Length of time to transfer funds

[dom_major]

I'm not sure if this is the place for this, but I requested funds to be transferred to my bank account. The site boasts that requests made before 7pm EST are typically available the next business day. Those funds are not available. Due to this, my account has become overdrawn. When I called customer service, I was told that Paypal releases those funds automatically, and it will depend on my financial institution to make those funds available. I contacted my financial institution, who stated that they have no pendeng transaction from Paypal, and asked me to contact Paypal on 3 way. I did. I was then told by paypal, that the transaction is actually pending, and that some "electronic clearing house" actually has my funds, that it was not my banking institution holding up the process. So,  I'm actually waiting 3-5 days for some middle invisible entity to release funds to my bank. This has been an incredibly awful experience.

[DPCreations]

PayPal will initiate the transfer the same day.  It is not a direct transfer to your bank account.  It has to go thorugh various clearing house steps before it reaches your bank account and then another day to become finalized in your bank.  The total transfer time will be 3-5 business days.  There is no way to accelerate that process.

[dom_major]

Thank you for responding. I am painfully aware of this now. They should not say that it is typically available the next business day. I never would have used the service had I known that this was the probability, and doubt if I'll ever use it again. I'll stick to quickpay from Chase.

[DPCreations]

Where did you actually find the statement that withdrawn funds would actually be available the next day?

As for using a regular banking service, like from Chase, is probably a much better option than a consolidating merchant credit card company processing solution such as PayPal.

[dom_major]

"Typically takes 1 business day.Transfers requested before 7:00 PM ET on business days are typically deposited the next business day, depending on your bank. All withdrawals are subject to our review and, in some cases, may be delayed or blocked if we identify a problem."

This statement is on the page where you request a withdrawal. A bit misleading to me. But thank you for responding. I really appreciate it.

[temp201904092u]

Yeah. It's dumb but they can use that statement regardless of the fact that it takes every one of their transfers 3-5 business days with them. I'm sure there's an addendum somewhere out there where PayPal states that to make a "transfer" is not the same as making a "withdrawal" or "deposit" - even though a both are technically a types of ways one transfers money from one place to another...idk - they really should get slapped with false advertising for that statement.

[lancelotme · Accepted solution]

I received a notice 2 weeks ago,that transfer could show up in my bank in 1-2 days,my bank is Bank of America,and so far it is true .

But there is no guarantee,when PAYPAL said processed or completed,it just means it has sent it out,dont forget Paypal is not a bank,it is PAYPAL BANK where your PAYPAL FUND Is kept which sent the payment into this clearance system called ACH(Automated Clearing House).

There are 4 levels of  ACH,only member banks get to participate clearing checks with each other,PAYPAL is not a bank,it does not get to play.

If your bank is a small/rural bank,then it may clear thru another bank,usually a bigger bank,so it could take longer-from PAYPAL bank to that bank and then to your bank.

Bank received these transactions daily and uses their computer to allocate fund to its member accounts,so if there is any problem with their computer or the system,there would be delay.

so plan accordingly,give it a few days!

NSF is pretty stiff these days,my bank charges $45

[jms816]

Paypal is horrible for small businesses who rely on revenue being processed quickly. They don't transfer funds in one day as stated on the site and they always blame your bank! RUN if you are a small business owner - paypal will hurt your business, blame you, your bank and your customers and then tell you it's too bad because there is nothing you can do about it.