Pool organizers can invite contributors and track incoming funds.
PayPal is making it easier than ever to pool funds with friends, family, and colleagues for shared expenses and group gifts. With its newly launched money-pooling feature, PayPal users can now create a secure online “pool” to collect and manage contributions in one convenient place, whether for a birthday gift, team outing, vacation, or any shared expense. This new feature is designed to streamline group payments, providing a quick and organized way to gather funds from multiple people without the hassle of spreadsheets, cash handling, or constant payment reminders.
How the New Money-Pooling Feature Works
Imagine you’re planning a friend’s surprise birthday gift. Instead of individually coordinating payments from everyone who wants to pitch in, you can now simply create a “pool” on PayPal, set a goal amount, and invite others to contribute. Here’s how it works:
- Create and Customize Your Pool: You can initiate a new pool directly from PayPal’s app or website by selecting “Pool Money” from the menu. From there, you have the option to give your pool a title, write a description, set a target amount, and even choose a target date. This level of customization makes it easy for everyone involved to understand what the funds are for and when they’re needed.
- Invite Contributors with Ease: Once your pool is set up, PayPal lets you share a link to join the pool through text, email, WhatsApp, or other messaging platforms. Contributors don’t even need a PayPal account to participate, so anyone can join in with ease.
- Collect and Track Contributions: As friends and family chip in, you can monitor contributions in real time through your pool’s dashboard. This transparency allows everyone to see progress towards the goal and encourages prompt contributions. Payments can be made via PayPal balance or directly from a linked bank account, making it accessible and flexible for all participants.
- Withdraw Funds Anytime: As the pool organizer, you have full access to transfer the accumulated funds into your PayPal balance whenever you’re ready to use them. This gives you the control to withdraw money when you’re ready to purchase the gift, pay for a group event, or finalize any planned expenses.
A Convenient and Cost-Free Way to Manage Shared Expenses
Best of all, PayPal’s new pooling feature is free of charge, giving you a streamlined solution without any hidden fees. However, since the organizer has sole access to the pooled funds, it’s essential that everyone involved trusts this person to handle the money responsibly.
PayPal’s money-pooling tool is now available to users in the US, UK, Germany, Italy, and Spain. Whether you’re organizing a group trip, purchasing a gift, or covering a shared event, you can easily find the “Pool Money” feature in the “Send/Request” section under “More Options” on the PayPal app or website.
How PayPal Stacks Up Against Other Group Payment Apps
The appeal of PayPal’s pooling feature lies in its simplicity and user-friendly interface, especially for people who already use the platform for their day-to-day transactions. But PayPal isn’t the only player in the group-payment space. Apps like Settle Up have long provided dedicated tools for tracking group expenses, and last year, Venmo introduced a similar feature called “Groups.”
Venmo’s Groups, however, distributes the responsibility for the funds equally among all members, eliminating the need for one designated “pool organizer.” This approach might be preferable for groups who want to avoid placing sole responsibility on one person, a factor worth considering if you want a more decentralized approach to pooling funds.
Simplifying Group Payments One Pool at a Time
The new money-pooling feature is a big win for people looking to streamline shared expenses, collect funds for group gifts, and make group outings financially simple to manage. Instead of worrying about multiple payment methods, deadlines, or manual tracking, you can now create a dedicated space for pooling funds with ease. Whether you’re planning a trip or simply going in on a birthday gift, PayPal’s money-pooling feature is here to make it a little easier — and a lot more convenient.
So, next time you’re tasked with organizing a group purchase, check out PayPal’s new pooling feature and experience a smarter way to split the bill.
