Last Updated: 02/23/2026
SuperMoney User Recommendation Score -14
Mostly not recommended73 total votes
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Highlights
Community Rating
Mostly not recommended
Amount Range
$5,000 - $500,000
APR (Fixed APR)
N/A
Loan Term (Months)
3 - 13
Number of Reviews
PayPal Business Loan Review
PayPal Working capital is a business financing offering by PayPal Inc, based in San Jose, CA. Founded in 1998, PayPal Inc offers access to small business loans in 50 states (and Washington, DC).
PayPal Working capital FAQ
What are PayPal Working capital rates?
PayPal Working capital offers a fixed APR business financing product but they do not disclose their rates.
Does PayPal Working capital charge an origination fee?
No, PayPal Working capital does not charge a loan origination fee. A loan origination fee is what some lenders charge for processing, underwriting, and funding a business loan. Typically fees range from 0.5% to 5% of the loan amount. Whenever possible, go with lenders that don’t charge origination fees.
Does PayPal Working capital charge a late fee?
No, PayPal Working capital will not charge you a late fee. However, it does charge a $20 fee if a payment is returned due to non-sufficient funds.
Does PayPal Working capital charge prepayment fees?
No, PayPal Working capital does not charge prepayment fees. This means you will not have to pay additional fees if you decide to pay the business loan off early.
How much can you borrow from PayPal Working capital?
Business loan amounts start at $5,000 and go up to $500,000.
What is the maximum business loan term you can get with PayPal Working capital?
PayPal Working capital offers small business loans with terms ranging from 3 to 13 months. Having the option of longer terms allows borrowers to take on larger loan amounts while keeping monthly payments more affordable. However, the longer the term of your loan, the more interest you will pay.
What do you need to qualify for PayPal Business Loan?
PayPal Business Loan requires companies to be in business for at least 9 months. Businesses must have a minimum annual revenue of $42,000 to be considered.
Applicants with a credit score of at least 560 and up to 850 may be eligible for PayPal Business Loan. The minimum age to be eligible is 18 or the state minimum, whichever is higher. U.S. citizens and permanent resident / green card holders with a U.S. tax identification number are eligible to apply for the services offered by PayPal Business Loan.
To qualify, applicants may need to provide the following documentation:
- Proof of income
- Business formation documents
- Driver's license or other government photo ID
- Proof of identity
- U.S. tax identification number
What is the estimated funding time for a business loan via PayPal Working capital?
PayPal Working capital can fund small business loans within 7 business days.
Does PayPal Business Loan report your account activity to credit bureaus?
Yes, PayPal Business Loan reports to the following credit bureaus:
- Equifax
- Experian
- TransUnion
Making regular on-time payments to a creditor that reports to one or more credit bureaus will demonstrate your financial responsibility and may help build your credit.
Does PayPal Inc perform a hard credit pull?
Yes, PayPal Working capital performs a hard credit pull when you apply for a loan. Additionally, it doesn't provide the option to check your rates using a soft credit pull, a feature that many lenders offer.
Click here to get prequalified rates from multiple leading lenders without a hard credit pull. However, if you accept a loan offer, a hard credit pull will likely be performed.
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Editorial Disclaimer: Editorial and user-generated content on this page is not provided or commissioned by the issuer. Opinions expressed here are the author's alone and have not been approved or otherwise endorsed by any financial institution, including those that are advertising partners.
Message from PayPal Working capital
Message from our editor
What We Love About PayPal Working Capital Loans
PayPal Working Capital is one of the simplest, quickest ways to fund a business with capital. Those who use PayPal as a payment portal can apply for a loan based solely on their transaction and relationship history with PayPal over time. This funding will be approved instantly, with only a few questions required, such as how much the borrower actually wants (based on pre-approved amounts offered by PayPal), and if they agree to repay the funds out of their sales transactions. Most accounts are funded instantly, too.
What Could PayPal Working Capital Do Better?
The options for PayPal’s working capital loans are quite limited. For example, one borrower was only given the option to borrow two different small amounts. The repayment terms are also set in stone. Borrowers won’t be able to negotiate paying less on the repayment or taking longer to get it paid off-- a certain percentage is taken from each sale until the loan is repaid, starting within the first seven days.
PayPal Working Capital Backstory
PayPal launched its Working Capital branch in 2013 as a way to help small businesses get fast access to capital so that they could continue to grow. The company has provided over $1 billion in funds to more than 60,000 small businesses in the U.S., UK, and Australia since it began. PayPal remains one of the primary financial solutions for small businesses in these countries and elsewhere around the world.
The Verdict
PayPal Working Capital is quick and easy if that’s what you need. You won’t have the flexibility in repayment terms or negotiations like you might with some lenders, but then when you need quick capital, leverage isn’t really important. All in all, we give this one a win for the quick cash and hassle-free repayment (PayPal just takes the money from your transactions as they happen, so you don’t even notice you’re repaying the loan).
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Amount Range
$5K - $50K
APR
6.49% - 99%
Disclaimer popup with additional information
Loan Term (Months)
3 - 12
Availability
Available in 50 states and Washington, D.C.
- Alabama
- Alaska
- Arizona
- Arkansas
- California
- Colorado
- Connecticut
- Delaware
- District of Columbia
- Florida
- Georgia
- Hawaii
- Idaho
- Illinois
- Indiana
- Iowa
- Kansas
- Kentucky
- Louisiana
- Maine
- Maryland
- Massachusetts
- Michigan
- Minnesota
- Mississippi
- Missouri
- Montana
- Nebraska
- Nevada
- New Hampshire
- New Jersey
- New Mexico
- New York
- North Carolina
- North Dakota
- Ohio
- Oklahoma
- Oregon
- Pennsylvania
- Rhode Island
- South Carolina
- South Dakota
- Tennessee
- Texas
- Utah
- Vermont
- Virginia
- Washington
- West Virginia
- Wisconsin
- Wyoming
SuperMoney Net Recommendation Score
SuperMoney users mostly don't recommend this product, giving it a user recommendation score of -14, or 2.7 on a 5-point rating scale.
-14
-1000+100
No one recommends
Everyone recommends
Reviewer Sentiment Over Time
PayPal Business Loan Community Reviews
Would you recommend PayPal Business Loan to your friends?
AB
Anna B.
Jul 20, 2023
Would not Recommend
Nothing but a bunch of loan sharks. Read the fine print: They fund your bank account and then start taking automatic payments out of your account JUST TWO WEEKS LATER. No way to pay off the loan early and save on paying interest. Interest is built into the payments and they schedule a WEEKLY PAYMENT FOR 52 WEEKS. Horrible.
U
Anonymous
May 2, 2023
Would Recommend
It's amazing to transfer money easily in account.
I really concerned to all for using this app
JA
Jennifer A.
May 18, 2021
May or may not recommend
Issue I'm having i love how it works however after having 2 loans one paid off in 7 months due to covid and last one paid off in 119 days i still can not get another loan even owning 2 business both on paypal.
Alex B.
Feb 24, 2021
Would not Recommend
I have applied for paypal working capital business loan few times, and every time id loose lots of money in front, yes exactly while you are getting a loan, you will already be paying the fees in front even before you used any penny from the originated loan. Well, I know i did read the rules and terms and conditions, I did sign the papers and etc however I never ...Show More
Allen H.
Aug 8, 2020
Would Recommend
fast awesome easy and big business impact with the pain of payback minimized
CS
Cassandra S.
Jan 24, 2020
Would Recommend
Probably because i process all my cash and debit card transactions thru paypal, i was approved instantly for $6500 loan with $1200 fee. The funds were deposited into my account in mins. Payments were deducted daily from my earnings. I have just about paid it off in 120+ days. Looking to apply again. Very satisfied with the service. They were there for me when i could not qualify for a ...Show More
RH
Ralph H.
Dec 13, 2019
Would Recommend
No bank would make this type of loan. Fees are high but risk must be too.
U
Anonymous
Oct 28, 2019
Would Recommend
The only funding source that believes in your business without any red tape. Clear and simple and no painful applications. Thank you Paypal for believing in me and supporting my business. I now turnover over 500k. Thank you very much Paypal for helping me build my business. I won’t have reached this level without them
Jeffrey J.
Sep 25, 2019
Would not Recommend
Started taking payments from my account but I cannot transfer loan from pay pal to my bank account. Have dealt with customer service for a week with no resolution. They keep passing the buck to another "team". I am paying for a loan that isn't available. Customer service is inept and no one follows up with promises.
Jeff Jacobs
989-484-9040
KT
Karen` T.
Sep 11, 2019
Would Recommend
It is a great tool for businesses that have daily or weekly sales...I was able to get an $8000 loan with fair fees and it was in my account in seconds. In 3 weeks I have already paid back 20% of the loan thru my sales. I have plans on a higher loan when this one is paid off to up my inventory game!! Thanks PayPal!
Emily Q.
Aug 20, 2019
Would Recommend
I've used paypal working loan 3 times now. I'd recommend it for those who have high sales via paypal business but seasonal clientele. This way it covers your running costs regardless of whether your clients come in bulk or pay on time etc. Worked perfectly for me to even out the bills- I treat it like an advance salary, pay all my bills for 3 months, then ...Show More
GM
George M.
Aug 11, 2019
Would not Recommend
because its bias. ki had 2 loans from working capital, paid them both off. i apply fot a third loan. and get denied over and over. this just blows my mind. how can i be approved for 2 loans. established a business relationship, so ni thought. they advertise they r there if we need them.. far from the truth. . un proffesional and totaly unfair.
DS
David S.
Jul 22, 2019
Would not Recommend
RIP off - working out to be 40% APR (thats with 30% repay option) in my case which is far too high for any finance house. basically will they will take out loan amount 4 times faster than their algorithim estimate. they blame their algorithm.
AV
Antoni V.
Jul 18, 2019
Would not Recommend
I have been trying since 2010 to find out why PayPal twice froze my account with no explanation. The second time it took almost a month to unfreeze my funds.
Also, paypal.co.uk pretends not to have a UK address.
I would not touch a company like PayPal with a bargepole were it not for ebay making acceptance compulsory.
Check out the paypalsucks website.
SD
Solomon David M.
Jul 11, 2019
Would not Recommend
Fundamentally flawed. Long story short for £35k borrow limit their system calculated estimated one time fee of £5500 with estimated repayment time of 17 months and 30% repayment for each sales.
From my actaual last 2 months sale i would repay that amount in 5 months. When i called them they said its their system and they cant do anything.
You do the math
CJ
Charles J.
Jun 14, 2019
Would not Recommend
Paypal Capital Business Loans is A BIIIIG JOKE!!!!!!!!! DO NOT!! I REPEAT....DO NOT!!! Consider them!!! DON'T WASTE YOUR TIME!!!!! They advertise "basic requirements" "minimum" this, "minimum" that......I was waaay above every minimum!!! I had 100k in revenue the Last SIX MONTHS ALONE (they're minimum is 42k a YEAR) when I applied. I have a good "payment history" on my ...Show More
Puzzle Magnet
May 31, 2019
Would Recommend
Best and faster loan for small business,
I am a little surprise of this reviews, most of them they do not recommend because their 3rd of 4rd loan was denied, well you were praising Paypal because they give you 3 loans before you were denied. I had the same isue but instead crying like a girl I increase my sales and try to fix the problem, eventually I ...Show More
SM
Steven M.
May 22, 2019
Would not Recommend
We have taken out 2 PPWC loans over the past few years. The first loan went fairly smoothly. the second not so much.
First, the minimum PayPal take from you for repayment is 10% of all revenue that is brought in through PayPal payments (10% of every sale). That can be very hard on a companies bottom line and takes away quite a bit of profit. Especially when most or all ...Show More
Natasha S.
May 8, 2019
Would Recommend
I am on my third loan through them, i just wish it improved my credit score!
SC
Scott C.
May 5, 2019
Would not Recommend
I will admit they are pulling a fast one with this loan. They tell you what the payment amount will be but, do not clearly state that the loan payment is weekly not monthly. In my case a $5000 loan will be $6200 through the whole duration. Payment is $122.52 but, that is every week / $490 a month. The advantage for them is getting a return on interest 3 ...Show More
Showing 20 of 73 reviews
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