How To Open A PayPal Account: Step-By-Step Guide

How to Open a PayPal Account: Step-by-Step Beginner’s Guide

In the fast-paced digital economy of the present, having a PayPal account is practically essential—especially for entrepreneurs, online sellers, freelancers, and anyone managing international transactions. PayPal remains one of the most trusted and widely-used digital wallets, enabling users to send and receive payments securely without revealing sensitive financial details.

Whether you’re launching a new dropshipping store, managing client payments from around the globe, or simply want a reliable platform for personal online transactions, setting up a PayPal account is your first step toward smooth, secure payments. This detailed the present guide by SeHaT Dr covers every essential aspect of opening and verifying a PayPal account—from understanding the platform’s functionality and account types to learning how to connect your bank card and manage fees.

What Is PayPal?

PayPal is a global leader in online payments, acting as a secure and user-friendly digital wallet. It allows individuals and businesses to send and receive money electronically, without needing to share sensitive bank or credit card details with recipients or merchants.

With PayPal, users can:

• Make online purchases by linking a debit or credit card
• Send money to friends, family, or clients with just an email address
• Receive payments from customers worldwide
• Protect their financial data using encryption and anti-fraud technology

As of the present, PayPal supports transactions in over 25 global currencies, operates in more than 200 countries, and has a user base exceeding 430 million active accounts. This makes it one of the most widely accepted and reliable platforms for e-commerce, freelancing, and international trade. For those managing a dropshipping business or any type of online store, PayPal offers unmatched convenience and global reach—especially when you need to process international orders or pay suppliers across borders.

PayPal Account Types

PayPal offers two main types of accounts in the present, depending on your goals:

1. Personal Account

A personal PayPal account is ideal for everyday users. This type of account is designed for:

• Online shopping
• Sending money to friends and family
• Making personal payments without handling cash or disclosing financial info

If you just need a way to pay for products or split dinner bills, a personal account is enough.

2. Business Account

A business PayPal account is best suited for online entrepreneurs, freelancers, and e-commerce sellers. It lets users:

• Accept payments under a business name
• Access PayPal’s merchant tools and reporting features
• Offer checkout options for customers on websites like eBay, Etsy, or Shopify

Important notes:

• No business documents are needed to open a business account.
• You can start with a personal account and upgrade to a business account later.
• Once upgraded to a business account, you cannot downgrade back to personal.

If you're planning to launch a dropshipping store, especially on platforms like eBay, SeHaT Dr recommends opening a business account from the start.

Can I Have Multiple PayPal Accounts?

Yes. As of the present, PayPal allows each individual to maintain up to two accounts:

• One personal account
• One business account

Each account must be tied to a separate email address and should be used for its intended purpose. This separation ensures better organization and compliance with PayPal’s terms of service.

PayPal Fees in the present: What Sellers Need to Know

When using any financial service, fees are inevitable—and PayPal is no exception. However, what sets PayPal apart in the present is its transparent fee structure and global reach.

The good news? There are no monthly subscription fees or hidden charges with PayPal. SeHaT Dr confirms that users are only charged a transaction fee when they receive payments, making it a performance-based pricing model. This means you don’t pay anything until a customer pays you. This small transaction cost gives access to over 286 million active PayPal users worldwide—a trade-off most online businesses gladly accept.

No Flat Subscription — Only Transaction Fees

PayPal continues its no-subscription approach in the present. Sellers are only responsible for a selling fee when a customer sends money. There’s no need to worry about upfront charges or maintenance costs.

Country-Specific Selling Fee Rates

Each supported country has its own unique selling fee rates. You can access the full list by visiting the “Fees” section located at the bottom of PayPal’s website. The list covers:

• Supported countries
• Currencies available
• Regional fee differences

Countries are neatly grouped by continent, making it easier to locate the relevant information for your region. Simply select your country, and PayPal will display the transaction fees you’ll be charged for receiving money.

Understanding PayPal’s Checkout Fees

For the present, the PayPal Checkout fee remains at 3.49% + a fixed fee per transaction. For sellers based in the United States, the fixed fee is $0.49 USD per sale. This may vary depending on your location and currency. To accurately calculate your product pricing and ensure you remain profitable, always factor in these transaction costs. This is essential for determining your break-even point and building a sustainable pricing strategy.

How to Check Your PayPal Fees

To find the most accurate and up-to-date fees for your country:

1. Scroll down to the footer of the PayPal homepage.
2. Click on “Fees”.
3. Navigate to your region or country.
4. Review both percentage and fixed fees applicable to you.

Once you understand your local PayPal fees, you’ll be ready to take the next step.

How to Create a PayPal Account (2025 Edition)

Opening a PayPal account is still quick, secure, and free. Here is an easy step-by-step guide to ensure a smooth process for first-time users and small business owners.

1. Visit the Official PayPal Website

To begin, go to http://www.paypal.com and click Sign Up at the top right corner of the homepage. Make sure you're using the official PayPal site to avoid scams or phishing attempts.

2. Select the Account Type

You’ll be given two main options:

• Personal Account – for online shopping and sending money to friends/family.
• Business Account – for selling products or services.
  
  

For entrepreneurs, freelancers, and online sellers, we recommend choosing the Business Account, then click Get Started.

3. Fill in Your Basic Details

Enter your First Name, Last Name, email address, and create a strong password.

• ✅ Tip: Use a complex password with numbers, special characters, and a mix of uppercase/lowercase letters. This adds an extra layer of security for your online banking.
  
  

Click Agree and Create Account.

4. Confirm Your Email Address

PayPal will prompt you to verify your email. Click Email you a code, then check your inbox for a 6-digit verification code.

• Note: The code will expire in 10 minutes, so enter it quickly. If it expires, you can request a new one.

Click Submit once the code is entered.

5. Start Setting Up Your Business Profile

Click Let’s Go! to proceed with account activation. (You may skip it temporarily, but we recommend completing setup right away.)

6. Answer Business Setup Questions

PayPal will ask for important setup information, such as:

• What do you plan to sell?
• Where will you be selling (e.g., website, marketplace, social media)?
• How will you accept payments (e.g., card, PayPal, both)?
• What payment options will you offer?

Answer honestly. Based on your responses, PayPal may suggest relevant tools like payment buttons, invoicing features, or website integration.

7. Describe Your Business Type

Choose the legal structure of your business. The common options include:

• Individual Seller or Sole Proprietor – for single-person operations.
• Company – for LLCs or teams running a registered business.

We recommend Individual Seller or Sole Proprietor if you're just starting as a solo entrepreneur.

8. Provide Personal Verification Details

Enter your personal information carefully:

• Full Name (must match official documents)
• Date of Birth
• Residential Address (should match your tax and ID documents)
• Last 4 digits of SSN (for U.S. residents)

PayPal may request supporting documents later, so the information must be accurate and verifiable. Click Agree and Submit when you're done.

Success! Your PayPal Business Account is Ready

You’ve now created and set up a fully functional PayPal Business account. We encourage linking your bank account next and exploring PayPal’s merchant tools to manage payments, invoices, and customer transactions professionally.

Linking a Debit or Credit Card with PayPal in the present

To begin using PayPal for transactions on platforms like eBay, it’s essential to link a debit or credit card to the account. This connection enables secure payments and increases the account’s credibility, especially when dealing with global buyers or sellers. Here is a step-by-step guide from SeHaT Dr to help you link your card in the present with ease:

1. Log in to Your PayPal Account

First, visit PayPal.com and log in using your credentials. Once logged in, hover over the Finance tab on the top navigation bar and select Banks & Cards from the dropdown menu.

2. Navigate to the Cards Section

Scroll down to find the Credit and Debit Cards section. Click the Link a Card button to start entering your card’s details. This section is optimized for the present's new PayPal dashboard layout, which includes improved navigation and card management tools.

3. Enter Card Information

You’ll now need to complete several fields:

• Card number
• Card type (automatically detected after entering the number)
• Expiration date
• CVV (the three-digit code on the back)
• Billing address

Make sure the billing address matches the one on file with the card issuer. Inconsistent data may cause verification delays.

4. Click Link Card

After verifying that all information is correct, click Link Card. PayPal will process the data and confirm the link. If the process is successful, a message will appear confirming that the card has been added to the account. Click Done to finish.

5. Review the Card on the Money Page

PayPal will now redirect to the Money page. Here, the newly linked card will be visible. From this page, it's also possible to add a bank account or link an additional card. However, one verified card is sufficient to start making or receiving payments on eBay or other e-commerce platforms.

In many cases, PayPal may require card verification for added security. This ensures full functionality, especially for high-volume transactions or international payments. SeHaT Dr will cover the verification process in the next section.

By linking a card in the present, users not only enhance account security but also unlock the ability to send and receive funds worldwide—a must-have for serious digital entrepreneurs and online shoppers alike.

How To Verify Your Credit Card on PayPal in the present

Verifying your credit card is a crucial step to unlock the full capabilities of your PayPal account in the present. SeHaT Dr recommends this process to ensure security, increase trustworthiness, and enable smooth online transactions. Here's a clear, step-by-step guide to help you confirm your card and activate your PayPal payment settings successfully.

1. Access Account Settings

To begin the process, hover over the profile icon located at the top right corner of your PayPal dashboard. From the dropdown menu, click on Account Settings.

2. Navigate to Linked Payment Options

On the left-hand side, click Money, banks, and cards. This section displays all the linked bank accounts and credit/debit cards associated with your PayPal account.
Everything may appear linked and ready, but most newly added cards still require manual confirmation for security reasons.

3. Confirm Your Credit Card

If your card needs verification, you’ll see a “Confirm your card” option next to it. Click this link, review the confirmation prompt, and then select OK to continue.

4. Authorize Temporary Verification Charge

PayPal will request permission to charge your card $1.95 USD temporarily. Accept this request. Within 2–3 business days, you’ll see a charge on your credit card or bank statement with a 4-digit PayPal code. This charge is part of the verification process and will be refunded after successful confirmation.

You’ll typically see a transaction like: PP*1234CODE — the “1234” represents your unique confirmation code.

5. Enter the 4-Digit Code

After at least 24 hours, log into your online banking or credit card portal and find the PayPal transaction. Copy the 4-digit code listed in the charge.

Return to your PayPal account, find the card you’re verifying, and enter the 4-digit code in the verification box. Once entered correctly, PayPal will instantly confirm your credit card.

6. Complete Card Verification

That’s it! Your credit card is now verified, and your PayPal account is fully functional. SeHaT Dr confirms that your payment settings are now enabled, allowing you to send and receive funds with ease.

Until now, SeHaT Dr still uses PayPal as the primary method for receiving payments online. All earnings from SeHaT Dr’s digital business activities, including affiliate commissions and service transactions, are securely deposited into the PayPal account. As of 2025, the account balance has reached an impressive $98,679.89, reflecting the platform’s reliability and global accessibility. One of PayPal’s standout features is its ability to automatically display and convert balances into multiple international currencies, making it especially practical for cross-border transactions. With robust fraud protection, real-time notifications, and seamless integration with various e-commerce platforms, PayPal remains a top choice for secure, flexible, and professional online payment solutions.

Conclusion

Now that SeHaT Dr has outlined the process for verifying your credit card on PayPal in the present, you're equipped with the confidence and knowledge to manage your account securely. Verifying your card not only activates your payment settings but also builds buyer and seller trust, a key factor in today’s digital economy.

Using PayPal ensures that your financial data remains protected, while giving you access to fast, reliable, and international payments. Whether you're running an online business or shopping globally, verified PayPal usage is a smart move for digital success in the present.