How to Set Up a PayPal Account

PayPal has become a popular and prevalent way of paying for items on the internet; it's not just for eBay. Setting up an account isn't difficult, but it does involve several steps. You'll need to choose the type of account you want, link a debit or credit card or bank account, and select your options and settings.

PayPal offers four different account types: Personal, Premier, Business, or Student. If you plan to buy and sell items on your own using PayPal, a personal account will suffice. If you plan to buy and especially sell items using PayPal as a business, then a Premier or Business account is the way to go. A Student account allows students to request money from their parents for school supplies and other items. You can have both a Personal account and a Premier or Business account. You can also change or upgrade your account at any time. For this article, we'll set up a Personal account.

First, head to PayPal.com and click on the "Sign Up" button in the upper right.

PayPal gives you a choice of a Personal account or a Business account. Select the option for a Personal account. Click Next.

At the next screen, type your first and last name, email address, and a password. Click Next.

At the next screen, type your mailing address and your mobile or home phone number, click on the checkmark to agree to PayPal's policy, and click on the button to "Agree and Create Account."

Your PayPal account is created. Your next step is to link your credit card and/or your bank account with PayPal. Anytime you buy something using PayPal, the funds will first be taken from your PayPal balance and then from your debit or credit card or bank account. At the "You are in! What's next?" page, click on the first button to "Get started."

At the next page, enter the information for the debit or credit card you wish to link with PayPal. Then click on the "Link card" button.

You can now use your PayPal account to buy items on eBay and other online merchants. That step is typically straightforward. If a merchant supports PayPal, you'll see an option at the checkout page to use it as payment. You then sign in with your PayPal credentials, and the necessary funds are automatically applied to your purchase.

By this point, PayPal has sent you a confirmation email that you must acknowledge to verify your email address. Open the email and click on the "Confirm My Email" button.

You can also link a bank account to PayPal. Sign into your PayPal page if you're not already logged in. Your account page pops up. Click on the link at the bottom of the page to "Link a bank or card."

At the Payment Methods page, click on the button to "Link a card or bank."

At the "Link a payment method" page, click on the option to "Link a bank account."

At the page to "Select your bank," click on the name of your bank or click on the button for "I have a different bank" if your bank is not listed.

If your bank is listed, the next screen will prompt you to enter your online banking username and password. Type that information and then click on the button to "Link Bank Instantly," and your bank account is immediately linked to PayPal.

If your bank is not listed, the next screen prompts you to enter your bank's routing number and your bank account number. Select whether you're using a checking or savings account. Then type the routing and account numbers and click on the button to "Agree and Link." PayPal then verifies your account by sending two small deposits (less than $1.00) and retrieving them in a single withdrawal.

You can also sign up for an account on the PayPal app, available for iOS and Android. You'll see a Sign Up option when you download the app, which will request the same information PayPal asks for on the desktop. You can then use your phone to send or request money, keep tabs on your balance, and more.