Cathy Desmet
You can not deposit the funds from a loan into PayPal. You can direct deposit employer and U.S. Government payments into your account if you have a personal PayPal account and a PayPal Cash debit card. However, PayPal customer service representatives advise that this is not a checking or savings account and should not be used to direct deposit loans.
Many lenders, including banks, credit unions, and online lenders require a checking account statement or an active checking account in your name to process a loan. Having a PayPal Cash account does not fulfill this requirement. We spoke to various lenders, including Bank of America, Fifth Third, PNC, Check Into Cash, and Speedy Cash; all confirm that they require proof of a traditional checking account to process a loan application.
As an alternative, family members or friends can lend you money via PayPal if both parties have PayPal accounts. You might also consider a loan that pays out by check or in cash.
How to Direct Deposit Into PayPal
Following approval for the PayPal Cash debit card, your PayPal Cash account will have an account number and routing number. You can find your routing and account number in your account Settings online or in the PayPal Cash app. Payroll checks or government payments can direct deposit into your PayPal Cash account by providing your routing and account number to the payer just as you would with a standard bank account.
Lindsey Desmet
Maria R. Riegger, Esq.
Erika Crawford
Loren Eaton
William Lipovsky