How to Send Money Using Paypal

Perhaps you're just starting to purchase things online or you've just signed up for a Paypal account to send your friends or relatives money for various reasons.

Or maybe you've used Paypal for a while but wonder if there is a way to send money to your friends without paying fees. Even if you both have premiere or business accounts, the answer is yes as personal transactions are no longer charged fees.

Please keep in mind that some sellers on eBay don't accept Paypal or only accept it when you pay through either the eBay website or their third party checkout systems. This tutorial doesn't cover those situations.

This is just how to send anyone with an email address money through the Paypal site itself.

First, log into your Paypal account using the email address you signed up with.

On the top of your account page (the first page you'll see after you log in) you'll see several blue & white tabs. Click on the one that says "Send Money"

This will bring you to a page with two empty forms. One says "To" and the other says "Amount"

In "To" put the email address you're sending money to. Weither it's the merchant you're buying from or you freshman in college's email, thats the box it belongs in.

In "Amount" put the amount you want to send. If it's a purchase, make sure you include the shipping they've quoted you.

Below this, you'll see two tabs which are fairly new: Purchase & Personal. This is the key to sending money to friends without any fees.

If it's a business transaction, click purchase and select either "Goods" "Services" or "eBay items"

If it's a family member, friend or other person you know, select the personal tab. This is very important as all personal transactions are free regardless of what type of account you have. Why pay fees for sending your mom a few dollars? Choose from "Gift" "Living Expense" "Payment Owed" "Cash Advance" or "Other" Just keep in mind that you can't use a credit card for these transactions. If you have to use a credit card, use the "Purchase" tab.

Once you've selected, click the orange "Continue" button on the bottom of the page.

The next page will have your payment information. It will show the email address and amount you entered on the previous page. Halfway down the page on the left side you will see "Payment Method" Make sure that its being taken from the correct account. If not, click the blue link to change it.

If you used the "purchase" tab on the previous page, you'll see your address below your payment information. If it is incorrect, click the blue link to change it. Make sure its correct as many merchants will send to that address regardless of what notes you've sent them about gift addresses.

Once everything is correct, just click on the orange "Send money" button at the bottom of the page. You're done! If you have any problems at all, just call Paypal directly at 1-888-221-1161.