52 thoughts on “How to Transfer USD from Paypal to a USD Bank Account in Canada”

    • Emil- For me, using the RBC USD account based in Canada stopped working recently (like a few months ago) and I think maybe they caught on somehow. Then I fixed the problem by adding the US based account in Georgia.

  1. Has anyone actually (successfully) tried the RBC Cross-Border package method above? Here again is the link to this package (USD account and USD Visa), essentially waiving the first year’s fees (offer ends October 31, 2020):


    Besides not having to pay the usual annual fees, you get the coveted US-based RBC bank account (Atlanta, Georgia) that would be required to transfer your USD out of PayPal. Is there a catch though?

    I tried the RBC USD eSavings account method, which worked twice as far as waiting for the micro-deposits. Those two “test” deposits never showed up and the RBC account was automatically removed from my PayPal list each of those times. On my third attempt (and all subsequent attempts), I get the “We’re sorry. We’re not able to process your request right now. Please try again later.” message. Upon speaking with a few PayPal reps, apparently RBC is considered a “security risk”. Not sure if that’s just for my PayPal account or right across the PayPal network. Hopefully, not the latter. Another PayPal rep told me to wait at least 48 hours to see if an automated security block will clear itself. I was also told to clear my browser cookies and cache or even try a different browser.

    Anyway, this PayPal restriction is such a hassle. Just wondering if the RBC Cross-Border package above solve anything. Also, I have a TD Canada Trust profile and they have US branches. Anybody have luck getting PayPal US funds out via TD Bank?

    • @Ricardo- The US TD Account works as well (similar to this RBC bank account based in Georgia) but I’m not sure what the account details are and if there is a minimum balance needed. Sounds like you probably need to try the Georgia account to get Paypal to pay.

  2. Note: Possible PayPal micro-deposit loophole method below (read on)!!!

    So, genymoney above was correct (at least for me), creating a TD Bank NA (US-based) account works, especially if you already have a TD Canada Trust (Canada) Borderless $USD account. I must note, I did not see a completely free way to do this via TD, unless you open a TD Bank “Convenience Checking” account which requires a minimum balance of $100 USD to waive the $15 USD monthly fee. There is also a TD Simple Savings account whereby you need a minimum balance of $300 USD to waive a $5 USD monthly fee. Careful, there may be tax implications if you open an interest-bearing US-based savings account! You have 30 days upon setup of these accounts to deposit the minimum balance with TD.

    Now, for that PayPal loophole method that may also apply to the RBC USD eSavings account (based in Atlanta, Georgia). Once you create whatever US-based bank account and have the routing number and account number, follow these steps:

    1. Link the US-based account to PayPal using the “Link a U.S. account” option. I did not need to enter an TD institution number or branch transit number. Just the routing number and account number as it would appear on a US check. Select “Checking” or “Savings” type that matches.
    2. Hopefully, you are able to get to the stage where PayPal tells you it is sending the two micro-deposits in the next 3 to 5 business days. If so, immediately do an actual USD fund transfer (using your USD PayPal money) from PayPal to that “pending” US-based account. I suggest a small amount like $5 or $10 USD.
    3. If you have entered the routing number and account info correctly, you will see your $5 or $10 successfully transferred in about 1 to 3 business days, but PayPal’s test micro-deposits ($0.02 or $0.04???) might fail! Eventually, PayPal will remove that “pending” account from your list of linked accounts if those micro-deposits failed.
    4. If those PayPal micro-deposits show up, lucky you and go ahead with entering those amounts into PayPal’s verification system. However, if they are “rejected” by your US-based bank (this is what happened to me), don’t fret because…
    5. Since you have a successful $5 or $10 transfer from PayPal to your “pending” US-based account, you now have a Transaction ID in your PayPal history with which you can contact PayPal Customer Service and have the US-based account manually verified by them! In PayPal, go to Activity, click on the successful transaction and copy the Transaction ID number.
    6. Use their online “Message Center” to contact Customer Service. Don’t bother with phoning them. You will be on hold forever and eventually automatically disconnected because they recommend the Message Center anyway. Look for the “bell” icon at the top of the PayPal website. Click that, then “Inbox”, then “View Messages”.
    7. Click “New Message”. The automated PayPal Assistant will ask what you need help with. Type “Link bank account”. Eventually you’ll get the option to chat with an agent. Click “Yes”.
    8. Paste the successful Transaction ID as your “proof” that your US-based account exists, received money successfully and that you just need help to re-add and manually verify that bank account.
    9. Depending on how many agents are available, you may wait either seconds, minutes or hours between chat replies! The crucial part though is that whatever agent you get will want to send 6-digit verification codes to your phone (or email?) so that you can prove you are the account owner. These codes expire after 10 minutes. So, you might need to have email / PayPal notifications turned on so you don’t miss this window.
    10. Be sure to refresh your PayPal once the agent “verifies” your US-based account. It took me a couple of tries while I had the online agent unlocking the account, re-adding it and verifying it. You should see a “Confirmed” status next to your re-added US-based account!

    Ironically, once I successfully added my US-based account, PayPal’s micro-deposits showed up (and haven’t yet been withdrawn)! Yay, a bonus $0.06 USD for my troubles, haha!

    Lastly, some caveats:

    When opening the TD Bank NA (US-based) account, I had to go to a Canadian TD Canada Trust branch to fill out the application (on their iPad). The bank representative may have access and clout with the US counterpart to make account creation easier. You will get an email confirming the account is created that very day. Book an appointment. Linking the US-based TD bank account to your TD EasyWeb login for easy USD transfers is also possible. Ask the bank representative about that.

    If you go for the TD Bank USD Convenience Checking account, even though this is for “personal” use, TD communicates to PayPal that this is a “Business Checking” account. This might be why PayPal’s micro-deposits fail in general. There is no way to specify this “business” detail when linking a “Checking” account in PayPal.

    The last caveat is that you may receive a “W-8BEN” I.R.S. tax form in the mail. No need to panic. This is standard US bank industry compliance. Since you are a Canadian resident, you will need to pay attention to Box 6 “Foreign tax identifying number”. Write your Canadian S.I.N. number there. Fill out the rest of the form as needed and mail it in (US postage required). If you want to avoid cross-border tax issues completely, I’d suggest that the US-based account you open is non-interest bearing (ie: TD Bank Convenience Checking). So, open a checking account, not a savings account!

    You can usually close your US-based bank account for free once you no longer need it for these USD PayPal transfers. Check with the bank that no fees are charged when withdrawing all funds to Canada (including minimum balance) and closing the account. I don’t believe there is such a thing as having the account open for a “minimum amount of time”.

    Sorry for the long post, but sometimes the devil is in the details! Hopefully, these ideas will work for others also. Please post your success or failure if you try the ideas above.


    • @Ricardo- Thanks for the mega comment and the great in depth details!! Haha, congrats on the bonus $0.06USD for your troubles! Yes, I got the W-8BEN and filled it out as well. RBC walked me through it via email quite nicely as well.

  3. Just a question out of curiosity. How/why are you getting money put into your PayPal account if you’re in Canada? Is a “gig” type job that paid you in USD? If so, why get paid into PayPal and not in a regular USD bank account from the US?

    I understand why PayPal is used, for example, as an alternative to using a credit card for enhanced security reasons, but why are you getting money deposited into your PayPal account to begin with?

    Pardon the ignorance.

    • Hi @moneyhelp,

      In my case, a convention I was supposed to attend was cancelled (due to COVID-19) and the organizers used a third party service to issue refunds. Since the third party didn’t have my credit card info that was used to pay for the convention, they were only offering refunds via PayPal.

      Yes, there are online gigs that might pay through PayPal. I’ve also heard of US citizens working in Canada that may wish to be paid in USD via PayPal. I’m sure there are other scenarios requiring the solutions offered above.

  4. my paypal account does not have any of those options listed. A paypal rep told me it was because the email was a canadain email address. Any suggestions?

  5. Thank you so much, I’ll definitely try this out at some point. Was desperately looking for a solution to access the money in my paypal account which is linked to my usd based ecommerce site. Was shocked when I couldn’t just connect it to my RBC usd account

      • I’m interested in the Direct Checking U.S. Bank account bundled with the Visa Signature Black U.S. credit card alternative you mentioned. If I could use the Black card as my card to pay off expenses on my e-commerce site, then I can get rid of the restricted $USD RBC business card I’m using now, and free up $1500 in the GIC thats required to have the card.

        Is the Direct Checking U.S. Bank account (which will cost $40 USD annually) able to connect with a USD paypal account in the same manner as the Preferred Money Market Savings Account?

        • So I went with the Direct Checking US bank account and Visa Signature Black US credit card bundle with RBC Bank in the US, and it worked like a charm! Paypal sees the RBC bank account as a US based account (which it is) completely separate from my Canadian Royal Bank USD account, and transfers money to it without any extra fees, everything in USD. From there I can log into RBC Bank and and transfer the money to my Royal Bank USD high interest eSavings account. This is a cross border transaction, but again there are no extra fees. And then I can do whatever I want with the money in my eSavings account, as it’s a Canadian account. Also I have a personal paypal account, not business. It made no difference. Hope you find this helpful!

  6. The PayPal Canada User agreement provides that withdrawing funds in currency other than CAD cannot be done. Only through conversion. Period.

    • @Kik- here’s a quote from the PayPal forum


      Welcome to our Community Forums! Transferring USD out of Canadian PayPal accounts can certainly be a bit confusing. I’ll be happy to help out here.

      You can transfer USD out of a Canadian PayPal account, you just have to make sure it’s being transferred to a US bank account. You have the ability to add both Canadian and US bank accounts to your PayPal account.

      Canadian bank accounts are added with an account, institution, and transit numbers. When withdrawing funds to a Canadian bank, the funds will be sent out as CAD, even if they are available as USD in your PayPal account.

      US bank accounts are added with an account and 9-digit routing number. When withdrawing funds to a US bank, the funds will be sent out as USD.

      I hope that clears it up!

      – Jon K

  7. Thanks, I’m trying this at the moment and will report if it works or not. I noticed your comment about the PayPal address needing to match the address on the US RBC in GA bank account. But I couldn’t find anywhere in PayPal where to view or enter my address. Can you elaborate on that please?

      • So i made the cross border US bank account, went to add US based bank account, and i keep getting error ” cant verify its you” any suggestions ? do I need to have like same phone number eveything matching?

        • @Anonymous- Did you call the 1-800-769-2553 Cross Border specialist number? I had to talk to someone to get it set up, the bank account from the US side will say “Royal Bank Georgia”.

  8. ive actually went with bmo harris US based acc, because I saw on another forum that works aswell only thing is when I try to link it to my paypal, ”says cant verify its you”. I tried contacting paypal and they said cant link a US bank acc wth a canadian paypal account, when I know ppl are doing it and it says u can on paypal.com. Did u use a US address to match the paypal account? anything else has to match? I know you mentioned po box in your thread.

      • yes i use the same thing, paypal canada. So what I did was with bmo I first created the cross border US based bmo harris account, but I still didnt create the BMO canada Usd account, do you think this could be why its not letting me link? I dont see why it would matter though since first I have to link the US based acc to paypal right? I did speak to a paypal rep who knew a little bit more about the matter and he did tell me the loophole did close around the time of covid so maybe you linked your bank acc before than thats why it works for u.

    • @Anonymous- Did you try the routing number mentioned in the post for RBC USD account? I clicked around in Paypal and it does have the steps “link a US bank account instead” still.

      • yes, well first I cant even get the rbc USD canada acc linked, i think they mightve patched it and it is working for u because you were able to link it before they closed the loophole, I tried linking it by logging in through online banking, and it says ”cant verify info”, how did you link your canada USD account first? was it manually or going through the online banking login option paypal gives you?

        • @Anonymous- I linked it through the same process outlined in this post. I also linked my Canadian bank account too. So Paypal is linked to Canadian, USD in Canada, and USD outside Canada.

  9. Tried TD US, keeps getting “We’re sorry. We’re not able to process your request right now. Please try again later.”

    Called paypal and they say there’s no way that Canadian accounts will be able to link to a US bank.


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