PayPal will terminate its direct account integration with Google Wallet for United States users on June 13. This change significantly alters how American consumers can use PayPal through Google’s payment platform. Google already stopped new U.S. users from linking PayPal accounts in April 2025.
The primary impact is the loss of convenience for U.S. Google Wallet users who relied on linked PayPal for payments. They must now update recurring payment methods to prevent service interruptions. According to Google Wallet Help, existing linked PayPal accounts will be automatically removed after the June deadline. This service discontinuation does not affect users in Germany or U.S. individuals who directly added PayPal-branded debit or credit cards to Google Wallet.
Neither company has provided an exhaustive public rationale for this U.S.-specific decision. However, the move aligns with PayPal’s evolving strategies in the digital payments sector. There is speculation that PayPal may be preparing for a broader launch of its own contactless payment features in the U.S., following a similar initiative in Germany announced by PayPal in May.
A Shift in Digital Payments
The severing of this long-standing U.S. integration, which has been active since 2017 when Google Wallet was known as Android Pay, marks a notable change. Google clarifies that from June 13, U.S. users will no longer be able to utilize their linked PayPal for any Google Wallet transactions, and these accounts will be unsupported. Furthermore, PayPal transaction history will no longer be accessible within the Google Wallet app; users must consult PayPal’s own platforms for this data.
The decision to halt new PayPal linking in April reportedly followed an earlier service outage affecting the integration. While the current iteration of Google Wallet was introduced in 2022 and serves approximately 25 million users in the U.S., this change removes a significant payment option.
Broader Industry Trends and Company Focus
The change could reflect a wider industry pattern where digital payment providers are shifting from collaborative partnerships towards fostering their own competitive ecosystems.This strategic pivot by PayPal might explain the U.S. focus, although questions remain about maintaining the German integration, especially since Germany was the first to receive PayPal’s new direct contactless features.
For affected U.S. users, directly adding other payment cards to Google Wallet remains an option. Google Wallet itself continues to expand, with planned updates for U.S. users including features to “digitize physical items”.
Meanwhile, PayPal is actively pursuing other digital finance ventures. The company recently saw a U.S. Securities and Exchange Commission probe into its PYUSD stablecoin conclude without action. PayPal has also emphasized its commitment to PYUSD and new use cases through partnerships, such as its expanded collaboration with Coinbase. These broader strategic initiatives likely inform PayPal’s decisions regarding third-party wallet integrations.
