How to Cancel PayPal in 2026 (Close Account + Stop Recurring Charges)

Updated 2026-02-20 · 7 min read

Step 1: Cancel ALL Automatic Payments (Critical)

Do this BEFORE closing your account or merchants can still charge your linked bank/card:

1. Log into paypal.com (website is easier than app for this)
2. Click Settings (gear icon) → Payments
3. Click Manage automatic payments
4. You'll see EVERY merchant with billing permission — you might be shocked by how many there are
5. For each one: click the merchant → click Cancel
6. Cancel ALL of them — even ones you think are already canceled with the merchant
7. Screenshot this list for your records

Step 2: Withdraw Your Balance

1. Go to Wallet → check your PayPal balance
2. Click Transfer money → Transfer to your bank
3. Enter full balance → choose Standard transfer (free, 1-3 days)
4. Instant transfer: 1.75% fee — not worth it when you're leaving
5. If you have money in PayPal Savings: transfer that to your bank too
6. If you hold crypto: Sell → transfer to bank (you cannot transfer crypto out of PayPal)
7. Wait for all transfers to complete

Step 3: Resolve Disputes and Pending

• Close any open disputes or claims — PayPal won't let you close with active cases
• Wait for all pending payments to clear
• Complete any eBay transactions (if you sell on eBay)
• Cancel PayPal Pay Later / Pay in 4 — pay off any remaining installments

Step 4: Close Your PayPal Account

1. Go to paypal.com → Settings (gear icon)
2. Click Account Settings
3. Under Account options, click Close your account
4. PayPal will list any issues preventing closure (balance, pending, disputes)
5. Once resolved, confirm closure
6. Note: This is permanent — you lose your payment history and any seller reputation

PayPal's Hidden Fees

• Inactivity fee: PayPal charges a $9.99/month inactivity fee on accounts with a balance that haven't logged in for 12 months — they literally charge you for not using them
• Currency conversion: 3-4% markup on international transactions
• Friends & Family isn't free everywhere: International F&F sends have currency conversion fees
• Seller fees: 2.99% + $0.49 per transaction (higher than Stripe's 2.9% + $0.30)
• Instant transfer: 1.75% to move YOUR money to YOUR bank
• Chargeback fee: $20 fee if a buyer files a chargeback (even if you win the dispute)

Important: PayPal ≠ Venmo (But They're Related)

• PayPal owns Venmo, but they're separate accounts
• Closing PayPal does NOT close Venmo (and vice versa)
• If you want to fully leave the PayPal ecosystem, close BOTH
• Your PayPal data may still be shared with Venmo under their unified privacy policy

Delete Your Data

1. Before closing: Download your transaction history (Activity → Statements → Download)
2. After closing, email privacy@paypal.com
3. Subject: "CCPA/GDPR Data Deletion Request"
4. PayPal is required to retain some financial records for 5-7 years (legal/tax requirement)
5. They must delete non-required data within 30-45 days