PayPal Friends & Family Fee Calculator
Calculate PayPal P2P payment fees: FREE from bank account, instant transfers (1.75%), and credit card (2.9% + $0.30). Free calculator for sending money to friends and family.
PayPal Friends & Family Calculator
Calculate PayPal P2P fees for different payment methods
Free transfer from bank or PayPal balance
💡 Tip: Friends & Family transfers from your bank account or PayPal balance are 100% FREE. Avoid credit cards (2.9% + $0.30) to save money!
PayPal Friends & Family: The Complete Fee Guide
Let's cut through the confusion: PayPal Friends & Family is 100% FREE when you send money from your bank account or existing PayPal balance. Send $500? Your friend receives $500. No percentages, no hidden fees, no monthly charges.
But here's where people mess up: if you fund that same payment with a credit card, PayPal hits you with 2.9% + $0.30. That $500 payment? Now costs you $515.30. The fee isn't obvious until you hit "send"—so always check your funding source before clicking that blue button.
PayPal has 435+ million users worldwide and 90+ million in the US alone. It's owned by PayPal Holdings (which also owns Venmo), and it's been the gold standard for online payments since 1998. Unlike newer P2P apps, PayPal works internationally, offers optional buyer protection through Goods & Services, and integrates with thousands of online stores. For P2P payments specifically, Friends & Family is the feature you want—just make sure you're using it correctly.
PayPal Friends & Family Fee Breakdown
✅ FREE Transfers (How to Pay $0)
- • Bank account: Link your checking or savings account = 100% FREE transfers
- • PayPal balance: Use money already in your PayPal account = FREE
- • Debit card (selected banks): Some debit cards work for free, others charge credit card fees
- • Processing time: Usually instant, but can take 3-5 days for first-time payments
💡 Pro tip: Always select "bank account" or "PayPal balance" as your funding source to avoid fees. The default might be set to your credit card.
💳 Credit Card Fees (2.9% + $0.30)
When you fund a Friends & Family payment with a credit card, PayPal charges you 2.9% + $0.30 per transaction:
- • Send $50 → Pay $1.75 fee ($51.75 total)
- • Send $100 → Pay $3.20 fee ($103.20 total)
- • Send $500 → Pay $14.80 fee ($514.80 total)
- • Send $1,000 → Pay $29.30 fee ($1,029.30 total)
⚠️ Why the fee? Credit card companies charge PayPal interchange fees, and they pass that cost to you. It's still cheaper than a cash advance, but way more expensive than using your bank account.
⚡ Instant Transfer Fees (1.75% - max $25)
When someone sends YOU money and you want it NOW (not 1-3 days), PayPal's instant transfer to your debit card costs 1.75% (minimum $0.25, maximum $25):
- • Receive $50 → Pay $0.88 fee (get $49.12 instantly)
- • Receive $200 → Pay $3.50 fee (get $196.50 instantly)
- • Receive $1,000 → Pay $17.50 fee (get $982.50 instantly)
- • Receive $2,000 → Pay $25 fee (get $1,975 instantly - max fee)
💰 Standard transfer (FREE): Wait 1-3 business days and get 100% of your money. Most people choose this unless they desperately need cash immediately.
🌍 International Fees (5% + Fixed Fee)
Sending money internationally (different country) costs significantly more:
- • Fee: 5% of transaction + fixed fee (varies by country: $0.99-$4.99)
- • Currency conversion: Additional 3-4% markup on exchange rate
- • Example: Send $500 to UK = ~$25 fee + $15 currency markup = $40 total cost
- • Better alternative: Use Wise or Remitly for international transfers (much cheaper)
Friends & Family vs Goods & Services: What's the Difference?
This is where people get scammed. PayPal has TWO payment types, and choosing the wrong one can cost you money or leave you unprotected:
Friends & Family
- ✅ FREE from bank/balance
- ✅ Instant transfer (usually)
- ✅ No seller fees
- ❌ ZERO buyer protection
- ❌ Cannot dispute/reverse
- ❌ No refund guarantee
Use for: Paying roommates, splitting dinner, reimbursing friends, sending money to family
Goods & Services
- ✅ Full buyer protection
- ✅ Can open disputes
- ✅ Refund guarantee
- ❌ Seller pays 3.49% + $0.49
- ❌ Can take 2-3 days to clear
- ❌ Not for personal transfers
Use for: Buying from strangers, online purchases, freelance payments, anything you might need to dispute
⚠️ Common Scam Warning
Scammers selling items online will ask you to "send via Friends & Family to avoid fees." DO NOT DO THIS. Once you send Friends & Family:
- • You cannot get your money back if they don't ship
- • PayPal will not help you in a dispute
- • No buyer protection coverage
- • The scammer keeps 100% of your money
Rule: Only use Friends & Family with people you actually know and trust. For purchases from strangers, ALWAYS use Goods & Services.
Real-World Scenarios: When to Use PayPal Friends & Family
✅ PERFECT Use Cases
- • Splitting rent with roommates: $1,200 rent ÷ 3 = $400 each via bank account = FREE
- • Dinner bill: Friend paid $80 for group dinner, you owe $20 = send FREE from bank
- • Concert tickets: Friend bought tickets, venmo them $75 per ticket = FREE
- • Parents sending money: Mom sends you $500 for rent emergency = FREE both ways
- • Paying babysitter: Send $60 to your regular babysitter = FREE
⚠️ AVOID These Situations
- • Buying from Facebook Marketplace: Use Goods & Services for protection
- • Paying for freelance work: Use Goods & Services so you can dispute if needed
- • Buying concert tickets from stranger: Scam risk - use Goods & Services
- • Sending to someone you've never met: Red flag - probably a scam
- • International business payments: Use Wise or bank wire instead
Pro Tips to Save Money on PayPal Fees
How to Pay Zero Fees
- 1. Link your bank account to PayPal (one-time setup)
- 2. Before sending, click "Change" next to payment method
- 3. Select your bank account (NOT credit/debit card)
- 4. Verify it says "No Fee" before clicking Send
- 5. Keep money in PayPal balance for even faster transfers
Safety Best Practices
- • Enable two-factor authentication (2FA) on your PayPal account
- • Never share your password or verification codes
- • Check recipient email carefully (scammers use similar emails)
- • Use Goods & Services for anything that's not truly personal
- • Monitor your account regularly for unauthorized transactions
Frequently Asked Questions
Is PayPal Friends and Family free?
Yes, PayPal Friends & Family is 100% FREE when you send money from your bank account or PayPal balance. There are no fees for domestic P2P transfers using these funding sources. However, if you fund the payment with a credit card, PayPal charges 2.9% + $0.30.
What is the PayPal Friends and Family fee for credit cards?
PayPal charges 2.9% + $0.30 when you send Friends & Family payments funded by a credit card. For example, sending $100 via credit card costs $3.20 in fees. To avoid this, link your bank account or use your PayPal balance instead.
How much does PayPal charge for instant transfer?
PayPal charges 1.75% for instant transfers to your debit card (minimum $0.25, maximum $25). Standard transfers to your bank account are FREE but take 1-3 business days. Most people choose standard transfers to avoid the fee.
What's the difference between PayPal Friends & Family and Goods & Services?
Friends & Family is for personal payments to people you trust - it's free from bank accounts but offers NO buyer protection. Goods & Services is for purchases and charges the seller 3.49% + $0.49, but includes buyer protection and dispute resolution. Never use Friends & Family for purchases from strangers.