PayPal Nigeria: Open a PayPal Account

This article shows you how to open a PayPal account in Nigeria and it can be one of your payment gateways in Nigeria

Established in 1998 as Confinity, PayPal is the leading global payment system and is now available to residents of Nigeria. It is available in over 200 countries and territories around the world in 23 currencies.

What is PayPal?

PayPal is the online wallet service of an American financial institution registered in the United States and several countries. The company is also registered in other countries including Canada, Luxemburg, Singapore, Spain, and the United Kingdom.

It serves a global marketplace and is by far the biggest internet wallet service.

The service opened up to dozens of countries in the year 2014. It became officially available to residents of Nigeria in July 2014. Before then, only Nigerian residents in countries supported could open and operate an account.

Requirements for Opening a PayPal Account in Nigeria

• Firstly, you will need a valid email address
• Secondly, you would also need a Visa or MasterCard linked to a Nigerian bank account or a Virtual Card. This could be a credit or debit card. This is necessary for verifying your PayPal account. The service would debit a tiny amount from the card and once you confirm the transaction, the account would be fully Verified.
• Finally, please note that as of December 2018, Interswitch’s Verve card does not work with the service.

Can I receive funds through PayPal in Nigeria?

Yes. You can receive funds via PayPal in Nigeria.

Creating a PayPal Account in Nigeria Guides:

Currently, personal accounts do not support receiving money in Nigeria. You can only open Personal Accounts and send money. Still, there is a way you can open a PayPal account that receives money in Nigeria.

1. Understanding the Basics

Before creating PayPal in Nigeria, it’s important to know a few things.

• Availability: As of 2023, Nigerians can now fully use PayPal to send and receive payments, making it a valuable addition to your online financial toolkit.
• Currency: PayPal in Nigeria primarily deals in U.S. Dollars (USD). You can link your Nigerian bank account or card to your PayPal account for transactions.
• Verification: To enjoy the full range of PayPal features, you’ll need to verify your account. This typically involves linking a bank account and confirming your identity.

2. Signing Up for PayPal in Nigeria

Here’s a step-by-step guide to creating your PayPal account in Nigeria:

Step 1: Visit the PayPal Website

Go to the official PayPal website (www.paypal.com) and click on the “Sign Up” or “Sign Up for Free” button.

Step 2: Choose Your Account Type

Select the account type you want: “Personal” for individual use or “Business” for commercial transactions.

Step 3: Provide Your Information

Fill in your personal details, including your email address and a strong password. Make sure to use a valid email address as this will be your PayPal login.

Step 4: Add a Lesetho Address (recommended)

PayPal is very strict with Nigerian accounts. This means that if a mistake is made, they will lock any money you put in the account or you might end up being unable to receive funds with the account, only able to send.

Therefore, it is advisable to create your account using Lesotho. PayPal is safer and more widely accepted there, as well as in other African countries. By doing this, it will appear as if you live and do business in Lesotho.

Generate a Random Address In Lesotho

Step 5: Verify Your Email Address

PayPal will send a verification email to the address you provided. Click on the link in the email to verify your email address.

Step 6: Link a Card or Bank Account

To make transactions, you’ll need to link either your Nigerian debit/credit card or bank account. PayPal will guide you through the verification process.

Step 7: Confirm Your Identity

PayPal may ask you to provide additional identification documents, such as your National ID or Passport, to confirm your identity. Simply follow the instructions and upload the required documents. Remember to use your Nigeria ID only, even if you need to enter a different address from Lesotho, as long as you provide the necessary information, they will approve it.

3. Start Using PayPal in Nigeria

Once your account is set up and verified, you can start sending and receiving payments using PayPal in Nigeria. Here are some tips for using PayPal:

• Make sure you have a good internet connection and a safe device when using PayPal.
• To receive money, give the sender the email address connected to your PayPal account.
• Check your PayPal transactions regularly to keep track of your money.
• Remember that PayPal charges fees for converting currencies and for international transactions.

By following these guidelines, you can use PayPal with confidence and keep your finances secure.

Paypal Nigeria Business Accounts can receive payments through their websites.

As of December 2018, Business Accounts are now available to e-commerce merchants in Nigeria. However, you can only receive money through a website cart, not directly from another user.

FlutterWave

A partnership between FlutterWave and PayPal made it possible for merchants who accept payments via Rave to be able to enable the PayPal option from their merchant dashboard.

To enable your account for PayPal payments, FlutterWave would be sending the following information about your business to PayPal, with your express consent.

• Business name
• Country
• Date of Incorporation
• Website
• Business Category
• Full Name
• Date of Birth
• Residential Adress

How can I receive PayPal funds in Nigeria?

Your need to receive money presumes you have goods or services to sell to the public. Having a website is necessary for doing serious business online. You need a website to be able to receive money through PayPal in Nigeria. The error in the screenshot above would be displayed if you attempt to send funds directly to a Nigerian PayPal Business account directly.

One option is to buy Web Hosting from Web4Africa. From the hosting control panel, you can install any of the available e-commerce shopping carts. They include AbanteCart, PrestaShop, OpenCart, CubeCart, osCommerce, Open eShop, Zen Cart, Loaded Commerce, Magento, X-Cart, Avactis, Quick. Cart, Invoice Ninja, SimpleInvoices, etc.

Their features and capabilities vary. Virtually all of them support PayPal. The specific guides for configuring the account into the shopping cart would vary per each system and are beyond the scope of this article. You would need to consult the support channels of whichever you choose to install for a more comprehensive guide for setup and management.

Where can I use it in Nigeria?

Millions of other global merchants are happy to accept payment via PayPal. These include:

• airlines like Kenya Airways, Ethiopia Airways, SouthWest, and South African Airlines;
• music streaming services like Spotify;
• video streaming services like Hulu, and Roku;
• online gaming platforms like Sony PlayStation Network, Steam;
• global shopping platforms like eBay, Best Buy;

Limitations of PayPal Nigeria Accounts

PayPal is an American service. The very best experience with this payment system is available to residents of the USA. No other country enjoys the depth and richness of features offered in the US. It feels like Nigeria is on the other end of the spectrum.

Thus, I will be sharing the features available in the USA that are not available in Nigeria, to illustrate the limitations experienced by users in Nigeria.

• PayPal Credit: subject to credit approval, American users can make use of a digital credit line to make purchases online exceeding $99 and repay in installments.
• Card issuance: PayPal issues Cashback Mastercard (2% cash back everywhere the card is accepted), Extras Mastercard (cardholders can earn points on every spend), Cash Mastercard (a debit/ATM card linked directly to the PayPal wallet), and PrePaid Mastercard (for funds transfer from the wallet to the card) to residents of the USA.
• Near Instant Bank withdrawal: this new feature allows USA users to withdraw to their eligible debit card or bank account almost instantly, albeit for a premium fee. Regular withdrawals are free of charge and reflect the next working day.
• Fees: US-based merchants enjoy some of the lowest transaction fees for accepting payment over this platform. Sales within the USA can be as low as 2.9% + $0.30 per transaction.
• PayPal Here card reader: US-based merchants also have the luxury of a card reader that enables them to accept payments physically from major card schemes.

FAQ