Why is the PayPal Student Account being discontinued?

[PayPal_Drew]

Hi Community!

If you are new, thanks for coming to the community forums to understand more about what's happening with the Student Accounts. Feel free to check out any of the other articles while you're here!

We are aware that this may be an inconvenience for some, so we'd like to thank you for understanding the change. Below are some common questions that we have received. If you have any additional questions, please reply to this thread and the community can respond to you.

Why is the PayPal Student account being discontinued?

PayPal has decided to close PayPal Student Accounts and PayPal Student Debit MasterCards on the following dates:

     • Effective September 29, 2016, PayPal Student accounts will no longer be able to make purchases online.
     • Effective September 29, 2016, the PayPal Student Debit MasterCard® card, and related services, will be closed.
     • Effective November 15, 2016, the PayPal Student account will be closed.

What happens to the money in the Student account balance?

Any money that is not spent from the Student account prior to November 15, 2016, will be moved to the student’s parent’s PayPal account. The student account will no longer be able to make purchases effective September 29, 2016. You will still be able to send and withdraw money until November 15, 2016.

Is there a replacement product?

At this time, we aren’t introducing a replacement for PayPal Student Accounts and PayPal Student Debit MasterCards. We will continue to explore ways to serve our younger population in the future. If the student is over 18 years old, we invite them to sign up for a PayPal account so they can enjoy the benefits PayPal offers, such as sending, receiving, and spending money online and in-stores. We appreciate your business and apologize for any inconvenience.

Because the Community Forum isn't actively monitored by our Customer Service team, please reach out to us via phone if you require immediate assistance. You can do this by visiting the "Help & Contact" link on any PayPal webpage, selecting "Call Us", and continue as a guest if you're not logged in to your account. 

If this post is helpful, please accept it as a solution or provide kudos. 

Thanks! 

- Drew

[XReBillx]

I agree. No media outlets have mentioned it either. Not many Twitter posts either. No mention on any part of the website and it looks like you can still create student accounts. Hmmm

[stihlfixing]

My kid is 16. He has been using the student account for 2 years. I pay him allowance and watch his purchases.

With paypal shutting down his account, can he apply for his own paypal account? Is the age requirement still 18? I would think paypal at least waive the age requirement for those they shut down their accounts.

[skyguyy]

I still don't see anything on the paypal site or a notification on my account...this all seems like a very odd way to do business if it's true.

[stihlfixing]

Paypal everything you guys do, it is always a total mess, isn't it?

Waive the age requirement for these current student account holder for them to apply for a regular account! Or convert their student account to the regular upon request!

Oh, stop accepting new student account applications now if you do not want student accounts! As of 08-31-2016 07:33 PM.

[DPCreations]

I thought the emails to users were quite clear as to the options and, therefore, there was no need for a general announcement to those who were not affected by the change.

[stihlfixing]

Clear? Mind as well say, students, we don't want you and we are kicking you off and we don't want you to be our future customers even it is 6 months or 1 year away. Now empty your account and go away! That is more clear!

WHAT OPTIONS WE HAVE??

Typical paypal and ebay managment decision making, right?

[DPCreations]

As for options you could open your own checking account.  Your parents could add you as a debit card user to their account.  Others could send money through Western Union.

You could be engenious and research options for money and financial management which will help your future.

[stihlfixing]

You work for Paypal?

[DPCreations]

Just a PayPal user, like yourself, but offering some suggestions for alternatives to a student account which will not be availble shortly.

[stihlfixing]

Western union charges, you know?

Only paypal allows parents to send money and transfer money back if they choose to, you know?

Parents can also watch their usages, you know?

My kids have been using their paypal accounts for couple years. I pay them allowance thru paypal biweekly $40. I am not paying Western Union $5 for every $40.

Why suddenly kick them all out? These kids will be their future customers. If they don't want to take the risk anymore, just stop accepting new student account application and keep these existing accounts for just a few more months or years or waive the age requirement and convert them to regular accounts. 

I am dealing with ebay and paypal daily. Every time they make changes, it is a bad decision.