PayPal Business Loan

PayPal Business Loan is a fixed-term business loan with monthly, fixed payments, and percentage-based pricing.

If approved, we send funds to your PayPal balance. You repay once a month from a verified bank account using Direct Debit.

The process is easy. After becoming eligible for the loan:

1. You’ll choose the amount and length of your loan.
2. We may ask you to verify your bank account data.
3. Link and verify your bank account and set up Direct Debit. Autopay is required and must be completed before funding. We will collect your monthly repayments from that account.
4. Review and sign your agreement. After signing the contract, PayPal will conduct further checks. If you’re a company director, you’ll need to provide a personal guarantee as well. Once we complete and approve those checks, we send the funds to your PayPal balance.

We will ask you to confirm your identity and business details, including the identity information of co-owners or business partners. You may be asked to share bank details securely via our open banking partner.

To present an offer, we perform a soft credit check which will not impact your score.

If you choose to move forward with the offer, a hard credit check will take place prior to funding. Hard credit checks are recorded on your credit file and can affect your credit score.​

Subject to credit approval, merchants can borrow between £5,000 and £100,000 with 12-, 18-, 24- or 36-month terms.

Before accepting the contract, you’ll receive an estimate of your loan APR.

Interest starts the day after we fund the loan. It accrues every day and we charge you once a month. Interest stops accruing when your loan ends.

We also charge a Returned Item Fee of £12 only if a payment is returned for insufficient funds.

At this time, there is no origination fee. However, we may introduce one in the future. If we do, it will be included in any Representative APR disclosures so you can see exactly how it affects your total cost of borrowing.

If the loan is approved and signed by you and PayPal, we send funds to your PayPal balance within minutes. In rare cases, technical or account issues could cause delays.

You can pay monthly from a verified bank account using Direct Debit.

Your first payment is due one month after funds are sent. The due date each month matches your funding date and can’t be changed. You can also make one-time payments from a bank, PayPal balance, or debit card.

If you make an overpayment or a series of overpayments, we will apply them to the final payment due to reduce the outstanding loan amount. The amount of each of the scheduled monthly repayments prior to the last one will stay the same.

Autopay must be set up during your application process.