How to Transfer PayPal Fund to Wise (USD Account)

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PayPal and Wise (formerly TransferWise) are two popular online money transfer services. Many users have funds in their PayPal accounts that they want to transfer into Wise for better currency exchange rates and lower fees.

Transferring money from PayPal to Wise lets you take advantage of Wise’s lower fees to hold funds in foreign currencies or send international payments. You can also withdraw money from Wise to your bank account in many countries.

This guide will walk you through the process of linking your Wise and PayPal accounts to transfer balances quickly and easily.

How to transfer PayPal money to Wise

In the following guide, I’m using the desktop version of both platforms as references. I’m going to transfer USD from PayPal to a US bank account on Wise.

1. Log in to your PayPal account and Link a Card or Bank.

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2. Select Link a bank account.

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3. Click Link a U.S. bank instead.

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4. Open a new browser tab, log in to your Wise account and go to your USD wallet. If you don’t have one, you can open one.

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5. Click the account number below USD balance to reveal bank info.

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6. Here lies all the necessary information to add your Wise’s bank to PayPal.

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7. Go back to PayPal, assign the account type to be Checking. Fill out the Routing Number and Account Number. Then, click Link Your Bank.

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8. Your Wise bank account has been added. Click Done.

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9. To transfer from PayPal to Wise, click Transfer Funds.

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10. Select your Wise account and click Next. Please remember that each transaction will be subjected to 3% fee.

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11. Enter how much you want to transfer and click Next.

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12. Finally, click Transfer Now.

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The money should arrive in 1-3 days. However, if you are planning to transfer to a US bank account, PayPal may ask your taxpayer information which is only exist if you are a US resident.

The Benefits of Using Wise Over PayPal

Transferring your PayPal funds to Wise allows you to enjoy the following benefits that Wise provides:

  • Better exchange rates – Wise offers exchange rates much closer to the mid-market rate compared to PayPal’s rates. This means you lose less money when converting currencies.
  • Lower fees – Wise has very low transparent fees, while PayPal has higher hidden fees especially for international transfers and currency exchanges.
  • Hold foreign currencies – You can hold money in over 50 currencies in your Wise account, which is not possible within PayPal.
  • Withdraw to banks – Wise lets you withdraw funds to bank accounts in many countries, unlike PayPal which has limited withdrawal options.
  • Transparent pricing – Wise shows you upfront fees and exchange rates, while PayPal fees are vague and can change.
  • Excellent customer service – Wise has 24/7 customer support via online chat, phone, and email to resolve any issues promptly.

Despite these benefits, I should mention that the 3% transaction fee from PayPal to Wise may eliminate the better rates offered by Wise. So, if you are using this technique to avoid PayPal’s fee, it’s just not gonna work well.

Conclusion

Transferring funds from PayPal to Wise is straightforward once you link your accounts. It allows you to enjoy Wise’s superior exchange rates, lower fees, and currency tools for international money transfers and storage.

The small upfront effort of linking accounts is worth it for the long-term savings on currency exchanges and global payments. This simple process lets you move balances out of PayPal conveniently.

I hope this guide gives you a clear overview of how to transfer money from PayPal to Wise.