PayPal (NASDAQ:PYPL) users in the U.S. will soon be able to instantly transfer money to their bank accounts and have the cash show up in minutes. This is in contrast to the three to five business days it currently takes the popular payment platform to process funds. U.S. users will be able to move the money via eligible debit cards linked to their PayPal account.
A blog from Bill Ready, Chief Operating Officer at PayPal, says the beta of this system is already available to select users. All U.S. users with eligible Visa or Mastercard debit cards will be able to access the new system in the next few weeks or months.
This latest announcement is part of an overall thrust to make the system more mobile friendly with products like PayPal One Touch.
PayPal also fostered initiatives last year with Visa and Mastercard that made these instant transfers possible.
“As always, funds in your balance are immediately available to use when shopping with PayPal, and there is no charge to transfer funds directly to your bank account through our original bank transfer functionality, which typically takes one business day,” Ready writes in his post. “Our new transfer option will be available for a nominal fee of $0.25 per transfer.”
Entrepreneurs, freelancers, small business and shop owners alike have been using the payment platform to do business since 1998. It has a variety of uses like receiving money, processing debit and credit card transactions and running POS systems.