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PayPal has taken a bold step into the future of college sports by forging a multiyear partnership with the Big Ten and Big 12 conferences, marking a pivotal moment in the evolving name, image, and likeness (NIL) era. This collaboration will enable student-athletes to receive direct payments through PayPal, reshaping how financial support is handled within collegiate athletics.

A Post-House v. NCAA Landscape

This move comes in the wake of the landmark House v. NCAA lawsuit, which led to a $2.8 billion settlement and a court ruling that permits schools to directly pay their athletes. Under the new policy, institutions can now allocate up to $20.5 million annually to current athletes, beginning July 1. That’s when PayPal will begin rolling out its payment infrastructure across campuses.

A Seamless Financial Experience for Athletes

Under the deal, PayPal will serve as the exclusive payment processor for student-athlete compensation within both conferences. Athletes will be able to receive funds directly into their PayPal accounts, with a focus on speed, security, and accessibility.

PayPal also confirmed that it is extending its services to allow students to pay college tuition via its platform, potentially making it the preferred payment method at select institutions.

“We’re proud to help lead this transformation in college athletics,” said Alex Chriss, CEO of PayPal. “Our platform will simplify how athletes are paid, while introducing secure and trusted commerce tools to students navigating campus life.”

Debit Cards, Buy Now Pay Later, and More

PayPal’s strategy isn’t limited to just athlete payments. As part of the agreement, the company will roll out conference-branded debit cards customized with school logos. This initiative reflects the company’s broader goal of tailoring digital finance tools to the lifestyle of younger generations.

Internal research from PayPal shows a rising preference among college students for debit payments and “buy now, pay later” (BNPL) options. The latter, in particular, saw a 20% growth in PayPal’s transactions last quarter. Chriss added that today’s students are shying away from traditional credit cards in favor of more flexible and transparent spending methods.

Venmo’s Campus Expansion

PayPal-owned Venmo is also making its presence known in the collegiate scene. The app will sponsor the inaugural Big Ten Rivalry Series and become the official payments partner for the Big 12 Conference.

Venmo users will soon be able to make purchases at college bookstores, stadium concession stands, and online merchandise stores across both conferences. These integrations are designed to align with students’ everyday spending habits and further embed digital payments into campus life.

A Blueprint for the Future

The partnership is not expected to stop with the Big Ten and Big 12. According to Big 12 Commissioner Brett Yormark, more conferences are likely to follow. “I’m hearing the ACC is next in line,” Yormark told CNBC. “This is just the beginning of a national rollout.”

This shift signals a new financial ecosystem in college sports—where student-athletes can monetize their contributions, schools can streamline administrative workflows, and fintech platforms can become an integral part of the campus experience.

Who’s Involved?

• The Big Ten Conference, which recently expanded to 18 member institutions, includes the University of Michigan, Ohio State, Penn State, and the University of Maryland.
• The Big 12 Conference, now with 16 schools, features Arizona State University, the University of Central Florida, and the University of Houston.

Final Thoughts

PayPal’s move into college athletics is more than just a sponsorship; it’s a strategic placement at the intersection of finance, education, and sports. With the NIL era transforming the NCAA landscape, fintech firms like PayPal are positioning themselves as essential partners—not only in handling payments but in shaping how the next generation manages money.

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