How Does PayPal Confirm You?

Items Needed for Account Validation
To begin using PayPal, you'll need three vital pieces of information ready: a valid e-mail address, current contact information and banking account details.
Email Validation
To begin using PayPal's services, you'll need to verify the e-mail address you used when registering your account. Typically, this validation email is sent within minutes of successfully registering at PayPal.
Account Validation
Without a valid checking or savings account linked to your PayPal account, or being approved for PayPal's Buyer Credit or Plus Credit Card, your status will remain as 'Unverified.' Your sending and receiving limits will be restricted until you become a 'Verified' member.
How Does PayPal Confirm Your Bank Account?
Once you've successfully submitted your bank account information, PayPal will deposit two small payments into your bank account. Once these deposits have posted, you can confirm your account by entering in the deposit amounts through the 'Confirm Your Bank Account' link in PayPal.
Time Frame for Account Confirmation
The process from start to finish when confirming your bank account requires three to four days. This accounts for the time it takes for an ACH, or automatic clearing house (a nationwide electronic funds transfer network), deposit to post to your bank account. Account confirmation via PayPal Buyer Credit or PayPal Plus credit card occurs immediately if you are approved for a line of credit.
Considerations
While PayPal allows you to confirm credit card details as well, without a linked bank account, strict limits for sending and receiving money will remain intact.