What is the inactivity fee?

PayPal customers enjoy a range of benefits associated with their accounts, including a full suite of tools, products and support for sellers, and shopping experiences that include quick and convenient checkout for buyers. As the value we provide our customers has expanded, PayPal continues to invest in our services, giving customers even greater opportunities to buy and sell globally. We have introduced an inactivity fee to maintain counts that are inactive. The applicability of the service fee is limited and intended to only impact accounts that have not been active within the past 12 months.

The User Agreement update that will go in effect on 4 January 2021 includes an annual inactivity fee. Only PayPal accounts with no activity in the previous 12 months will be charged an inactivity service fee. The fee will be 10 €, or the remaining balance on the account if less than 10 €. Accounts with zero balance won’t be impacted and this charge won’t result in any negative balance.

Notifications to inactive accounts began on 30 September 2020 and advise simple actions to take before 4 January 2021 to avoid the fee:

  • Log-in to your account; or
  • Shop wherever PayPal is accepted; or
  • Send money to friends & family, or vendors for goods & services; or
  • Withdraw money from your account; or
  • Donate to a charity with your account

For more information see the Policy Updates section of the PayPal Legal Agreements page.