Lee
Sending $500 to China through PayPal could cost you almost $20 in fees. That’s quite a chunk of money for a simple transfer.
PayPal transfers to China follow specific rules and limits. The service quickly moves money to Chinese bank accounts in just 30 minutes, but you can’t send more than $5,000 at once. This applies when you pay business partners or send money to your family members.
Our tests revealed two main ways to transfer money to China with PayPal: direct bank transfers and Xoom services. PayPal’s 2.9% transfer fee plus currency conversion rates might seem high, yet it works well for smaller transfers under $500.
Let me show you the exact steps to send money to China using PayPal. You’ll learn about the fees and get some useful tips to make your transfers easier in 2025.
What You Need Before Sending Money via PayPal
What You Need Before Sending Money via PayPal
You’ll need a properly set up PayPal account with several key elements before you send money to China. A complete setup will give you smooth and secure transactions.
Create and verify your PayPal account
Setting up a PayPal account is simple, but verification is vital for international transfers. PayPal asks for simple information at first and needs more details as you use the service.
Chinese mainland residents must use their Chinese name in Chinese characters from their National ID — pinyin won’t work. People outside mainland China should use their full name exactly as shown on their passport. Names need to match perfectly to avoid transfer delays.
Once you sign up, you can verify your account through these options:
- Add and confirm a bank account
- Get approved for a PayPal Credit product
Verification shows you own the financial details in your account and lets you use all PayPal features. On top of that, you need to confirm your email by clicking the verification link after registration. Adding your mobile phone number boosts your account security.
Link your bank account or card
You must link a bank account or card to your PayPal account to send money to China. PayPal offers two ways to connect your bank:
- Instant verification – Put in your online banking details through PayPal’s secure system. PayPal uses another company to check your information and might look at your balance to help with payments.
- Manual verification – Type in your bank account details yourself. PayPal then sends two small deposits (usually less than $1) to your account within three business days. You’ll verify ownership by confirming these amounts.
It’s worth mentioning that you can only link bank accounts from your PayPal account’s registered country or US banks. You can’t link more than eight bank accounts to one PayPal account.
Most Chinese bank cards use UnionPay instead of Visa or MasterCard. PayPal works with big Chinese banks like ICBC, Bank of China, China Merchant’s Bank, and China Construction Bank. Smaller local banks might not work with PayPal.
Understand PayPal’s China transfer limitations
PayPal works differently in China than in other countries. Here are the key limits you should know:
Personal PayPal accounts in China can only send money abroad but can’t get international payments. This is different from US PayPal accounts that can both send and receive money internationally.
Verified accounts let you transfer more money than unverified ones. PayPal might ask for extra documents like ID or proof of where the money came from for bigger transfers to China.
PayPal charges 2.9% plus currency conversion fees for international payments to China. The sender decides who pays these fees – it’s usually either the sender or recipient, not both.
PayPal adds their rate on top of the basic exchange rate when sending money from China to other currencies. This means the recipient gets less money than you might expect.
PayPal has been in China since 2019 after buying 70% of GoPay. But Alipay and WeChat Pay are much more popular in China. Your recipient might prefer these other ways to get money based on their needs and banking setup.
These limits are good to know before you start. They’ll help you plan your money transfers better.
How PayPal Transfers to China Work
How PayPal Transfers to China Work
PayPal’s money transfer process to China works differently than it does for most other countries. You’ll need to know the specific methods and limits to send money to the world’s second-largest economy without any hassles.
PayPal to Chinese bank account
The quickest way to send money to China is a direct transfer from your PayPal account to a Chinese bank account. Your money usually reaches most major Chinese banks within 30 minutes during their processing hours (7:30 a.m. – 10:00 p.m. Beijing time).
You’ll need these details to send money:
- Your recipient’s complete bank account details
- The exact name as shown on their account (in Chinese characters)
- The bank’s name and branch information
- Their account number
These transfers work with almost any Chinese bank, including Bank of China, ICBC, China Merchants Bank, and China Construction Bank. The system is secure and faster than regular wire transfers. PayPal’s encryption and fraud monitoring systems keep your money safe 24/7.
Business users can now use PayPal Complete Payments in China. This system makes cross-border RMB transactions easier and helps merchants manage their global funds better.
PayPal to Alipay via Xoom
PayPal lets you send money to Alipay through its Xoom service. This works great if your recipients prefer mobile wallets over bank accounts. Alipay is huge in China with over a billion users, making it a very convenient choice.
Xoom connects Western payment systems to China’s digital economy smoothly. Money sent through this service usually shows up in your recipient’s Alipay wallet within minutes.
Xoom offers several benefits for China transfers:
- Money arrives in minutes instead of hours
- Smaller minimum transfer amounts
- Multiple payment options including PayPal balance, bank account, credit card, or debit card
- Customer support in multiple languages across different time zones
You can use Xoom by logging in with your PayPal account on Xoom.com or through their mobile app. Setting up a new Xoom account is easy if you don’t have PayPal.
Why direct PayPal-to-PayPal doesn’t work in China
PayPal works in over 200 countries including mainland China, but there’s a big catch: you can’t send money straight to someone’s personal PayPal account in China.
Personal PayPal accounts in China work differently from US accounts. While US PayPal users can send and receive international money, Chinese personal accounts can only send money to other countries – not receive it.
This happens for several reasons:
China has its own payment systems. WeChat Pay and Alipay dominate the local market, so there’s not much need for PayPal’s person-to-person services.
Chinese regulations limit how foreign payment platforms can operate. Even though PayPal was the first foreign platform in China’s online third-party payments market, it still faces strict rules.
Chinese authorities also control how people can receive foreign currencies.
Business accounts are different. PayPal business accounts in China can take payments from global credit cards, debit cards, bank accounts and PayPal payments from over 200 countries. But if you’re sending money to individuals, bank transfers or Alipay through Xoom are your only real options.
Step-by-Step: Sending Money to a Chinese Bank Account
Step-by-Step: Sending Money to a Chinese Bank Account
Sending funds directly to a Chinese bank account is one of the most reliable ways to transfer money to China through PayPal. You’ll find the process simple once you know the specific requirements for China transfers.
Log in and select ‘Send Money’
You can start your PayPal transfer to China with just a few clicks:
- Open your web browser or PayPal mobile app and sign in to your verified PayPal account.
- Look for and click the “Send & Request” button at the top of the main dashboard.
- This takes you to the money transfer page to begin sending funds internationally.
Mobile users follow a slightly different path. Open the PayPal app, go to the App menu, scroll to the ‘Send and Pay’ section, and pick your preferred option. The mobile version offers the same features with a layout that works better on smaller screens.
Enter recipient’s bank details
Getting the details right at this stage ensures your money reaches the right person:
- Type your recipient’s full name exactly as shown on their bank account – this matters a lot for Chinese names.
- Add the recipient’s bank account numbers and supporting details as needed.
- Pick the bank from the dropdown menu – PayPal works with most major Chinese banks including Bank of China.
- Fill in any extra details needed, like the recipient’s phone number or email address.
Chinese names must match official documents perfectly. Small differences could delay or stop your transfer. Banking information needs to be complete and accurate, unlike domestic transfers where PayPal handles might work.
Choose currency and amount
Here’s where you decide how much to send and pick the currency:
- Type in your transfer amount.
- Pick Chinese Yuan (CNY) from the currency options.
- You can add a note about why you’re sending the money.
Transfers below $150 USD might not be economical because of fixed fees. The minimum amount you can withdraw to a Chinese bank account is $150 USD.
PayPal shows you the exchange rate before you confirm your transfer. Card users can pick between PayPal’s rate or their card company’s rate during checkout.
Review fees and confirm
Take a final look at everything before you complete your transfer:
- Double-check the recipient’s information.
- Look at the total amount with fees.
- Pick how you want to pay (PayPal balance, linked bank account, or card).
- Click “Send Payment Now” to finish.
US PayPal accounts pay an international transaction fee (5.00%, minimum $0.99 USD, maximum $4.99 USD). Using a credit or debit card adds another 2.90% plus a fixed fee.
Most Chinese bank accounts receive the money within 3 to 7 business days. This beats traditional bank transfers that can take up to two weeks. Your transfer moves faster if you avoid weekends and Chinese holidays when banks slow down.
You can check your transfer’s progress in your PayPal account’s “Activity” section, which shows all transaction details and current status.
Step-by-Step: Sending Money to Alipay via Xoom
Step-by-Step: Sending Money to Alipay via Xoom
Mobile wallets are more convenient than traditional bank accounts for many recipients in China. Xoom, a dedicated PayPal service, lets you send money directly to Alipay accounts—a payment platform that over a billion people use in China.
Access Xoom through PayPal
Setting up Xoom is easy, especially if you already have a PayPal account:
- Go to Xoom.com or get the Xoom mobile app from your device’s app store.
- Choose “Log In with PayPal” on the homepage instead of creating a new account.
- Use your existing PayPal credentials—the same username and password you normally use.
- Your PayPal payment methods (bank accounts, cards, and balance) will be ready to use with Xoom once you log in.
The PayPal app gives you direct access to Xoom. Just open the app menu, scroll to the ‘Send and Pay’ section, and pick your delivery option. You won’t need separate login details or payment information because of this integration.
Enter recipient’s Alipay info
You’ll need these details about your recipient after accessing Xoom:
- Type the amount you want to send to China.
- Pick “Mobile Wallet” as the receiving option when asked for a delivery method.
- Select “Alipay” from the available mobile wallet options.
- Add your recipient’s Alipay account information:
- Full name (exactly as registered with Alipay)
- Mobile phone number linked to their Alipay account
- Email address (if applicable)
Recipients must have a valid Alipay account to get funds. This service works well for both personal and business transfers. Money sent this way usually arrives within minutes, which beats traditional bank transfers by a long shot.
Verify identity and send
Xoom uses security measures to protect everyone involved before completing your transfer:
- Double-check all transaction details for any mistakes in the recipient’s information.
- Pick your payment method—you can use PayPal balance, bank accounts, credit cards, or debit cards.
- You might need to verify your identity if you’re a first-time user or sending larger amounts.
Xoom may ask for identity verification documents sometimes. This happens with new users, unusual transactions, or large transfers. Some users think this process is too detailed, but these checks help prevent fraud.
You’ll get a confirmation with a tracking number once verification is done. This lets you watch your transfer’s progress until it reaches your recipient’s Alipay account. You can check the status anytime by logging into your Xoom account.
The whole process takes just minutes to complete, plus transfer time. Your recipients in China can use the funds in various ways within the Alipay app for transfers, top-ups, and shopping. While PayPal to PayPal transfers don’t work for China, Xoom to Alipay is a great alternative.
Xoom now lets you send money to Weixin Pay (WeChat Pay) users in China after a recent expansion. This gives you another option to reach recipients who prefer different mobile wallet platforms.
Understanding PayPal Fees and Exchange Rates
Understanding PayPal Fees and Exchange Rates
You can save a lot of money by knowing the exact cost of international transfers. Many users don’t expect the total cost of sending funds to China via PayPal. The fees add up mainly because of transaction fees and currency conversion charges.
Breakdown of PayPal’s international fees
PayPal divides its international transfer costs into several parts. Standard transfers to China come with a simple international transaction fee of 5% of your transfer amount. The minimum charge is $0.99 USD with a maximum cap of $4.99 USD. This fee applies whatever your choice – sending to a Chinese bank account or Alipay via Xoom.
Your funding source also changes the final cost. You’ll only pay the international transaction fee if you use your existing PayPal balance or a linked bank account. However, funding your transfer with a credit card, debit card, or PayPal Credit adds 2.9% plus a fixed fee based on the currency.
Recipients in mainland China pay a commercial transaction rate of 4.40% plus a fixed fee that varies by currency. These fees cover the cost of processing cross-border transactions, fraud prevention measures, and running a global payment network.
How currency conversion affects your total
Currency conversion becomes a major cost factor when you send money to China. PayPal uses a retail exchange rate that adds a markup over the wholesale currency cost. This markup shows up as a conversion service charge of 4.5% above the base exchange rate.
Different currency pairs have different percentages. PayPal charges 3.5% for US or Canadian dollar conversions, while other currencies usually cost 4%. You’ll see the currency conversion rate before confirming any payment in a non-local currency.
Here’s an example: A $1,000 transfer to China would cost $4.99 in international transaction fees (maximum cap). Currency conversion would add another 4.5% ($45), bringing your total fees to about $50—that’s 5% of your transfer amount.
The World Bank reports that sending money internationally costs about 6% of the transfer amount on average. PayPal’s fees match this range but cost more than some specialized money transfer services with better rates.
Tips to reduce PayPal fees
Here are some practical ways to cut down the cost of sending money to China:
- Use your PayPal balance or bank account – You’ll avoid the extra 2.9% fee that comes with credit/debit cards.
- Make larger, less frequent transfers – The $4.99 international transaction fee cap means one $1,000 transfer costs the same as ten $100 transfers. This approach could save you about $45 in fees.
- Pick the right time – Transfer times and exchange rates change during weekends, bank holidays, and daily currency market shifts. Watch exchange rate trends to find better times to transfer.
- Check total costs first – PayPal shows you the currency conversion rate at checkout. You can calculate all fees before confirming your transfer.
- Plan for business payments – Business owners should include these transfer costs in their pricing or payment agreements with Chinese partners.
PayPal might not have the lowest fees for sending money to China. Yet its mix of security, speed, and convenience makes it a popular choice for international transfers.
Transfer Limits and Timeframes
Transfer Limits and Timeframes
You need to know the transfer limits and expected delivery times after learning how to send money to China via PayPal. These details will help you plan better, especially with large or urgent transfers.
Daily and monthly limits for China
PayPal sets different limits based on your account status and verification level. Unverified accounts can only send one payment up to $4,000. Your verified PayPal account has no total sending limit over time.
Verified users can send up to $60,000 in one transfer. PayPal usually caps this at $10,000 per transaction. These limits might change based on your currency and account history.
Chinese regulations create extra restrictions beyond PayPal’s limits. Payments in foreign currency to people in China have a yearly limit of $50,000. Each payment method has its own limits:
- Via UnionPay: CNY 33,000 per transfer
- Via Alipay: CNY 50,000 per transfer
- Via WeChat: CNY 50,000 per transfer
How long transfers usually take
Money arrival times in China depend on your chosen method. Funds reach major Chinese banks within 30 minutes during processing hours (7:30 a.m. – 10:00 p.m. Beijing time). Regular bank transfers take 1-2 business days, sometimes up to 5 business days.
Alipay transfers through Xoom are much faster – recipients get their money within minutes. PayPal offers instant bank transfers for a 1.5% fee if you need quick processing.
PayPal shows funds as “pending balance” at first. New sellers usually see full release within 21 days.
What causes delays
Several things can make your transfer take longer than PayPal’s estimated times. Bank cut-off times create common holdups – transactions after the daily deadline (usually 5 pm) move to the next business day.
Your transfer might take longer because of:
- Weekend transfers (banks work weekdays only)
- Public holidays in either country
- Security checks and fraud prevention
- Wrong or missing recipient details
- Currency conversion time
- Extra processing by middleman banks
Time differences between countries play a role in processing speed. Unexpected events like natural disasters or global situations can also slow things down.
Common Issues and How to Fix Them
Common Issues and How to Fix Them
PayPal transfers to China can hit roadblocks despite careful planning. Most problems have simple solutions once you know what’s happening under the hood.
Transfer stuck or pending
A “Pending” status on your transfer usually comes from PayPal’s internal review process. Non-US verified accounts need a 24-hour review period. This security measure helps stop fraud but can cause delays.
Here’s how to handle a pending transfer:
- Wait for the standard review period to finish
- Look for any account limitations that block transfers
- Make sure your payment method works with your chosen transfer type
PayPal’s security systems need time to complete their checks on transactions marked “Pending Review.” Your best option is to wait. If the payment stays pending for more than 24 hours, reach out to PayPal’s customer service team.
Recipient didn’t receive funds
Missing funds can happen for several reasons. Chinese transfers face a unique challenge – recipients might see money in their PayPal account but can’t move it to their bank without proof of physical goods exchanged.
Try these steps to fix the issue:
- Ask the recipient to check their account again
- Double-check the recipient’s details
- Know that Chinese banks often reject PayPal’s foreign currency transfers
“You can send money to someone’s PayPal account in China easily. But the big banks in China won’t always allow the foreign currency transfer from PayPal to receivers’ Chinese bank account.” A practical fix is to have the recipient send the money back as a personal payment and use Wise to send it to their Alipay wallet instead.
Currency mismatch errors
These errors pop up when your account’s default currency clashes with the transaction currency. Users see messages like “Currency mismatch – your account is in US $ change to $” even with correct currency settings.
Solutions for currency mismatches:
- Review your PayPal Wallet’s primary currency settings
- Add the needed currency to your account first
- Switch to a different device if the error persists
The error sometimes fixes itself after a few tries from different devices. PayPal takes payments in various currencies and creates new balances in your account as needed.
Tips for a Smooth PayPal Transfer to China
Tips for a Smooth PayPal Transfer to China
Money transfers to China need more attention than just following simple steps. Here’s how you can avoid common mistakes and make sure your money gets there quickly.
Double-check recipient details
Getting the recipient’s information right is vital for Chinese transfers. Names should match exactly with official documents. Chinese characters work better than pinyin for mainland residents. Expats living in China can use their marriage certificates and housing documents as proof when dealing with address verification.
Here’s what you need to check carefully:
- Bank account numbers (look twice for switched digits)
- Full name in proper format (Chinese characters for mainland recipients)
- Complete bank information including branch location
- Mobile number linked to recipient’s accounts
Your transfer could get delayed or rejected if even one character is wrong. PayPal’s security systems spot these mismatches right away.
Use mid-market rate tools
PayPal adds a 4.00% markup to the base exchange rate. This hidden fee can substantially affect your recipient’s final amount.
You should check if you’re getting a good rate by comparing PayPal’s rate to the mid-market standard. Just search “GBP to CNY rate” or your currency pair to see live rates before sending money. You can also find PayPal’s Currency Calculator in your Wallet section to see current rates.
Knowing these rates helps you pick the right time to transfer. Sometimes waiting a day could save you money when exchange rates look better.
Avoid weekends and holidays
Your transfer timing makes a big difference in how fast money reaches China. Most transfers hit major Chinese banks within 30 minutes, but only during their working hours from 7:30 a.m. to 10:00 p.m. Beijing time.
Money sent after the daily cutoff (usually 5 pm) moves to the next business day. Weekend transfers typically wait until Monday to process. Chinese holidays stop all processing too, which can add several days to waiting times.
The quickest way to send urgent transfers is early on weekdays. This helps you avoid your money getting stuck over the weekend.
Conclusion
PayPal remains a trusted way to send money to China. Smart transfer decisions depend on knowing its fees and limits. Bank transfers excel with larger sums, while Xoom delivers money faster to Alipay wallets.
Your success rates improve by a lot with these simple precautions. Always verify the recipient’s information. Look at different exchange rates before you send money. Schedule transfers during Chinese business hours. These steps prevent delays and complications in international transfers.
PayPal charges a 5% international transaction fee and 4.5% for currency conversion. These fees might look steep, but the platform’s 30-year old security systems and quick 30-minute transfers to major Chinese banks make sense for many people. Your transfer amount and the recipient’s priorities should guide your choice between direct bank deposits and Xoom’s mobile wallet transfers.
