Guide About PayPal Age Limit

The race for financial independence and stability, especially for young individuals, has left a lot to be desired. Invariably every parent wants their children to be financially stable as they prepare for the ever-demanding stages of adulthood. And without a doubt, maturity comes with a lot of responsibilities. Thanks to technology, with such a banking system as PayPal, people can now open an account and save money via electronic means.

The wide acceptance and popularity of the banking system have also come with some concerns. One of those concerns, and probably the most pressing one, is the PayPal age limit.

Of course, the first thing that comes to mind when you hear the phrase “age limit” is an age-based qualification. And you’re right. With PayPal, there are some limitations, especially with regard to age.

PayPal Age Limit

Apart from preparing a rewarding future for your kids, opening a savings and checking account can be a great way of teaching them about making the best use of money. It also borders around making sure that they get the necessary knowledge about the dos and don’ts of every aspect of personal finance. After all, they seldom learn about these things in their various schools.

PayPal Age Limit

Suppose you intend to open an account for your kids via PayPal; there are certain things you need to know. Being familiar with this information will help you make the right decision whether or not it is safe and advisable to open an account for your children.

Before now, opening an account for your schoolchildren via PayPal was possible. But now, with the advent of the age limit concept, children who are below the age of 18 cannot operate a bank account with PayPal.

Why Does PayPal Have an Age Limit?

Regardless of how simple the PayPal account opening process is, the age limit factor can prevent you from opening an account for your children once they haven’t clocked 18. There’s a high probability of restricting your funds if the platform discovers that you aren’t up to the age of 18.

As you already know, it is impossible for those under the age of 18 to open or operate a PayPal account. Due to the fact that account for schoolchildren who are below the age of 18 was canceled in 2016, the online banking platform has put measures in place to prevent kids and teens from operating any bank account type. I know you are pretty curious to know the reasons behind this decision. The reason is not far-fetched.

Why Does PayPal Have an Age Limit

Although it is not illegal for you to open a PayPal account if you are yet to be 18, it is against the rules and policies of the United States. The laws binding legal contracts and user agreements in the United States forbid individuals who are less than 18 from opening or operating a bank account. So, next time you get your working email address ready to open an account, try as much as possible not to leave the age factor out of the requirements.

There are consequences attached to operating a PayPal account when you are underage. If, before discovering that you aren’t qualified for such accounts, you had opened one and saved some money in it, you are likely to lose everything. PayPal will seize every dime in the account and place a limitation on it. As a result, you will be denied access to the account and the funds in it.

That’s not all. If you open a PayPal account as a minor, you can be banned forever from using the platform. Suppose you don’t want your account to be restricted, and you don’t want to lose your funds. In that case, you need to rule out the idea of opening a PayPal account if you are less than 18 years.

Is there a PayPal account for minors?

With the well-detailed explanation I have provided in the former paragraphs, you can easily infer that minors cannot open a PayPal account. That does not mean that opening an account for your kid is entirely impossible. There’s still a way you can go about it. However, your underage kid can’t open and operate a PayPal account.

In more relatable terms, parents can open a PayPal account on behalf of their children, save money in it regularly, and leave it for them until they are of age. This is the only way a PayPal account for minors is possible. More often than not, these are stealth PayPal accounts that attract and demand parental supervision.

The only setback here is that your kids will not have access to the funds until they clock 18 years.

How do I Set Up a PayPal Account for Minors?

Setting up a PayPal account for your kids comes without stress since you are the one who will be playing the most crucial role. Your kids have few or no roles to play because you set up such an account on their behalf.

As a parent, you will need to sign up to the platform once you are ready to open the account. If a minor tries to open the PayPal account all by himself, further steps involved in opening the account will be denied.

How do I Set Up a PayPal Account for Minors

Before signing up to the platform to open an account for your kid, it is essential that you also have a PayPal account. This will make the account opening process easier and more relatable. After signing up with your working email and granting consent to the necessary terms and conditions, the account is ready for use. Money can now flow into the account, and the parents can monitor every activity on the platform.

What are PayPal Alternatives for Teenagers under 18?

Since there is no way you can open a PayPal account as a minor, you have to seek alternatives if you are not pleased with your parents monitoring an account on your behalf. Invariably every young individual wants to have access to everything that is theirs. Perhaps you are wondering whether or not these alternatives have the potential of functioning just like a PayPal account; you don’t have to give yourself to such concerns. These alternatives are more than able to provide you with the best and most efficient banking experience.

Some of the alternatives you should consider are highlighted in the paragraphs below.

Capital One

Open to children between 8 and 18 years old, this banking system allows teens and kids to open and operate personal accounts. The services offered by this platform are top-notch and stress-free. It creates a smooth platform to practice online transactions, making it possible for you to save, transfer, and spend money. In addition, you do not need a minimum balance to use it.

Capital One

Below are some of the benefits you stand to enjoy with this banking platform.

  • Provision of a free MasterCard debit card.
  • Lack of monthly charges.
  • A huge interest rate of about 0.10 to 1 percent yield per year.
  • Availability of joint account for both kids and parents with mobile app logins.
  • Text alerts to inform account holders of transactions.

The only disadvantage here is that it requires the consent of parents to make any transfer.


This is another good option to Replace the PayPal banking system. It has an accommodating design that helps both kids and parents to manage, save, and use money. The platform operates as a savings card. Parents can keep a tab on their children’s expenses, transfer funds, and set specific activities through the Current app. This platform gives you an annual fee of about $64 for every child compared to Capital One.


Some other reasons you should consider using this banking system include:

  • Optimum features designed to meet the specifications of parents and kids.
  • Availability of transfer based on parent’s consent.
  • Regulation of expenses to avoid overspending.
  • Enabling platform that enhances financial discipline and money management.

Greenlight Debit Card

Are you a minor, and you’re looking for a means to own, operate, and finance an account without any interference? If you’ve been on the search for long, it’s high time you stopped. With Greenlight Debit card, you can own an account all by yourself. The only challenge here is that the platform does not allow persons younger than 13 years to sign up. Like every other card, this is also a prepaid card. It is an efficient platform that will enable you to perform transactions such as saving, transferring, and spending money.

Greenlight Debit Card

Some of the benefits attached to opting for this banking system include the following:

  • Availability of companion app to indicate where expenses are going.
  • Uninterrupted control over funds.
  • Approval of transactions as and at when due.
  • Addition of allowance and ineffectiveness of sudden transfers

Wrap Up

The PayPal age limit prevents kids and teens younger than 18 years from owning an account and limits their chances of acquiring basic knowledge about money management and financial transfer. With other banking systems such as Capital One, Current, and others, you can find suitable alternatives to PayPal.

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