If you’re in the process of setting up a PayPal account, you might be wondering “Why does PayPal need my SSN?”
On the other hand, if you’re not a US citizen and don’t have an SSN, you might be wondering if you have any options to meet this requirement.
In this article, we’re going to take a look at PayPal’s SSN requirement and how to navigate it as a citizen and a foreign non-resident.
Alternatively, you can also use our other free PayPal resources to learn how to create a US PayPal account as a foreigner by clicking here.
Feel free to use the table of contents to jump ahead to the sections most relevant to you.
Table of Contents
- Why Does PayPal Need My SSN?
- Social Security Number (SSN)
- What to Know Before Sharing Your Social Security Number
- Other PayPal Requirements
- Frequently Asked Questions
- Ready to Open Accounts With Banks in the USA?
Why Does PayPal Need My SSN?
PayPal needs your SSN to verify your identity. This is a common practice by all financial institutions in the United States. If you are not a US citizen you may not have an SSN available. If this is the case, there are alternative ways for you to meet this requirement. Including providing an ITIN, which is an identification number that foreign non-residents of the United States can obtain.
It’s important to note that a PayPal account does have an age restriction and how old you need to be to have PayPal is 18 years of age.
In most cases, when opening accounts with a financial institution (like PayPal), individuals will be asked to provide an SSN. Alternatively, if a financial institution allows foreign non-residents to open accounts, they may ask for the tax identification number from their home country instead.
In all cases, banks and financial institutions will require a form of government-issued identification to verify the identity, personal information, and country of fiscal residence. All of this information is required for banks to meet their regulatory and reporting requirements. This is true whether you are opening an account with a bank or financial service provider in the United States or any other country.
In the next section, we’ll take a brief look at the social security number. This will be helpful for anyone from outside the United States who is unfamiliar with this requirement.
Alternatively, if you require numerous accounts and want to know if you can have multiple PayPal accounts, you can access our free guide on how to apply for more than one PayPal account by clicking the link here.
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Social Security Number (SSN)
A Social Security Number (SSN) is a nine-digit numerical code issued by the Social Security Administration of the United States. The SSN is a unique identifier issued to each individual. Every US citizen receives an SSN. Non-US citizens are also eligible for an SSN under certain circumstances. Alternatively, non-US citizens can also apply for an Individual Taxpayer Identification Number (ITIN) issued by the Internal Revenue Service (IRS).
What to Know Before Sharing Your Social Security Number
Before sharing your Social Security Number, it’s important to confirm that you are interacting with the intended recipient. In other words, you should only ever provide the SSN to a registered financial institution that requires your SSN to verify your identity and comply with bank regulations.
Importantly, before providing an SSN, you should make sure that you did not receive a text message, email, or other form of communication requesting this information. Instead, you should always log into your account with the requesting financial institution (e.g. PayPal), and insert the information directly yourself. This is important because many scams are attempts to defraud individuals that involve stealing their Social Security Numbers.
Other PayPal Requirements
Of course, in addition to providing your SSN, PayPal does need you to provide additional requirements to open accounts. We’ll share these requirements below.
But we also wanted to share that there are alternative platforms you may want to consider instead. In many cases, these alternatives have lower fees, faster transaction times, and better conversion rates.
If you are interested in exploring alternative options, you can learn how GlobalBanks IQ can help you at the end of this article.
Additional Information Required to Setup a PayPal Account
PayPal requires the following additional information to set up a PayPal account:
- First name
- Last name
- Personal address
- Phone number (SMS enabled)
- Email address
- Financial account (bank account, debit card, or credit card)
Frequently Asked Questions
Below are three of the most common questions that we receive from people wondering if PayPal requires an SSN. If you have further questions you would like answered, don’t hesitate to get in touch with us directly.
Should I Give PayPal My SSN?
If you want to open an account with PayPal you will need to provide your SSN to verify your identity. In fact, this is a requirement at all banks and financial institutions. With this in mind, if you are concerned with sharing your SSN with a particular financial institution, you may want to consider alternative banks or more traditional finance platforms instead.
What Happens If I Don’t Give My SSN to PayPal?
If you do not provide your SSN to PayPal, the account (and PayPal) will not comply with US banking regulations. As a result, the account will likely be flagged either for a compliance review where they try to remedy the problem or the account will be shut down.
Why Does PayPal Need the Last 4 Digits of My SSN?
PayPal requires you to provide your full SSN in order to verify your identity. If you have already provided your SSN, they may request the last 4 digits of your SSN to verify your identity again in the future. Requesting your SSN is a common strategy that financial institutions use to verify your identity in compliance with bank regulations.
Ready to Open Accounts With Banks in the USA?
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And “yes!” GlobalBanks USA helps foreigners and non-resident individuals open bank accounts.
In fact, GlobalBanks USA even helps non-resident US LLCs and foreign & offshore entities.
To learn more about GlobalBanks USA, visit the product page to see how our team can help you successfully open US bank accounts!
