Personal Finance Tips

How to use PayPal with CIMB

Yumiko Kijima

11.05.26 (last updated)

Read time 4 minutes

This guide covers all you need to know on how to use PayPal with your CIMB account and card. We'll also touch on some of the PayPal fees you should know about, and smart ways to avoid PayPal's currency conversion costs when making international payments.

We'll also introduce the Wise account, a handy companion to make your money go further with low, transparent fees.

Sending money overseas with PayPal? Watch out for the exchange rates offered

Before we get started, let's look at an example of the costs involved if you use PayPal and your CIMB account to send an overseas payment, using Wise as a cost comparison.

Check out this example: Sending 5,000 MYR (including the transfer fees) to your recipient's account in USD

Provider	Transfer fees	Exchange rates	Recipient gets...
PayPal¹	0 MYR	Exchange rate PayPal decides (1 MYR = 0.2254 USD)	1,127.05 USD
Wise²	30.89 MYR	Real exchange rate (1 MYR = 0.235488 USD)	1,170.17 USD Send money

(June 11 2020, at 14:44(GMT+2))

You'll notice that your recipient actually gets less with PayPal compared to using Wise. That's in spite of the fact that PayPal offers international payments with no transfer fee.

This example highlights that there really is no such thing as a free international transfer. If a provider doesn't charge a transfer fee, the chances are that the charge is just placed somewhere else - often in the exchange rate used.

In our example above, PayPal adds a markup to the exchange rate. This is pretty common, but makes it hard to see the real fee you're paying for the transaction.

👀 With Wise you can spend and convert your money at the rate you usually see on Google, with low, transparent fees that are presented upfront.

Send money to 70+ countries with the real exchange rate🚀

How do I link my CIMB account to PayPal?

Linking CIMB to PayPal should be pretty straightforward. Here's what you need to do.³

Log in to your PayPal account and click on Wallet
Select the button which says Link a bank account
Follow the steps online to add all the account details, such as Bank name, MEPS routing code (CIMB: CIBBMYKL) and Account number
Review everything and click Continue

Before you can get started, you may need to confirm your CIMB account with PayPal⁴. If this is required, PayPal will make 2 small deposits to your CIMB account.

You'll then need to log into your PayPal account, and click on Wallet. Here you can select the CIMB account you want to confirm, and will be guided to enter the exact amounts of the 2 deposits which have been made. Once this stage is completed you're good to start using your CIMB account with PayPal.

How to transfer money from PayPal to a CIMB account

If you're holding a PayPal balance, and are ready to transfer PayPal to CIMB, here's what you need to do:⁵

Log in to your PayPal account
Find the option Transfer to your bank, which is below your PayPal balance summary
Choose how much to transfer, and click Continue
Double check the details for your linked account are correct and hit Confirm

You can also withdraw funds to your CIMB card.⁵

Log in to your PayPal account
Click Withdraw funds, which is next to your PayPal balance summary
You'll see a dropdown box, which says Transfer to - select the card you want to send money to
Choose how much to transfer, and click Next
Double check the details are correct and hit Withdraw MYR and amount

Withdrawing your balance from PayPal to CIMB should take between 1 - 3 working days.

How to top up PayPal using CIMB

You may also wonder how to top up PayPal using CIMB Clicks. However, when you click Add funds within your PayPal account, you'll be directed to RHB bank's website. This suggests that you may not be able to add money to or top up PayPal balance using your CIMB account.⁶

That being said, it doesn't mean you cannot use PayPal if your normal bank account is held with CIMB.

You can still make online purchases and send payments with a linked CIMB account - even if you can not add money to your PayPal balance from CIMB. For some countries, adding money to PayPal balance is not even available in the first place, so it's not a "must-have" feature to use PayPal.

Why can't I use a CIMB debit card on PayPal? Did CIMB ban PayPal? Try this.

If you're struggling to link your CIMB card or account to PayPal, you might be wondering: did CIMB block PayPal?

The good news is that PayPal and CIMB can be used together - although you might need to take an extra step with CIMB to get started. Usually if you have hit a problem with your PayPal it'll be because you need to activate your CIMB card for online shopping. If you don't do this, the bank might limit online purchases with their debit cards for security reasons.

To activate this feature and get started using CIMB PayPal, call 03-6204 7788 from 8am to 7pm, to have your account verified and activated.⁷

There you have it. All of your PayPal CIMB questions answered.

Don't forget, if you're a PayPal user, it's well worth checking out the fees charged for some PayPal services. While PayPal is perfect for local online shopping, you might find you pay more than you expect to send money to friends and family abroad, or spend online internationally.

💡 A cheap and transparent alternative: Wise

Wise international money transfers can be set up online or within the Wise app with low fees from 0.77% and the mid-market rate, to over 140+ countries. There’s no markup added to the exchange rate that’s used to convert your currency, which makes it easier to see exactly what you're paying for a transfer, and what the recipient will get in the end. Just transfer the amount indicated in MYR and let Wise do the rest.

Track your transfers easily when you create a free Wise account, and manage, hold, and convert your money in MYR and 40+ other currencies. You'll get the same great rates, and be able to track your transfers all from one place. As a bonus, you can also get 8+ local account details to be able to receive money in MYR, USD, GBP, and more.

🚀 Get Started with Wise

Sources

Simulation on PayPal account page (June 11 2020, at 14:44(GMT+2))
Simulation on Wise (June 11 2020, at 14:44(GMT+2))
PayPal | How do I add a bank account to my PayPal account?
PayPal | How do I confirm my bank account?
PayPal | How to withdraw funds
On a PayPal account page, when you click "Add funds", you'll be directed to a RHB bank website.
Contacted CIMB Malaysia through Facebook (May 12, 2020)

*Please see terms of use and product availability for your region or visit Wise fees and pricing for the most up to date pricing and fee information.

This publication is provided for general information purposes and does not constitute legal, tax or other professional advice from Wise Payments Limited or its subsidiaries and its affiliates, and it is not intended as a substitute for obtaining advice from a financial advisor or any other professional.

We make no representations, warranties or guarantees, whether expressed or implied, that the content in the publication is accurate, complete or up to date.