PayPal launched the Generosity Network in the UK this week, meaning users can raise money for charities and other causes.
The network launched in the US last November and can be used by customers to create fundraising campaigns for themselves or others in need.
Each personal campaign can raise up to £20,000 over a 30-day period. Money donated is then deposited directly into the customer's account with PayPal, allowing customers to easily distribute the funds to the intended cause.
A new function, Generosity Network for Charity, allows people to raise an unlimited amount for a charity. The money raised is transferred to PayPal Giving Fund UK, a registered charity, which then grants the funds to the charity.
To accept donations charities need to be enrolled with the PayPal Giving Fund.
PayPal said it will cover the transaction cost of donations for fundraisers for charities, but those helping individuals or businesses are subject to charges which vary based on which currency donations are made in.
In pounds sterling, the standard rate for receiving a donation is 2.9% plus 30p.
The updates were included in launch of a new PayPal app, which makes it possible for customers to message each other with the app. Users can also now buy, sell and hold cryptocurrency.