How To Request Money On PayPal

Understanding PayPal's Money Request Feature

PayPal's money request tool allows users to ask for payments from other people or businesses through the platform. This feature works differently from sending money because it creates a formal request that the other person can accept or decline. When you send a money request, the recipient receives a notification and has the option to pay you back without you needing to ask repeatedly or chase them for payment.

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The money request feature is useful in many real-world situations. For example, if you and friends split the cost of a meal at a restaurant, you can request your share from each person individually. If you're a freelancer waiting on payment from a client, you can send a professional money request instead of informal reminders. Roommates can use this feature to divide rent or shared utility bills. Small business owners sometimes use it to request deposits or partial payments from customers.

This feature only works between PayPal account holders. Both you and the person you're requesting money from must have active PayPal accounts. The person you request money from will see your request in their PayPal account and can choose to pay through their PayPal balance, linked bank account, or saved credit card.

The money request system creates a record of the transaction for both parties. This documentation can be useful if there are questions later about whether payment was made or when it was sent. PayPal keeps records of all requests and payments in your transaction history.

Practical Takeaway: Money requests are most effective when you're owed money by someone who already uses PayPal and when you want a documented record of the transaction.

Steps to Send a Money Request Through PayPal

To send a money request using PayPal's website, start by logging into your account at paypal.com. Once you're logged in, look for the "Tools" or "More" menu option, which is typically located in the main navigation bar. From this menu, select "Money Request" or "Request Money." PayPal's interface may vary slightly depending on whether you're using a personal or business account, but this option is available to both account types.

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After selecting the money request option, you'll see a form asking for specific information. The first required field is the recipient's email address or phone number associated with their PayPal account. You must enter this information accurately or the request won't reach the correct person. Next, enter the amount you're requesting. PayPal will display the amount in your account's primary currency, though you can request money in different currencies if needed.

The form includes an optional field for a description or note. This is where you explain why you're requesting the money. For example, you might write "Rent for January," "Concert ticket reimbursement," or "Freelance work completed." A clear description helps the recipient remember what the payment is for and increases the likelihood they'll pay promptly.

Once you've filled in all required fields, review the information for accuracy before submitting. After you click "Request Money" or the equivalent button, PayPal sends a notification to the recipient. They'll receive an email or see the request in their PayPal account, depending on their notification settings. The request will remain open until the recipient pays it or until you cancel it.

Practical Takeaway: Double-check the recipient's email address and the amount before submitting, as these are the most common errors that delay payment.

Sending Money Requests Through the PayPal Mobile App

The PayPal mobile application, available on both Apple and Android devices, offers a convenient way to request money from anywhere. The process is similar to using the website but is optimized for phone and tablet screens. Download the official PayPal app from your device's app store, then open it and log in with your username and password or biometric authentication if you've set that up.

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Once logged in, look for the menu icon, typically three horizontal lines in the corner of the screen. From the main menu, find and select the option labeled "Request Money" or "Ask for Money." Some versions of the app may place this in a different location, so if you can't find it immediately in the menu, try searching within the app or checking the home screen for action buttons.

The mobile form works the same way as the website version. Enter the recipient's email address or mobile phone number, the amount you're requesting, and an optional description. The mobile app may offer additional features, such as the ability to request money from contacts already in your phone's address book. This can save time if you frequently request money from the same people.

One advantage of using the mobile app is speed. You can send a money request within seconds of realizing you need payment. This is particularly useful in social situations, such as when you're with friends and need to request repayment before they leave. The mobile version also sends push notifications to the recipient if they have the app installed, which may get their attention faster than an email notification.

Practical Takeaway: Save frequently contacted people in your PayPal app's contacts to speed up future money requests.

What Happens After You Send a Money Request

After you submit a money request, PayPal notifies the recipient through email and potentially through the app if they're a user. The request appears in their PayPal account's notification center or transaction area, where they can review the details you provided. The recipient sees your name, the amount requested, the date of the request, and your description of why you're requesting the money.

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The recipient has several options when they see your request. They can pay the full amount immediately using their PayPal balance or by connecting a bank account or card. They can also decline the request if they don't agree with it or believe it's made in error. Some recipients may also partially pay a request if they can only afford to send part of the money at the moment.

You can monitor the status of your money request at any time by going to your PayPal activity or transaction history. The request will show whether it's "pending," "paid," or "declined." This makes it easy to see at a glance which requests have been completed and which ones you're still waiting on. PayPal allows you to send reminder notifications to the recipient if the request remains unpaid after a certain period, though you should use this feature respectfully.

Money requests do not expire automatically. They remain in the recipient's account indefinitely until they're paid or until you choose to cancel the request. You can cancel a request at any time by going to your transaction history and selecting the option to cancel it. Canceling a request removes it from the recipient's account and from your active request list.

Practical Takeaway: Check your request status regularly and send one gentle reminder if a request remains unpaid after a week, but avoid multiple reminders as they may damage your relationship with the recipient.

Fees and Payment Methods for Money Requests

When someone pays a money request you've sent, the payment method they choose affects whether fees apply. If the recipient pays using their PayPal balance or a linked bank account, typically no fees apply to either party. This is the most cost-effective way to handle money requests, and both parties should encourage this option when possible.

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If the recipient chooses to pay with a credit or debit card, PayPal may charge the sender (you) a small fee. The exact fee varies based on your account type and location. Personal PayPal accounts typically have lower fees than business accounts. For domestic transfers in the United States, the fee for credit or debit card payments is often around 2.2% plus a fixed amount, though you should check your account's current fee structure for the most accurate information.

The recipient does not pay a fee for paying a money request, regardless of their payment method. This is one advantage of using PayPal's money request feature over asking someone to send you money directly—they pay the full amount you requested without needing to add extra to cover their own fees.

To minimize fees, encourage people who owe you money to pay directly from their PayPal balance or linked bank account rather than using a credit card. You can mention this in your request description by writing something like "Please pay from your PayPal balance to avoid fees." Many people are willing to adjust their payment method when they understand it helps keep costs down.

Practical Takeaway: Verify your current fee structure in your PayPal account settings, and always pay money requests from your balance or bank account when possible to avoid unnecessary fees.