How To Buy Stocks With PayPal

With PayPal being the most used e-wallet for millions worldwide, it's seen as an established payment solution that people are familiar with. This e-wallet allows for fast and straightforward yet safe online transactions, leaving many people questioning how to buy stocks with PayPal.

Can I Buy Stocks With PayPal?

While you cannot purchase shares directly on PayPal, you can utilize stockbrokers and other trading services that allow users to buy securities with their PayPal account. This was not the case years ago because of intense regulations, but this has changed in recent years due to the growth of independent online trading platforms.

Here are the brokers that allow you to buy shares with PayPal:

• AvaTrade
• CMC Markets
• eToro
• FXPro
• IG Markets
• Oanda
• Plus500

Benefits and Downsides of Buying Stocks Online With PayPal

So, should you buy shares with PayPal?

Here are the pros of using PayPal as a method of payment for trading stocks:

• PayPal deposits are typically instant, and withdrawals are faster.
• You can save on fees since not too many brokers charge you to deposit funds with PayPal.
• Investors can have peace of mind with enhanced security because you are not required to insert credit card or debit card information.

Here are the cons of relying on PayPal to buy securities:

• There are not too many brokerage firms that offer PayPal as an option for users.
• Deposit limits are usually lower when comparing PayPal to credit and debit cards or bank wires.
• You must verify your PayPal account before you transfer funds to a stockbroker.

The Case for Buying Stocks Online With PayPal

As it's a convenient online payment method, investors are actively looking for a way to invest in the market with their PayPal account. It's also an excellent service for individuals whose banks have big fees, effectively cutting the costs shorter. Still, investors need to keep in mind that online PayPal brokers are not quite common. Also, PayPal has strict rules for larger transactions, effectively putting more limits on deposits and withdrawals when compared to credit/debit cards.

Finding a Good PayPal Broker

Before looking for the best PayPal broker, you need to verify your PayPal account. As it's a well-established and safe online payment service, PayPal can be stringent when allowing investors to use its platform. Once you've finished your registration and have been verified, you can start looking for a good broker.

Plus500 is a common choice for a top PayPal broker for people who reside in the EU. It's a well-established online broker, opening its doors back in 2008. For investors who want to do social trading while buying stocks with PayPal, eToro might be the best option. The platform charges minimal fees and allows for quick transactions. AvaTrade and IG Markets are also popular among PayPal traders, though they're not the top choice for the majority.

In the End: Is PayPal a Good Choice for Investors?

Putting it simply, PayPal is an excellent choice for investors who want quick transactions with minimal fees. Although the transaction limits are usually lower than bank transfers, PayPal still allows for convenient banking with simple transactions, allowing people to buy stocks with a click of a button.