Business

Does PayPal Accept International Wire Transfers?

Panna Kemenes

03.12.24

Read time 3 minutes

PayPal is a well known payment method for people around the world. But does PayPal accept international wire transfers?

This guide will cover if and how PayPal can be used to accept international wire transfers.

💡 Does your business make international payments? Wise Business can help you save money. Send and receive payments with ease, without any hidden fees.

Does PayPal Accept International Wire Transfers?

International wire transfers are an option for anyone who wants to send a payment to someone in another country. They are generally secure and easy to complete via a bank.

PayPal is not a bank, but it can still be an option for making international payments.

You can use PayPal if you want to send or receive an international transfer. However, PayPal can only move money between PayPal accounts internationally. The sender will need to link their bank account to PayPal to make an international wire transfer if you want to use PayPal to accept the payment.

How to Accept International Wire Transfers with PayPal

If the sender has a PayPal account, the process is easy. Once someone logs into their PayPal account, they can go to the send and request section and enter the recipient's name and email. After this, they can select the payment amount and choose the correct payment method. PayPal allows you to link your bank account, and to receive money in your account.

If someone does not have a PayPal account, Xoom is another PayPal company which may be a more convenient option.

Discover Wise Business: The Easy, Low Cost Way to Receive International Payments

Accepting international payments can be a hassle. There are plenty of options out there, including various banks and fintech companies. But all of these options have different costs and processes.

One of the main challenges is identifying the hidden costs of an international wire transfer. Even if a service offers low fees, you can still end up paying more because of the unfavorable exchange rate.

Wise is a solution for businesses that need to send or receive international payments. The sender does not need to have a Wise account for you to be able to accept the international payment - although if they do it will be even cheaper for them as Wise to Wise transfers are free. You can get major currency account numbers for a one-off fee to receive overseas payments like a local. It’s free to receive money into your Wise Account numbers.

Find out more about Wise Business

Wise is not a bank, but a Money Services Business (MSB) provider and a smart alternative to banks. The Wise Business account is designed with international business in mind, and makes it easy to send, hold, and manage business funds in 40+ currencies. You can also send money to 160+ countries. Wise Business uses the mid-market rate during currency exchanges, and charges no hidden fees.

PayPal vs Traditional Wire Transfers

Traditional wire transfers move money directly from one bank to another. On the other hand, using PayPal entails using a combination of different PayPal accounts and banks. Another important factor to consider is the fee for sending international wire transfers. Traditional banks like Bank of America and JP Morgan Chase have varying international wire transfer fees and offer options in many currencies.¹

International wire transfer fees can be around $44 on average.² This fee can be less expensive than paying with a credit card. If you are looking for a cheaper option, it may be ideal to consider an ACH payment, which is generally cheaper than a wire transfer. An international ACH fee can sometimes be less than $5.³

PayPal is a relatively low-cost option for international payments. However, one needs to consider both the fees and the currency conversion spread. PayPal typically charges a fee as a percentage of the transaction amount.⁴ There is usually a maximum fee. It’s also important to consider the exchange rate, as PayPal does not use the mid-market rate. Therefore, your fee for the exchange could be 3-4%.

The method you choose can also depend on the amount you send. Sending a small amount of money via international wire may end up costing more than the amount sent. However, when sending large amounts, the currency conversion fees can add up with PayPal.

In either case, the currency exchange rate is also important to check, as one option may have lower fees, but convert at an unfavorable exchange rate.

Sources

All sources checked December 2024.

*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.