How does payment work?

[12evansrh]

If someone were to give me money how would I access that to use on another transaction? For example Timmy pays Billy for an item he purchased using PayPal but Billy doesnt know what happens after that,does it get added as a PayPal credit if you dint want to put it in the bank and is it useable like a normal transaction?

[sharpiemarker · Accepted solution]

@12evansrh 

When you're paid, the funds will appear and tallied in your PayPal balance amount on the summary page as well as a transaction record listed in the Summary or Activity page. Works similar to a bank account. And the available funds can be kept in the PayPal balance and used on another transaction. Select PayPal Balance as the funding source during payment process to use it. You may select to always use your PayPal Balance as your funding source for online purchases by:

1. Account Settings (wheel icon) > Payments > Online Purchases > Select PayPal Balance

Or 

2. Wallet > PayPal Balance > Set as Preferred

3. Select or change funding source during payment/checkout process.

*FYI: "PayPal Credit" is a term for PayPal's virtual credit line (virtual credit card) aka billmelater. What you're referring to is your "PayPal balance".