How Old Do You Have to Be to Have a PayPal Account?

Are you using PayPal even if you are not yet 18 years old? Perhaps you are not aware of the requirements, so please be careful. How old do you have to be to have a PayPal account?

To have a PayPal account legally, you must be at least 18 years old. This rule applies to U.S. PayPal accounts. You must also be a U.S. resident or any of its territories. 18 years old is the age of majority to open an account and use the services of PayPal.

PayPal follows this rule simply because if you are still under 18, you cannot enter into any contract. It is illegal to do this in the United States. However, you can choose to get a student account offered to teenagers and children. To get it, you need an adult to sign and act as the primary account holder.

Read on to learn more about the minimum age requirement to get a PayPal account, what can happen if you fake your age and your options in getting a PayPal account.

How Old Do You Have to Be to Have a PayPal Account?

how old do you have to be to have a paypal account

How old do you have to be to get a PayPal account? You have to be at least 18 years old to get a PayPal account legally. This rule applies to U.S. accounts. It is the age of majority in the United States. You also have to be a resident of the United States or one of its territories to open and use a PayPal account.

PayPal Offers Student Accounts

In the United States, it’s illegal for minors to enter into any contract unless they are emancipated minors. PayPal does offer its services to minors through their student accounts. But you need an adult to sign for that account because they have to be the primary account holder.

Can You Put a Fake Birthday on Paypal?

You can’t fake your age to get a PayPal account. PayPal accounts are tied up to the bank accounts of the account holders. As you know, bank accounts require the account holder’s Social Security Number and other personal information, among other things. So, PayPal will quickly find out if you faked your age.

If PayPal finds out that you have faked your age, you are in for some dire consequences. They will close your account. PayPal will hold on to your account remaining balance for at least 180 days to take care of any chargebacks that may occur.

Ask Parents to Sign up for You

While the PayPal minimum age is 18, it does not mean that there’s no way you can use it. It only means that you can’t open an account for yourself and just by yourself. You can ask your parents to sign up for you.

They will be the primary account holder, but you’ll be the one using that account. Your parents must also have their bank accounts where the PayPal account will be tied up. It’s just that simple.

Opening a PayPal Account Means Entering a Legal Contract

You see, when you are opening a PayPal account, you are agreeing to or entering a legal contract that is binding. In the United States, you can only enter a legal agreement if you are of the majority age, or at least 18 years old. So, this is the answer to the question: how old do you have to be to open a PayPal account? 

What Happens If PayPal Finds Out You Are Under 18?

how old do you have to be to have a paypal cash account

PayPal Does Not Customarily Verify an Account Holder’s Age

PayPal does not customarily verify their account holders’ age unless they suspect that there’s something fishy in the way you are handling your account. In other words, if all things are going well, they will never find out about your age.

I’m not saying that they will not investigate your account. If unusual things are happening in your account, it may cause them to check the personal information you supplied when you applied.

If they find out that you are under 18 years old, whether you faked it or just committed a mistake, they will permanently close your account. At least they will hold on to your account balance for 180 days.

PayPal Will Block the User from Getting Another PayPal

This will take care of any chargebacks that may happen. Don’t worry; you won’t go to jail for this misdemeanor. But they can block you from getting another PayPal account. This means you will be banned from getting a PayPal account for the rest of your life.

You can’t close your account yourself. They will do it. In that case, they can keep all the sensitive personal information you have given them and use it for purposes that you won’t be able to know.

If you gave them an incorrect DOB by mistake, you could explain to them your situation. Then give them your valid documents, including:

  • Birth certificate,
  • ID,
  • Driver’s license

This proves who you are really and what your actual date of birth is. 

PayPal Might Suspend the Account

Perhaps, they will allow you to create a new account based on the authentic documents you have presented. But you need to emphasize to them that it was a complete but honest mistake on your part. However, they can still suspend your account because you are still a minor.

Again, how old do you have to be to have a PayPal account? You have to be at least 18 years of age to open a PayPal account and access its services. At this age, you can legally enter into a contract. Also, you must register your business before making a PayPal business account.

PayPal Rules Effective on Dec. 10, 2021

PayPal has recently issued its updated user agreement. This user agreement took effect last Dec. 10, 2021. Here are some of the main points of this revised user agreement:

  • The agreement applies to U.S. PayPal accounts only
  • Account holders must be at least 18 years, old or the age of majority in the state of residence
  • An individual must be a resident of the United States, or any of its territories
  • If account is for business, the business must be organized in, resident of, and operating in the United States or any of its territories.
  • Account holder should agree with all the terms and conditions of the user agreement, including all matters regarding fees and charges for using the account.
  • Account holder should also agree with all of the other agreements prescribed on the Legal Agreements page.

So, if you want to open a PayPal account, you should read this PayPal User Agreement carefully before signing on the dotted line. This User Agreement covers more information aside from the ones I have enumerated above.

Why Does PayPal Require an Age Limit

how old do you have to be to have a paypal business account

Some years back, PayPal allowed young people to set up their student accounts. However, for some reason, they discontinued this service. Now, those under 18 years old can no longer open their own PayPal accounts no matter where they live in the United States.

The age of the majority in most United States jurisdictions is 18 years old. In the U.S., you can only enter into a binding legal contract if you’re at least 18 years old or the age of majority in your location.

When you open a PayPal account, you enter a legally binding contract. So, if you are not yet 18 years old, you can’t enter into this kind of contract. It’s that simple. But that’s not the end of it for you.

You can ask your parents to open an account where they will be the primary account holder, but in truth, you will be the one using that particular account. And then, when you have reached the minimum age requirement, you can work to get that account changed over to your name.

Can You Create a Paypal Account as a Teenager?

You can create a PayPal account even if you are a teenager. But you have to be an emancipated teenager to be allowed to do that. This means you can independently take care of yourself or already earn an income of some sort.

Getting a PayPal account is entering into a legal contract that is binding. Only adults and emancipated minors are allowed to enter into these contracts. It is illegal for minors to enter such contracts if they are not emancipated.

If you are still under the care of your parents, what you can do is ask them to open a PayPal account for you. They will be the primary holder of the account, but you will be the person who will be using its services. In that way, the legal contract was entered into by your parents and not you.

PayPal Options for Teenagers and Children

PayPal offers several options for teenagers and children who want or may need to use their financial services. Some kids are already earning money.

So they need to use the services that PayPal offers. However, they cannot open their accounts because they are still minors. But they need a payment processor. So, if you need to use PayPal but are still a minor, consider the following:

1. Ask Your Parents to Sign Up for an Account

Kindly ask your parents to make a PayPal account in their name. They must have a bank account to open a PayPal account. PayPal needs this bank account to tie up the PayPal account that they will create. This is where they can transfer PayPal money.

We assume that your customers use PayPal to pay for whatever services you are rendering them. It usually takes three days for PayPal to wire or transfer money to an account holder’s bank account. Your parents can then withdraw the funds from that account and give the cash to you for your discretion.

2. Use PayPal for Online Business

If you are already selling things online, you can use PayPal as your payment processor. All items that you sell online, whether at eBay, Amazon, or other online stores, have fees charged on them based upon their sales prices.

Currently, PayPal is the payment processor that most consumers use when buying and paying for items online. It is well-established, with proven long years of online experience, and trusted by millions worldwide.

It’s a pity that you can’t use it because you are a minor. However, you can now take advantage of its services with the information I have given you. Note that you should stay within its bounds while still a minor.

Conclusion: How Old Do You Have to Be to Have a PayPal Account?

To legally have a PayPal account, you must be at least 18 years old. PayPal follows this rule in the United States. Additionally, you have to be a resident of the United States or any one of its territories.

So, to open an account and use the services of PayPal, you have to be in the age of majority, which is 18 years old. You can fake your age, but if PayPal finds out, there are dire consequences, such as being banned for the rest of your life.

But that’s not the end of it. You can ask your parent to open a PayPal account for your personal use. They will be the primary account holder, but you are the one who will use the services.