PayPal made it possible for businesses to get paid instantly, but what if you’re an individual who just wants funds in a hurry? You might be set after today. The payment service has launched an Instant Transfer option in the US that shuttles money directly to your bank account, not just your debit card. It’ll carry a 1 percent transaction fee and isn’t worth it in most cases, but it could be vital if you need to pay a bill and would rather wait seconds for your funds instead of hours or days.
Businesses will have the option in the weeks ahead.
PayPal’s Bill Ready told TechCrunch that Instant Transfer for bank accounts is coming to the US through JPMorgan Chase’s access to The Clearing House, a platform major banks use for faster payment networks. International availability is in the works, but it would require a significantly different solution.
The addition expands the potential audience to people who don’t have debit cards. Ready also noted that it could be useful for gig economy workers, freelancers and others who receive irregular pay and may need flexibility in how they receive funds. While this limits the number of people who’ll keep their funds in PayPal, it may convince them to use the service where it was too slow before.