How to convert USD to PHP in Paypal: Step-by-step guide

PayPal¹ is a popular provider for people wanting to shop online, or to send and receive payments locally and internationally. As PayPal is a global business, many different currencies can be used with your PayPal account - which might mean you receive a payment to PayPal in a foreign currency like USD.

If someone has sent you money you may be wondering how to convert dollars to pesos in PayPal to make it easier to spend here. This guide walks through how to switch between currencies, and how to find the PayPal exchange rate for USD to PHP, so you know what you’ll end up with in your account after conversion.

How to use PayPal in the Philippines

PayPal in the Philippines has both personal and business account services. If you’re a personal PayPal customer you can use PayPal to shop securely online, including getting buyer protections in case anything goes wrong with the service. The other major use of PayPal in the Philippines is to send and receive money.

Personal PayPal payments are available both locally in PHP and internationally - which might mean you receive foreign currencies to your PayPal account. If someone from abroad is sending you money to PayPal the transfer may well be made in their home currency, and deposited to your PayPal account without conversion. This then leaves you the option to either convert to PHP instantly, or to hold your balance in the foreign currency until you need it.

Because PayPal has a huge user base you might find friends and family members send you money to PayPal - this guide walks through how it works if you receive a foreign currency like USD and need to switch it back to PHP to use here at home.

What do I need to convert US dollars to pesos in PayPal

So - how to convert USD to PHP in PayPal?

First up, you’ll need an active and verified Philippine PayPal account, which you can set up online or in the PayPal app. You’ll only need to give some pretty basic information to get started such as your name and email address². Once you’ve registered you can receive payments right away. However, to spend and send money with PayPal you’ll ultimately need to get verified which you can do by adding and confirming a bank account, debit or credit card to your account³. This proves your ID and also provides you with a way to pay if you choose to use your PayPal account to shop online.

Once you’re all set up with payPal, you’ll need to have someone send you money. As a sender, PayPal is very easy to use - the person sending you a payment just needs to know your name and the email or phone number you used when you signed up. They can then set up the transfer to you, to be received in USD or any other supported currencies and pay from their balance, bank account or card. Payments are often received instantly with PayPal, although this will depend a bit on the way the sender sets up the transfer.

How to convert USD to PHP in PayPal: Step-by-step guide

So - let’s say you’ve now received a payment and need to use PayPal to convert USD to PHP. You’ll first want to check out the PayPal conversion rate for USD to PHP which you can find by tapping the Currency Converter button in your PayPal wallet⁴. Bear in mind that fees apply for converting currencies with PayPal, which we’ll look at in more detail later.

Once you’re ready to convert USD to PHP in PayPal you can take the following steps⁵:

1. Log into the PayPal app and go to Wallet
2. Select More beside the currency you want to convert and click Convert currency
3. Select a currency and enter the amount you want to convert, then click Next
4. Click Convert Now

Your currency will instantly be converted from USD to PHP. You’ll see your new PHP balance in your account.

What other currencies can I convert on PayPal

PayPal supports 24 currencies for holding and exchange⁶, including PHP alongside other major currencies like USD, GBP, EUR, AUD and NZD. Other useful currencies include regional options like SGD and THB.

If someone is sending you money from Singapore, for example, they’d be able to send Singapore dollars from their local account to your PayPal, and you can receive the payment in SGD to either spend or convert later.

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Fees and costs when using PayPal to convert USD to PHP

If you’re planning to convert USD to PHP in your PayPal account or when you withdraw a balance to your Philippine bank, you’ll need to make sure you’re aware of the PayPal fees⁷ which will apply.

There’s a currency conversion cost which we’ll look at next - plus there may be a withdrawal fee. If you're withdrawing less than 7,000 PHP the chances are that you’ll be charged 50 PHP - a fee which is waived for higher value withdrawals.

PayPal exchange rate for USD to PHP

PayPal sets its own exchange rate for currency conversion. This is created by taking a base exchange rate which is based on rates within the wholesale currency markets on the conversion day or the day before, plus an exchange fee⁸.

The exchange fee is deducted from the amount being converted from USD to PHP at the point the payment is converted, or when you withdraw your balance to your bank account in the Philippines.

PayPal fees to convert USD to PHP

There’s no fee to receive an incoming payment to PayPal, in PHP or USD. However, there's a conversion fee if you have USD and need to switch it over to PHP. In the Philippines, the currency conversion fee will usually be 4%.

It’s also worth remembering that if you’re withdrawing funds to your bank, there might be a fee if you are withdrawing an amount under 7,000 PHP.

How long does it take to convert USD to PHP on PayPal

You can usually convert a balance in PayPal from one currency to another instantly. You’ll simply see the new balance reflected in your PayPal account as soon as you’ve confirmed the conversion request.

Receive and convert USD to PHP at the mid-market rate with low, transparent fees using Wise

Check out Wise for easy, low cost ways to receive dollar payments and convert USD to PHP.

Open a Wise account online or in the Wise app, and get local and SWIFT account details to receive payments in 8+ currencies conveniently and get paid directly in USD, CAD, AUD and more. There’s no cost to open a Wise personal account, and no fee to receive USD by ACH. However, a small fee of 6.11 USD applies for incoming USD wire payments, and once you have a balance in dollars you can hold it or convert to PHP using the mid-market rate and low fees from 0.33%⁹.

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Converting USD to PHP doesn't have to be complicated or expensive. Get a Wise account to get the most out of your foreign currency conversions!

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