Paypal is an awesome service. With it, you can instantly and securely send money to people and businesses anywhere on Earth. But Paypal has to make money as well. So if you're paying for goods or services, they charge a fee. But you can send money to someone for free if it is money being sent to a friend AND the funds are coming from a bank account, not a credit card.
As long as your paypal account is linked to a bank account, checking or savings account, that contains enough funds to cover the payment you wish to send, you can send money to someone without fees.
1. Log into your Paypal account.
2. Click on the "Send money to a friend" button
3. Enter the mobile number or email address of your friend and the amount you wish to send to them.
4. Press the Send button.
***NOTE This only works for payments sent from someone in the USA to someone in the USA. International payments may not be free. :/
The day may come when we'll be able to send money instantly to anyone on Earth with little or no fees for the transfer. This is the promise that Bitcoin hopes to deliver on. Right now, it's not clear if it's sustainable:
Under Bitcoin protocol and payment scheme, anyone can send any amount of bitcoins that he owns to anywhere in the world via internet, near instantly for near zero fees. While the popular crypto-currency enjoys low transaction fees, a feature that is highly promoted and is working fine for the current state of the Bitcoin ecosystem, we argue that in an unforeseeable future, zero or infinitesimal transaction fees will not be sustainable. We apply a financial reasoning via depicting the interrelation of fees with mining, securing the network against 51% attacks, scarcity of supplies and the price of bitcoin, which in addition are the essential parameters involved in the problem of setting the right transaction fee in the future that we briefly discuss. -Kerem Kaskaloglu
so for now, Paypal is a pretty good deal