Frequently asked questions

How does PayPal Working Capital work?

PayPal Working Capital is a business loan with one affordable, fixed fee. You repay the loan and fee with a percentage of your PayPal sales. There are no periodic interest charges, monthly bills, late fees, pre-payment fees, penalty fees, or any other fees.

The process is easy:

1. Select your loan amount. The maximum loan amount depends on your PayPal sales history.
2. Choose the percentage of your PayPal sales that will go toward repaying your loan and fee.
3. If approved, receive the funds in your PayPal account within minutes.
4. Repay automatically with a percentage of each sale until your balance is paid in full. You can also make manual payments or even pay the loan in full without penalty.

Am I eligible to apply for PayPal Working Capital?

To be eligible to apply for PayPal Working Capital, you must:

• Have a PayPal Business or Premier account for 3 months or more
• Process at least $20,000 in PayPal sales annually if you have a Premier PayPal account or $15,000 in PayPal sales annually if you have a Business PayPal account
• Pay off any existing PayPal Working Capital loan

What fees do I have to pay with PayPal Working Capital?

Unlike traditional loans, PayPal Working Capital charges a single, fixed fee that you’ll know before you sign up. No periodic interest, no hidden fees, and no late fees.

What is the minimum repayment requirement?

Because your automatic repayments get deducted as a percentage of each PayPal sale, the amount you repay each day changes with your sales volume. The more you sell, the more repayment progress you’ll make that day. On days without sales, you’ll make no payments, but there is a minimum repayment requirement every 90 days.

Regardless of sales volume, you must pay at least 10% of your total loan amount (loan + the fixed fee) every 90 days for the first 540 days of the loan, or until you’ve repaid the full amount, whichever occurs first.

Here’s an example:

If you borrow $10,000 ($9,500 loan + $500 fixed fee), you are required to pay $1,000 every 90 days for the first 540 days of the loan.

For most of our customers, regular automatic repayments easily cover the minimum and this is never an issue. But if you do get behind, you can make additional payments on the PayPal Working Capital website.

If you do not meet the minimum and your loan goes into default, your entire balance could become due and limits could be placed on your PayPal account.

Please see Section 12 of the Terms and Conditions to learn more about default.

Can I get more than one PayPal Working Capital loan at a time?

PayPal Working Capital loans are issued one at a time. You can apply after paying off one loan to get another one – many merchants do. Keep in mind that it can take up to 3 business days for your final payment to process before you’ll be able to apply for a future loan, which will then be subject to approval.

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