PayPal Mobile lets you text money

PayPal will be launching a new mobile payment service, effectively letting you send and receive funds on your cell phone via text message.

Wasting your money on eBay just got so much easier, because with this new service, you simply send a text message to 729725 (PAYPAL) indicating the amount you want to send, and the recipient’s phone number.

In other words, a message saying, “send 200 to 4157729525″ would instantly transfer $200 to whoever’s phone number that was that I just typed. If you lose your cell phone your funds are secure, since you can only access your PayPal account by phone with your PayPal mobile PIN—just like your ATM/debit card.

In the mean time, you can just call the toll-free number that PayPal has set up at 1-800-4PAYPAL and follow the prompts, or access www.paypal.com from your phones browser, but that just isn’t as innovative as this whole text messaging scheme. No word on what kind of additional fees or charges will be associated with this service, so hold off until we get some form of official statement from PayPal.