What is PayPal? History and How it Works

What is PayPal?

PayPal is an online payment system that operates worldwide, as it can be used to pay and get paid, shop online, send and receive money to one another, family members, loved ones, and friends. PayPal as you may know is accepted in the majority of countries where online payment system is supported.

What is PayPal? History and How it Works

However, PayPal is an electronic alternative to the local traditional paper payment method, such as money orders and checks. PayPal charges a little fee for every transaction, as it operates as a payment gateway for online vendors, auctions site, and a lot of commercial users.

History

Historically speaking, PayPal happened to be the best and most secure payment process to date. It was founded in the year 1998, in December as confinity, and was established by some group of people namely Peter Thiel, Luke Nosek.

It was then known to be a company which is specialized in the development of security software for handheld devices.

Later it then changed its focus to Digital wallets, which lead to the vision of the PayPal electronic payment system in the year 1999.

PayPal, its official website URL is wwww.payaypal.com. It hasn’t been changed once, and it not going to change. It’s served almost worldwide, where some of this country has the ability to receive money and send, why some are not yet eligible to receive money. It was confirmed that PayPal now has over 400 million users worldwide.

Subsidiaries

PayPal does own other companies under it which combines to help solve online payment problems. These companies are PayPal Credit, Braintree, Venmo, Xoom, iZettle, Honey, Paydiant, Tradera, and a lot more.

How PayPal Works?

Users who want to make use of PayPal just need to link their credit or debit card to their PayPal account. Then the user can start making use of PayPal online after he or she finishes setting up their PayPal account.

App

Furthermore, PayPal is very wide, how it operates, the services it renders to commercial users online. It not only has a web platform but PayPal can also be used on mobile devices for a better user experience.

With the help of the mobile app which is available for download on the Google play store and Apple store. And it is available and users can make use of it on various mobile devices, like the popular ones, which are Android and iOS devices.

You can do more when you with the PayPal application like signing up or login to your account, checking your payment history, as well as to contact PayPal customer service.

Account Sign up/Log In

To make use of PayPal, you need to have an account, and how do you get an account, you need to sign up for one. Every PayPal users today have an active account. You can create a free PayPal account today with ease. You just need to visit the PayPal sign up page.

PayPal Account Requirement

To create a personal PayPal account, you will have to provide your full name, phone number, and email address. To create a business account, you will still have to provide the same info, in addition to your business EIN or SSN.

You can convert a personal PayPal account to a business account later, but you can convert a business account to a personal account.

Login to your PayPal Account

After you must have finished setting up your PayPal account, or you have an existing account, you can login or sign in. You can make use of the PayPal app or the website using www.paypal.com/signin.

How to Link my Debit or Credit Card to PayPal

Before you can make any transaction on your PayPal, you need to link your debit or credit card to your PayPal account.

To add a new debit card:

  1. Log in to your PayPal account, using your email address.
  2. At the top side of the page, click on the Wallet Link.
  3. Click on Link a Debit or Credit Card, the click on Credit or Debit Card.
  4. Now enter your card number, expiration date, CVV, and billing address.
  5. Now click on Link a Card.

Sometimes, PayPal might want you to confirm your card with them, you just have to request a PayPal Code. Here is how to do it:

  1. Sign in to your account.
  2. Click on Wallet, then tap on the Card you want to confirm.
  3. Tap on the Confirm Card Link.
  4. You just need to check your Debit card or Credit card info if they are correct, and then click ok.

When confirming your card on PayPal, you need a small amount of fee, in the process a fee of $1.95 will be temporarily charged to your card. To confirm your Debit or Credit Card is active for online use.

  • Now, go back to the Wallet section, then to the card you need to confirm. Enter the 4 digits code that appears on your transaction history or bank statement, and then click on Confirm.

All that is felt for you to do now is to add money to your PayPal account from either your Debit or Credit card that is linked to PayPal.

Debit or Credit Cards you can Link to PayPal

Their lots of Credit or Debit cards you can link to your PayPal account. You can link a local bank card or an online bank card. Bow they are.

  1. Chase Secure Banking.
  2. com Visa Card.
  3. Wells Fargo.
  4. Axis Bank
  5. HDFC Bank
  6. PNC
  7. Keybank
  8. Bank of America
  9. Suntrust
  10. JPMorgan Chase
  11. BNY Mellon
  12. BB&T
  13. Citibank

The above are some list of online banks PayPal accepts for users to link to their accounts.

How to Make Payment Using Your PayPal Account?

You can only make use of your PayPal account on an online platform, where PayPal is accepted as a means of payment. On some online platforms, you can add your PayPal account as a payment option. Or you can add select PayPal as a payment option when it is time to check out your items.

  1. Click on Select PayPal as a payment option. It will direct you to the PayPal website, where you need to login to your PayPal account.
  2. Then it will redirect you back to the online store to complete your checkout for an item you want to purchase.

Making a payment with PayPal is very easy, safe, and convenient. Making a payment with CryptoCurrency is not available on PayPal. You can now check out with Crypto via the PayPal platform; Note checking out with Crypto is said to be a Taxable transaction, so fees and exchange rates apply to every transaction you make with Crypto via PayPal.

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