How to Transfer Money from PayPal to Credit Card Instantly

Last Updated on September 23, 2023

You probably want to transfer money from PayPal to credit card instantly to clear your outstanding debt. Unfortunately, that won’t be possible. Instant PayPal transfers cannot be made directly to credit cards, instead, you can only make transfers to your linked bank accounts, supported debit cards, or prepaid cards.

Can I transfer money from PayPal to credit card?

No, you can’t transfer money from PayPal to a credit card. Your credit card is meant to make purchases rather than accept transfers. You need a debit card linked to your PayPal for that.

How to transfer money from PayPal to credit card instantly

We’d have loved to take you through the steps to fund your credit card using your PayPal. But, unfortunately, this doesn’t work. Let’s take you a bit deeper to understand how or why a credit card can’t be funded through PayPal transfer or any other form of transfer.

Your credit card is simply designed for making payments or obtaining cash advances (when you withdraw money from it) up to a certain credit limit.¹ You can only use it to spend money, and any transactions made using a credit card result in a debt that you have to repay to the credit card issuer.

If someone is sending you money via PayPal, they cannot directly transfer it to your credit card. Instead, they need to transfer the funds to a bank account linked to your credit card or use another method of payment.

Here is a limitation though. Credit cards can receive refunds or credits from merchants (typically retail stores where you bought something with that credit card). For example, if you return a purchased item, the merchant may credit your credit card account with the refunded amount. But this is different from receiving money directly into your credit card.

Since you can’t transfer money from PayPal to credit card instantly, let’s look at the primary use of a credit card.

What you can do with your credit card on PayPal

Instead of receiving funds to your credit card, you can do the opposite — sending or spending your credit card funds.

1. Transfer funds via the PayPal mobile app

If you have funds on your credit card, you can transfer it to your family and friends. Like we’ve said over and over, your family and friends can fund the credit card since it doesn’t accept funds like a debit card.

Follow these steps to transfer money from your credit card using the PayPal mobile app.

Open the PayPal app on your device.
Select the Wallet option in the lower menu bar.
Locate and select the option to Withdraw Money.
Choose the amount you wish to withdraw, then select Next.
Under ‘Transfer To’, select the credit card to which you want to transfer the funds. If the card isn’t linked yet, you can add it by choosing +Link a Card or Bank.
Review the details and click on Transfer Now.

For the PayPal website:

Visit PayPal.com and log into your account.
Select Wallet from the top menu.
Find and click on the Withdraw Money option.
Select the amount you wish to withdraw and click Next.
Under ‘Transfer To’, select the credit card to which you want to transfer the funds. If the card is not yet linked, you can add it by clicking + Link a Card or Bank.
Review the transaction details and click Transfer Now.²

Note that transferring money from your credit card using PayPal is considered a cash advance and you will be charged a fee.

2. Pay with your credit card online

Your credit card is also valuable on PayPal when you are shopping for your favorite items. During the checkout on an online store, look for the PayPal option in the list of payment methods during checkout, or click a button that says Buy with PayPal or Checkout with PayPal. If you’re not already logged into your PayPal account, you’ll be prompted to do so. Enter your PayPal username and password to log in.

After logging in, you’ll be taken to a payment screen where you select your credit card as the payment method. If you have a credit card linked to your PayPal account, it should appear in the list of payment methods.

If you want to use a different credit card than the ones already linked to your account, click + Link a Card or Bank. You’ll be prompted to enter the card details. After you’ve added the card, it will become an option for payment.³

Select the credit card you want to use for payment. Then click Continue or Pay Now. Make sure to review your order to make sure everything is correct. And that’s how you use your credit card on PayPal to complete payment.

Meanwhile, you can use your credit card to buy BTC anonymously online!

How do I pay off my credit card with PayPal?

Your primary reason for wanting to fund your credit card with PayPal is probably to pay off your debt. Well, this is possible on PayPal and that is explained in this section.

While you cannot directly use PayPal to pay off a credit card, there are several steps you can follow to transfer money from your PayPal balance for this purpose. First, you can initiate a transfer from your PayPal account to your bank account, after which you can make the credit card payment. PayPal permits users to either direct transfer to a bank account or issue a paper check, which can be cashed or deposited in your bank account.

Alternatively, using a third-party payment service like Plastiq or PayTM, you could make the payment using a PayPal Credit Card. However, keep in mind that these services charge fees, typically ranging from 2.5% to 3% of the total bill.

In case you want to utilize your PayPal funds to clear your credit card bill, the most efficient way is to transfer the money into your bank account, and subsequently make the payment. Standard bank transfers through PayPal are free of charge, with the transfer process taking between 1 to 3 days. PayPal also offers an “instant transfer” service, which carries a fee, but the money will be transferred within a day. If you prefer receiving a check from PayPal, there will be a $1.50 charge and the check will be delivered in 5-10 days.

Other ways to pay off your credit card explained

1. Use a debit card to pay off a credit card

The ability to use a debit card to pay off a credit card is contingent on multiple factors, primarily involving your card issuers, their specific policies, and the type of accounts you hold. Hence, the following information serves as a general guide to illustrate how one could potentially use a debit card for credit card payments. Remember, to cross-verify this with your personal accounts and issuer’s rules before making any attempts.

Provided your card issuers permit, there’s a multitude of methods to make these payments. Keep in mind, some creditors might require your precise account details, like the routing and account number. While this might seem daunting, we’ll elaborate on various card services that can facilitate paying off your credit card while maintaining a debt-free status.

2. Online credit card payment

If you favor digital payments, your credit card issuer’s mobile or online banking platform can simplify this process. Log into your account, navigate through the payment steps, and select the option to pay off your balance using your debit card.

Besides the ability to manually pay off each statement, you also have the convenience of setting up auto-payments. This ensures you’ll never miss a due date.

3. Phone credit cards debt repayment

For those more at ease with direct communication, paying off your credit card over the phone is an available option.

Typically, the customer service number is imprinted on the reverse of your card or is listed on your billing statement. Prior to making the call, ensure you have your debit card details ready for a seamless payment process.

4. Postal credit card payment

A more conventional method to settle your bill involves sending a credit slip or check to your provider’s designated payment address mentioned on your billing statement.

Allow for potential postal delays when planning this payment method to ensure your payment arrives before the due date.

Your credit card repayment options

One option is to make the minimum payment each month as stipulated by your card issuer.

Conversely, you may opt to pay a larger sum, ideally an amount within your means. Paying off your entire balance is another choice if you are financially capable. This is often the most preferable route as it keeps you free from debt.

On the other hand, if you pay less than the minimum amount, you might face repercussions such as fines and penalties.⁴ This could negatively affect your credit rating, cause the loss of promotional interest rates or offers, and hinder future credit approval.

Go through your credit card agreement to fully understand your minimum payment obligations and how to avoid unnecessary charges.

Why can’t I transfer money from PayPal to my credit card?

The reason you can’t transfer money from PayPal to credit card instantly is that a credit card is not designed to receive money like a debit card. If you need to transfer money from your PayPal, link your debit card or bank and proceed to complete the transfer.

If you don’t have a credit card or a bank account but need to withdraw money from PayPal, you can have someone else get the funds on your behalf. Just make a PayPal transfer to another PayPal user and have them give you cash.

Resources

What’s a credit limit—and why it matters. Bank of America
Send money online. PayPal
About payment methods. PayPal
What to know about paying off a credit card with a debit card. PayPal