal simplified the goods and services seller fee to 2.99 percent with no fixed fee from 28 July 2022, replacing 2.89 percent plus $0.49. A $100 payment leaves you $97.01 and a $1,000 payment leaves $970.10. Sales through PayPal Checkout on a website cost more, at 3.49 percent plus $0.49, which is $3.98 on $100.
In the UK, a goods and services payment falls under the standard commercial rate of 2.9 percent plus £0.30, so £3.20 on £100 and £29.30 on £1,000. UK sellers can also ask for PayPal's optional tiered plan, which charges 2.4 percent plus the fixed fee after a month above £4,000 and 2.1 percent after a month above £8,000.
One UK quirk is worth knowing. PayPal's UK fee pages class a payment you receive after using Request Money as a commercial transaction, which is the selling rate, so check the fee PayPal shows before you use Request Money to collect from friends.
Selling to a Buyer in Another Country
A buyer registered in another country adds a cross-border percentage on top. A US seller pays 1.50 percent more, so 4.49 percent in all on a goods and services payment, or $4.49 on $100. A UK seller pays 1.29 percent more when the buyer is in the EEA and 1.99 percent from anywhere else, so £4.49 or £5.19 on £100.
For freelancers paid from abroad this adds up quickly. A UK designer paid £1,000 a month by a US client as a goods and services payment gives up £49.20 each time, or £590.40 a year, before any conversion.
Refunds, Disputes and Chargebacks
If you refund a buyer, PayPal charges nothing to send the refund, but it keeps the fee you paid to receive the payment, on both the US and UK schedules. Refund a $100 sale in full and you are still $2.99 down.
Disputes cost sellers more. PayPal may charge a dispute fee of $15 or £12 when a buyer opens a dispute or chargeback on a payment made through their PayPal account or a PayPal checkout, and more for sellers with many disputes. A card chargeback on a payment made outside a PayPal account or PayPal guest checkout carries a $20 or £14 settlement fee instead.
PayPal's Currency Conversion Spread: The Fee Hidden in the Rate
Whenever PayPal converts money, it uses its own exchange rate with a spread built in. The US schedule sets it at 4.00 percent when your recipient gets another currency or you buy in one, and 3.00 percent for other conversions. The UK schedule publishes no percentage for personal accounts. On our checks the gap was about 4 percent.
When PayPal Charges 4 Percent and When It Charges 3 Percent
The US fee page lists three cases at 4.00 percent: buying goods or services priced in another currency, sending money to someone who receives a different currency, and PayPal Payouts paid in another currency. Everything else, such as converting a balance or withdrawing foreign currency, is 3.00 percent, and PayPal can disclose a different amount during the transaction.
The UK fee page points to the user agreement and a currency converter instead. Business accounts converting a balance pay 3 percent above the base exchange rate, but for personal accounts PayPal publishes no figure, so the only way to see the cost is to compare its rate with the mid-market rate at the same moment.
What the Spread Costs on a Real Payment
PayPal charges around 3 to 4 percent above the mid-market rate. Wise charges a small fixed fee with no markup. On 5 November 2026, $1,000 sent from a US bank account to a friend's euro account through PayPal delivered €847.31 against a mid-market value of €888.26. That was $4.99 in fees and $41.11 in the rate, $46.10 in all, against $5.47 with Wise.
Purchases work the same way. On something priced at the equivalent of $200 in euros, a 4 percent spread adds about $8 to the price, and on a $1,500 holiday rental paid through PayPal in another currency it adds about $60. Neither amount shows up as a fee.
That is why the spread is easy to miss. PayPal shows the exchange rate and the converted amount, and the cost sits in the gap between that rate and the mid-market exchange rate. Our guide to exchange rate markups shows how to measure that gap on any rate you are quoted.
Letting Your Card Issuer Convert Instead
When a card funds a payment in another currency, PayPal's user agreement says you may have the right to have your card issuer convert instead, depending on the issuer and the card network. PayPal always converts when the money comes from your balance or a linked bank account.
Switch only if your card is cheaper. A card with no foreign transaction fee converts at the card network's rate, which usually sits far closer to mid-market than PayPal's 4 percent, while a card that adds around 3 percent leaves little to gain.
PayPal Fees for Sending Money to Another Country
A personal payment to someone registered in another country costs 5 percent, capped at $4.99 from the US or £2.99 from the UK, plus the conversion spread if your recipient gets another currency. On 5 November 2026 that made $1,000 to a euro account cost $46.10 and £1,000 cost £45.20, against $5.47 and £3.81 with Wise.
The International Fee and Its Cap
The international fee is 5 percent with a floor and a ceiling. From the US it is at least $0.99 and at most $4.99, so it stops growing at $99.80. From the UK it is £0.99 to £2.99, capped from £59.80. A payment counts as international when PayPal has you and your recipient registered in different markets, even if no currency changes, and the UK treats payments with Guernsey, Jersey and the Isle of Man as domestic.
Paying by card from the US adds the domestic card fee of 2.90 percent plus a fixed fee on top. Our guide to PayPal international transfer fees works through every route, payment method and currency in detail, including Xoom, PayPal's own remittance service.
PayPal Against Wise, Remitly and Xe on 1,000
The capped fee makes PayPal look competitive, and the exchange rate is where it loses. These are the same two transfers priced with each provider on the same day, with the total cost counted as the fee plus the gap to the mid-market rate.
Transfer | PayPal | Wise | Remitly | Xe |
|---|---|---|---|---|
$1,000 from the US to a euro bank account | $46.10 (4.6%) | $5.47 (0.5%) | $9.22 (0.9%) | $18.87 (1.9%) |
£1,000 from the UK to a euro bank account | £45.20 (4.5%) | £3.81 (0.4%) | £10.51 (1.1%) | £8.34 (0.8%) |
Quotes collected 5 November 2026. Wise by ACH bank debit or UK bank transfer from its own pricing, Xe at its standard rate from its own calculator, PayPal and Remitly from the price comparison Wise publishes. First-transfer offers excluded.
PayPal's fee was one of the smallest lines on both transfers, and it still cost between about two and twelve times as much as the specialists. The gap grows with the amount: on $10,000 to euros our checks put PayPal at $417.89 against $46.68 with Wise.
Check Today's Price on Your Route
These quotes come from one day, and rates move. Enter your own amount and destination to compare live prices from Wise, Remitly and Xe before you send through PayPal.
Cheaper Ways to Send Money Abroad Than PayPal
If the money is going to someone in another country, a specialist usually costs a fraction of PayPal. Wise converts at the mid-market rate with one visible fee, Remitly is built for money sent home to family, including cash pickup and mobile wallets, and Xe charged no fee on our quotes and suits larger sums.
None of them replaces PayPal for paying a friend at home or checking out online. They do one job, moving money across borders, and do it for far less. Our roundup of PayPal alternatives covers the wider options for every kind of payment.
On the two transfers priced above, all three beat PayPal by at least $27 on $1,000 and by at least £34 on £1,000, and the best of them saved more than $40 or £41.
Wise
Wise9.5Wise uses the mid-market rate and charges one fee shown before you pay. From the US, $1,000 to euros by ACH bank debit cost $5.47 on 5 November 2026; from the UK, £1,000 to euros by bank transfer cost £3.81. The fee falls automatically on large amounts, and Wise says 78 percent of transfers arrived instantly (under 20 seconds) in the quarter to 30 September 2026.
It does not offer cash pickup, and paying by card costs more: $16.05 by debit card on the same $1,000. Our Wise review covers the account, the card and its customer service record.
Remitly
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Remitly8.5Remitly is built for money sent home to family. It pays out to bank accounts, cash pickup points and mobile wallets in more than 170 countries, and refunds its fees if a transfer arrives later than promised. On 5 November 2026 it cost $9.22 on $1,000 to euros and £10.51 on £1,000, and just $1.84 on $1,000 to British pounds. Our Remitly review has its fees route by route.
Xe
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Xe charged no transfer fee on our $1,000 and £1,000 quotes and made its money in the rate, which narrows as the amount grows. It cost £8.34 on £1,000 to euros from the UK and $18.87 on $1,000 from the US, well under half of PayPal's price. New customers are offered a better welcome rate when they start. Our Xe review covers its limits and rate tools.
PayPal Fees for Receiving and Withdrawing Money
Receiving a personal payment is free in the US and the UK when no conversion is involved, and so is a standard withdrawal to your bank. You pay for speed and currency: a US instant transfer costs 1.75 percent, a foreign currency balance is converted first, and UK accounts pay 3 percent to withdraw to a US bank.
Does PayPal Charge a Fee to Receive Money?
Not for a personal payment. Whoever sends it pays any fee, so a friend paying you in your own currency costs you nothing. If they send another currency, PayPal either converts it on their side or credits it to you in that currency, leaving you to convert it at your account's rate. If you are paid for goods or services, the seller fee above applies.
Our guide on how to receive money on PayPal covers payment links, requests and invoices, and the settings that decide which currency you are paid in.
The PayPal Instant Transfer Fee
A standard transfer from a US PayPal balance to your bank is free and typically arrives in 1 to 3 business days, or in about 48 hours to an eligible debit card. The PayPal instant transfer fee buys arrival in minutes: 1.75 percent of the amount, with a minimum of $0.25 and a maximum of $25.
In money, $100 costs $1.75, $500 costs $8.75 and $1,000 costs $17.50. The $25 cap applies from about $1,429, so an instant transfer gets relatively cheaper on large sums. Instant transfers to a bank are limited to $25,000 a transaction, and any transfer to a card to $5,000 a week and $15,000 a month.
The UK fee page lists no charge for withdrawing to a bank account or an eligible debit card when no conversion is involved. In the US, waiting a day or two for a standard transfer saves the fee. Our guide to moving money from PayPal to a bank account walks through each step on the app and the website.
Withdrawing a Foreign Currency Balance
If your PayPal balance is in another currency, PayPal converts it before it reaches your bank: at 3.00 percent on a US account, and at its own transaction exchange rate on a UK account. On a balance worth $1,000 that is about $30 lost to the rate. A UK account withdrawing to a US bank account pays 3 percent even when no conversion is involved.
In the US, a paper check mailed to you costs $1.50 on a personal account without a PayPal Balance account. If you are regularly paid in another currency, holding it where it converts at the mid-market rate costs far less than letting PayPal convert it on the way out.
PayPal Card Fees and Other Charges Worth Knowing
Beyond payments and withdrawals, PayPal's other charges sit mostly on cards and cash. The US PayPal Debit Card charges 2.50 percent abroad and $2.50 at ATMs outside the MoneyPass network. The UK PayPal Debit Card charges no cross-border or conversion fee, while the UK PayPal Credit Mastercard charges 2.5 percent on foreign currency spending.
PayPal Debit and Credit Card Fees Abroad
PayPal's two debit cards are priced very differently. The US card charges abroad even when no currency is converted, while PayPal says UK debit card payments and cash withdrawals carry no PayPal fee at all.
Card fee | US PayPal Debit Card | UK PayPal Debit Card |
|---|---|---|
Monthly fee | None | None |
Purchases outside the home country | 2.50% | No PayPal fee |
ATM withdrawal at home | Free at MoneyPass ATMs, $2.50 at others | No PayPal fee |
ATM withdrawal abroad | $2.50 plus 2.50% | No PayPal fee |
Adding cash at a store | $2.00 to $3.95 | Not listed |
From the PayPal Balance terms (updated 4 November 2026), PayPal's US debit card page and its UK debit card page, checked 5 November 2026. ATM owners may add their own fees in both countries.
The UK PayPal Credit Mastercard is the exception in the UK: it adds a 2.5 percent cross-border fee to any card transaction in a currency other than pounds. For spending abroad, a card that converts at the mid-market rate costs less than either of those, and our Wise card review sets the costs side by side.
Adding Cash, Checks and Card Checks in the US
US accounts pay to put cash in. Adding cash at a participating store costs $2.00 to $3.95 depending on the store. Loading a check into your balance costs 2 percent for payroll and government checks and 5 percent for other checks, with a $6 minimum, and nothing if the check cannot be added.
Linking a card can bring a temporary charge. To raise your sending limit, PayPal may charge a card link and confirmation fee, listed as $1.95 on the US schedule and £9.00 on the UK schedule, which is refunded once you complete the card verification.
Inactivity, Failed Withdrawals and Other Small Print
Neither the US nor the UK consumer fee page lists an inactivity fee in November 2026. PayPal does charge one in some European markets: its Belgian help page sets it at the lesser of the balance or €10 for accounts inactive for 12 months. In the US, the PayPal Balance terms say PayPal may close a balance account after two years without a login and send the money to you or, where required, to your state as unclaimed property.
A withdrawal that fails because of wrong bank details costs nothing in the US and £0.50 in the UK, and UK accounts pay £10 for a records request about a refused payment.
Is PayPal Worth Its Fees?
For everyday domestic use, yes. Paying shops and friends in your own currency is free, and the seller fee buys real buyer protection. PayPal fees become poor value when money changes currency or crosses a border, where a spread of about 4 percent costs many times what a specialist charges for the same transfer.
PayPal: Our Rating
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PayPal6.0Our rating reflects that split. PayPal scores well on reach and safety: it is widely accepted online, and PayPal UK Ltd is authorised by the FCA as an electronic money institution. It scores low on cost for anything involving currencies. Our PayPal review explains each score, and our PayPal vs Wise comparison runs the head to head on international payments.
When PayPal Fees Are Worth Paying
PayPal is hard to beat for paying friends at home from your balance or bank, where it costs nothing. Its seller fee buys protection when you buy from someone you do not know, and it is reasonable for small payments to people abroad who already use it, ideally in the same currency so only the capped fee applies.
It is a poor choice for regular money sent home, large transfers, card-funded personal payments in the US and foreign currency withdrawals, where a few percent per payment turns into hundreds a year.
How to Pay Less in PayPal Fees
Fund personal payments from your balance or bank, not a card, and take a standard withdrawal if you can wait. Send in your own currency when your recipient can convert more cheaply, let a cheaper card issuer convert foreign purchases, and move money abroad with a specialist. Our guide on how to avoid PayPal fees covers each setting step by step.
Bottom Line
PayPal fees are low where most people use PayPal: buying in your own currency and paying friends at home from a balance or bank are free in the US and the UK. A US card adds 2.90 percent plus $0.30, sellers pay 2.99 percent or 2.9 percent plus £0.30, and US instant transfers cost 1.75 percent.
The expensive part is currency. PayPal's spread of about 4 percent, on top of a 5 percent international fee capped at $4.99 or £2.99, made $1,000 to a euro account cost $46.10 on 5 November 2026, against $5.47 with Wise. Use PayPal at home, and compare a specialist before money crosses a border or a currency.
Frequently Asked Questions
Does PayPal charge a fee to send money?
Not usually at home. Sending money to friends and family in your own country is free from your PayPal balance or a linked bank account in both the US and the UK. A US account pays 2.90 percent plus $0.30 when a card funds the payment, while the UK schedule lists no card fee. Sending to someone registered in another country costs 5 percent, capped at $4.99 or £2.99, plus PayPal's conversion spread if the money changes currency.
How much does PayPal charge to send money to friends and family?
Nothing from your balance or bank in your own country, in the US or the UK. From a US account, a card-funded payment costs 2.90 percent plus a fixed fee of $0.30 when your friend gets dollars, so $3.20 on $100 and $29.30 on $1,000. A friend registered abroad adds a 5 percent international fee, at most $4.99 or £2.99. If the money changes currency, the US schedule adds a 4 percent spread through the exchange rate.
How much does PayPal charge per transaction?
It depends on the transaction. Buying in your own currency and paying friends at home from your balance or bank cost nothing. A seller paid as goods and services pays 2.99 percent in the US, or 2.9 percent plus £0.30 in the UK, and a US website checkout costs 3.49 percent plus $0.49. A US card-funded personal payment costs 2.90 percent plus $0.30, and a US instant transfer costs 1.75 percent, between $0.25 and $25.
Does PayPal charge a fee to receive money?
Not for a personal payment in your own currency, because the sender pays any fee. If you are paid for goods or services, you pay the seller fee: 2.99 percent in the US or 2.9 percent plus £0.30 in the UK. A payer in another country adds 1.50 percent in the US, or 1.29 to 1.99 percent in the UK. If the money arrives in another currency, converting it costs 3 percent on a US account.
What is the PayPal goods and services fee?
On a US account, the PayPal goods and services fee is 2.99 percent of the payment with no fixed fee, a rate PayPal set on 28 July 2022. On a UK account it is 2.9 percent plus £0.30. The seller pays it, not the buyer, and a buyer in another country adds 1.50 percent in the US or 1.29 to 1.99 percent in the UK. PayPal keeps the fee if you later refund the buyer.
Is there a PayPal friends and family fee?
Only in some cases. A friends and family payment in your own country is free from your balance or bank in the US and the UK. A US account pays 2.90 percent plus a fixed fee when a card funds it, and any payment to someone registered abroad carries a 5 percent international fee, capped at $4.99 or £2.99. Friends and family payments carry no purchase protection, so they are not meant for buying anything.
How much is the PayPal instant transfer fee?
On a US personal account, the PayPal instant transfer fee is 1.75 percent of the amount you move, with a minimum of $0.25 and a maximum of $25. That is $1.75 on $100 and $17.50 on $1,000, and the cap applies from about $1,429. A standard transfer to your bank is free and typically takes 1 to 3 business days. The UK fee page lists no charge for withdrawing to a bank or an eligible debit card.
Does PayPal charge to send money to another country?
Yes. PayPal charges 5 percent on a personal payment to someone registered in another market, at least $0.99 and at most $4.99 from the US, or £0.99 to £2.99 from the UK. If your recipient gets a different currency, PayPal also converts at its own rate, with a 4 percent spread on the US schedule. On 5 November 2026, $1,000 to a euro account cost $46.10 in all, against $5.47 with Wise.
Does PayPal charge a fee to convert currency?
Yes, through the exchange rate rather than as a line on the receipt. The US schedule sets the spread at 4 percent when a recipient gets another currency or you pay in one, and 3 percent for other conversions such as converting a balance. The UK schedule publishes no percentage for personal accounts, and on our checks PayPal's rates sat about 4 to 4.7 percent below the mid-market rate. Wise converts at the mid-market rate and charges one visible fee instead.
Does PayPal charge an inactivity fee?
Not on US or UK accounts on the current fee pages, which list no inactivity fee. PayPal does charge one in some European markets, where its Belgian help page sets it at the lesser of the balance or €10 for accounts inactive for 12 months. In the US, PayPal may close a balance account after two years without a login and send the money to you or to your state as unclaimed property. Logging in now and then avoids both.
Sources
- PayPal: US consumer fees
- PayPal: UK consumer fees
- PayPal: US merchant and business fees
- PayPal: UK merchant and business fees
- PayPal: PayPal Balance terms and fee disclosure (US)
- PayPal: US PayPal Debit Card
- PayPal: UK PayPal Debit Card
- PayPal Help Center (US): Friends and family or goods and services payments
- PayPal Help Centre (UK): Friends and family or goods and services payments
- PayPal Help Center (US): Friends and family payments to business accounts
- PayPal Newsroom: Changes to the Goods and Services seller fee (2022)
- PayPal Help Centre (Belgium): What is the inactivity fee?
- PayPal: UK user agreement
- Wise: pricing for sending money from the US
- Wise: pricing for sending money from the UK
- Wise: price comparison of banks and providers
- Wise: card fees for US residents
- Wise: card fees for UK residents
- Wise Group plc: Q2 FY27 results, quarter to 30 September 2026
- Remitly: sending limits and on-time delivery promise
- Xe: send money online
- Xe: large money transfers, limits and forward orders
- FCA: financial services register
Mo is the founder of MoneyTransferStore. As an expat who has experienced the challenges of sending money across borders himself, he set out to help others like him avoid hidden fees and unfair exchange rates on international transfers. With a background spanning fintech, payments, and Web3, Mo brings years of practical experience to building a platform focused on transparency and trust.