Does Paypal Work In Nigeria? How To Use Paypal As A Freelancer

by Micheal Olorunwumi

It is true that non-US-based remote workers face some difficulties when it comes to ripping the fruits of their labour, but despite that, PayPal still functions in Nigeria.

All you need to enjoy maximum usability is to follow the simple steps that will be unravelled in this article.

Making use of PayPal in Nigeria, especially if you are just starting your freelancing journey, can be a thorn in the flesh.

 Earning could be a simple thing, but the most important thing is accessibility to one’s (people call it hard-earned, but I call it) “hand-earned” money. 

Based on research by Payoneer (one of the platforms for African and international freelancers to receive and transact their earnings online), it was said that African remote workers have low representation in the global statistics of the contribution of freelancing to the worldwide economy.

In a country with a poor mobile network, internet services, power supply, unemployment, underpayment, and discrimination, among others, the most frustrating of all is being unable to withdraw and transact one’s funds.

 Keep reading for in-depth knowledge on how to use PayPal in Nigeria, hence, avoiding such frustrating moments.

What is PayPal?

PayPal, an international fintech company that helps in receiving, sending, withdrawing, sending invoices, and making transactions by users worldwide, was founded in December 1998 by Palo Alto. 

PayPal remains one of the best electronic alternatives to traditionalized money orders and checks.

How to Open A PayPal Account

Opening an account as a Nigerian user can be a pain in the butt, but you can smoothly use PayPal when you open a business account.

Where you can seamlessly make transfers of foreign currencies with affordable fees.

Here’s how to open a PayPal account as a Nigerian freelancer.

  • Search for the website or download the mobile application on Google Playstore for android or Apple store for iOS devices.
  • Select “Open a Business Account”.
  • Input your mail address (Gmail, [email protected], or Yahoo).
  • Select “Continue”.
  • Input your first and last name according to your official means of identification (NIN, Driver’s licence, etc.
  • Select “Continue”
  • Input a password that can be easily remembered (for a strong one, ensure it contains letters, upper and lower cases, one at least, figures, and a punctuation mark, 8 digits at most)
  • Select “Continue”
  • Input your phone number and business name (must be legally detailed)
  • Insert your legal business address, which must be identical to the address included while opening any or all of your bank accounts. 
  • Insert your Nigerian postcode of your state or area (check Google for more info)
  • Select your primary currency (most times Nigerians make use of the US Dollar).
  • Agree on the terms and conditions by accepting.
  • Insert the details on your debit card (which includes your card number (at the front), expiry date (at the front), and the last three digits of the card (at the back of the card)
  • A verification link from PayPal will be sent directly to your mail.
  • Select the link to make an account verification.
  • Your account has been verified and set up for use.

Read also: How to open a dollar account for entrepreneurs in Nigeria. 

How Does PayPal Work?

Like every other online payment system, PayPal is best used when you get registered, therein. 

You can either open a personal or business account based on your preference. 

For a personal account, you are only at liberty to make transactions with a wide number of online merchants and transfer your money. 

You cannot receive money on your personal Nigeria-based PayPal account.

However, the PayPal business account and its operations are mainly for those who run online businesses such as consulting or clothing brands.

 It has several options than the personal account. Plus, it is worth noting that to withdraw your money from a PayPal business account, a transaction fee is required, depending on the amount in question.

 A minimum of $0.25 and a max of $20 or more for processing funds.

The business account for PayPal makes you receive, send, withdraw, apply for PayPal credit loans, create invoices, create an e-commerce portal on your business website, set up subscription services, and do several other things.

The shell that needs to be broken here is that the PayPal business account takes a longer time to create than the personal account.

Some of the crucial reasons you must choose PayPal for your online payment and transaction as a Nigerian freelancer is that it is secure, and widely used in more than 200 countries.

Also, it accepts several foreign currencies ranging from Euros, Pounds, and Dollars, while you can hold your money in your PayPal threshold in your local currency (of any country, particularly) if you don’t want to convert it for transactions.

Through the PayPal buyer protection feature on the renowned Fintech website and mobile application, you enjoy money back in cases where items ordered from Nigeria lack one’s taste or a buyer is being cheated.

Not only that, but you also get things at steady discounts, especially from well-known brands all around the globe.

 Considering the economic status of our country, PayPal helps in receiving and baking on the reasonable earnings we make in our various fields of freelancing.

 It is tested, trusted, and not difficult to use.

Read also: International Wire transfer services: 8 Ways you can transfer money in Nigeria. 

Having said that, an important thing to take note of is that some African countries (Nigeria inclusive), and a few Asian countries, are restricted from receiving PayPal cash payments. 

Do not worry, the solution is here. Follow me!

How to Use PayPal In Nigeria

The basic requirements to have either a working personal or business PayPal account as a Nigerian are: a strong internet connection, a valid means of identity, a functioning email, a debit or credit card, and a soft copy photo of you.

While it takes a few minutes to create a personal PayPal account, you will spend more time on PayPal business account registration.

This is because you will be required to enter your personal information for verification, provide your business address, describe your business in words, and other legal processes.

You can’t transfer money from your Nigerian personal PayPal account to anyone within or outside the country. 

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To receive and send money on a personal account, you will have to connect with someone you trust and know, who resides in any of the countries that are not restricted from performing all the functions on the fintech platform (ask Google for more info), to help open an account for you in your name.

As you connect the details to any platform you want to cash payment. The person then withdraws and wires you via Boss Revolution, Western Union, local bank transfer, or cryptocurrency. 

Note that, you can’t make use of the login details the person used over there for accessing your account here in Nigeria, since it can lead to either a ban, premium limitation, or restrictions.

Read also: How small businesses can benefit from Fintech companies in Nigeria. 

Frequently Asked Questions

  1. Can I Link A Nigerian Bank Account To PayPal?

The linking of Nigerian bank accounts with PayPal is possible, however, it can be done with just your credit or debit card. It is quite impractical to link a Nigerian bank account with a Nigerian-based PayPal account, except if it is of US clothing.

  1. Are there transaction limits on PayPal?

A transfer limit of $10,000 exists on an unverified PayPal account once it is opened. 

The limit shoots to $60,000 upon verification, however, the amount of cash you can send at a time depends on the nature of your account, but a rule of thumb is $4,000.

  1. How long does it take to send money through PayPal?

For every transfer made on a PayPal account, a manual review takes place which completes your transaction between 3-5 working days.

Afterwards, your recipient receives the amount sent by you through the system.

Based on the fact that we are not friends with delay, you can send money faster on PayPal via the instant transfer feature. 

With this, the transaction takes 30 minutes to be completed.

 However, you need to note that this comes with a fee; of 1% of the whole amount transferred. At maximum, this can reach up to $10. 

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About Author

Avatar of Micheal Olorunwumi
Micheal Olorunwumi
Michael Olorunwumi, is a final year student at the University of Ibadan, studying English language and Education. He is an SEO content writer, spoken word artiste, poet, Kampala textile designer, and rapper.

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