In today's blog post, I will show you how to go about it without going through the exploitative PayPal to Mpesa withdrawal services (brokers) that have cropped out everywhere on the internet.
Just in case you are not yet familiar with PayPal, this is a service that enables you to send, receive and depending on your country, withdraw cash to your bank account, credit (or debit) card, etc.
To get a PayPal account, sign up here.
To receive money through PayPal for services rendered, all you have to do is give the sender your email address. PayPal will identify your account through the email provided by the sender and accordingly credit your account with the cash sent. If selling online, PayPal allows you to set payment buttons that redirect users (buyers) to PayPal for payment – to your PayPal account.
How to use Equity Bank PayPal Withdrawal Service to Withdraw Money in KenyaFor a long time, it was virtually impossible to withdraw money from PayPal in Kenya unless you had (or knew a trustworthy person with) a bank account in one of the countries where PayPal allowed fund transfer to a back account e.g. United States.
You could receive cash through PayPal but with no viable way to withdraw it from your account, except spending it online, it didn't make sense using PayPal in the first place. That was a great setback for the ever burgeoning number of Kenyans working online.
This challenge saw the emerging of many PayPal to Mpesa transfer services (brokers) that actually buy your PayPal funds at a fee of anything between 20 and 30% and send you the respective amount via Mpesa. That is pretty expensive but we can’t blame or rebuke these “entrepreneurs’ for seizing the opportunity when it still existed.
Although their business model is slowly dying away, you may still find the services of these brokers very handy when you are pressed for cash and just can’t wait up to 8 days to receive your cash from PayPal.
Coming back to our topic of discussion, the introduction of equity bank PayPal withdrawal service was a great game changer. Only available to equity bank customers, this is the most affordable and reliable way to withdraw money from PayPal in Kenya at the moment. At only 1.5%, their rate is also friendly.
Although it immediately seems like a partnership between equity bank and paypal, the funds are actually routed through South Africa’s First National Bank; it is the recipient to whom you “pay” the cash to be withdrawn from your PayPal account.
Below are the steps it takes to receive your PayPal funds in your bank account in Kenya:
UPDATE: Equity has moved their paypal withdrawal service to the Self Service Portal. Register here and then link your paypal account for withdrawals.
Step 1Go to Equity Bank PayPal Withdrawal Service website and click the Huge Withdraw from PayPal Button near The Top Left Side of the Website.
Step 2On the next screen, select For me if you are an individual or For my business if you are a company.
Step 3Enter your Equity bank account number. A one-time-pin (OTP) will be sent to the email address available on record at Equity bank for the account number you just provided. Go to your email and copy-paste it back in the specified field.
Step 4Now fill in your personal details and details of the withdrawal, i.e. dollar amount and PayPal email address, then click the Submit button.
Step 5Check that everything in your quote is okay, then click Accept Quote. Also, tick the quote acceptance checkmark.
Step 6On the next window (confirmation screen), click confirm if everything is okay.
Step 7Log in to your PayPal account.
Step 8Click Pay Now to proceed with the checkout.
Step 9On the final screen, click Finish.
There you have it. That is basically all there is to withdrawing money from PayPal in Kenya, to your equity bank account.
Problems You Might Encounter When Transferring Funds From Your PayPal Account
- The first time I tried to use this service, it failed because my PayPal email address was not the same as the one on record for my bank account. All I had to do was go to my branch and have the email address updated.