On 21 May 1917, she got underway for the United Kingdom, arriving at Queenstown, Ireland, to escort convoys and protect them from Imperial German Navy U-boats.
[5] The force commander of British submarines, Captain Martin Dunbar-Nasmith, commended L2 and the destroyers for the action in his report on the friendly fire incident.
Admiral Lewis Bayly, the Royal Navy′s Commander-in-Chief, Coast of Ireland, in his endorsement of Nasmith′s report, wrote, "Had L-2 not been very skillfully and coolly handled, she would have been lost.
"[5] Paulding returned to the United States after the Armistice with Germany brought World War I to an end on 11 November 1918.
Paulding was sent to find the Coast Guard cutter USCGC CG-238 during a gale in February 1927 off Cape Cod, Massachusetts.
The 75 ft (23 m) vessel had already foundered, and Paulding spent two days in the storm, losing much topside equipment, including one of her stacks.
Returned to the U.S. Navy on 18 October 1930, Paulding again joined the Reserve Fleet and was laid up at League Island in Philadelphia, Pennsylvania.