PayPal closing down Money Pools
PayPal Money Pools are used to collect money from friends and family – for example, for group purchases or gifts.
All new money pools currently have a 30-day maximum expiry date. From 30 September, PayPal will remove the ability to create new Money Pools and apply a 30-day maximum expiry date on all existing Money Pools. You can use your Money Pool to collect money until its expiry date.
On 8 November, PayPal will remove Money Pools from its mobile app and website and begin transferring outstanding balances to individual’s PayPal accounts. This process will be complete by 15 November. This automatic transfer may take several days to complete so if you need money by or before 8 November 2021, you should withdraw it manually.
Have you got a Money Pool? Here’s what you need to do
If you currently have a Money Pool attached to your PayPal account you need to move any money in it to your PayPal balance before 8 November – otherwise PayPal will do this for you between 8 and 15 November.
If you currently are or have been a Money Pool organiser and need a copy of the list of contributors, you’ll need to download this before 8 November as records will no longer be available after this date.
If your PayPal account is limited or closed, Paypal will use one of its PayPal services to transfer your money. You’ll receive an email from PayPal with instructions on how to claim your money.
PayPal users can continue to accept money via PayPal.Me, a personal link that lets your friends and family send money to you via PayPal.
Why is PayPal closing Money Pools?
PayPal says it is “consistently evolving our customer experience to provide more convenient and flexible ways for you to pay and get paid whether online, in app, or in store” and that closing Money Pools will allow it “to sharpen our focus on more specialized money raising services.”
Last year PayPal launched its Klarna-style Pay in 3 instalment plan which lets shoppers pay for purchases in three payments.
PayPal users will also soon be able to buy, hold and sell cryptocurrency directly from their account.