Digital payments giant PayPal is set to introduce its contactless mobile wallet for in-store payments in Germany. 

The feature will be accessible through the latest version of the PayPal app on both iOS and Android platforms.  

The new contactless payment function will allow consumers to make payments at any physical outlet that accepts Mastercard contactless payments.  

In addition, the PayPal app will, for the first time, provide a unified view of customers’ online and offline transactions. 

PayPal is also launching its online Pay Later service for in-store use in Germany, a first for the company in the European market.  

Customers will have the option to finance their in-store purchases over three, six, 12, or 24 months using the ‘Ratenzahlung To Go’ feature through the PayPal app. 

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Customers can activate offers within the app to receive cashback when making contactless payments at German retail locations. 

PayPal Germany, Austria & Switzerland managing director Joerg Kablitz said: “Cash has a role to play, but we know that many consumers and businesses are ready for innovative alternatives. Put simply, we believe PayPal is better than cash. Our App will make it easy and safe to pay with your phone in stores; it will give you more choice in how and when you pay; and even better – PayPal will help put money back in your pocket.”  

Kablitz added: “This is PayPal’s biggest ever investment in product development for our customers in Germany. We cannot wait to launch nationwide in the coming weeks.” 

PayPal has remained at the forefront of the digital commerce revolution for over 25 years, expanding into a two-sided network that connects people and businesses in around 200 markets globally.  

The digital payments firm reported a net income of $1.29bn for the first quarter of 2025, a 45% increase from the $888m posted in the corresponding quarter of the previous year.