PayPal India will discontinue all Personal accounts in India. In a string of problems that Indian PayPal users have faced in recent months, this seems the latest. PayPal an eBay company, in January this year had stopped personal payments to and from India. According to Indian Law [Payment and Settlement Systems Act 2007], PayPal had to register itself with RBI, which PayPal had not done, and on receiving a notification from RBI, had to stop its operations here, namely personal remittances, and bank withdrawals to India.
PayPal started Bank withdrawals in early March, though PayPal users were asked to update there account with their PAN number (Indian Personal account number, which are used for all financial data relating to income tax) and choose a withdrawal code as to why these payments are coming in the country.
In the latest development, PayPal says they will discontinue servicing personal accounts in India, though users will still have an option of having a Paypal Business accounts.
Discussion: PayPal to stop Personal accounts for Indian Users? Your say!
PayPal allows users to have 2 accounts, but once the PAN number has been entered on one of them the system does not allow you to enter the same PAN in another account. And I entered my Personal PAN number in my business account first. Following is the email I got from them:
Dear xxx-PayPal user-xxx,
Thank you for writing to PayPal. I am sorry to hear about this situation, and understand your frustration and concern over the issue
with the PAN number.After carefully reviewing your PayPal account information, let me inform you that unfortunately we are not able to delete the PAN number and added to a different account. Let me remind you that PayPal will no longer give service to personal accounts, which means that eventually that account that you have will no longer be available for usage. When you withdraw funds the new requirement added is a purpose of withdrawal code and it is only available for those who have a business with PayPal.
Thanks for sharing your concerns with us. We value what you have to say, and we know situations like this can be difficult. If you have more
questions, visit our Help Center by clicking “Help” in the top right
corner of any PayPal page.Sincerely,
** Name hidden **
PayPal, an eBay CompanyCopyright © 1999-2010 PayPal. All rights reserved.
Consumer advisory – PayPal Pte. Ltd., the holder of PayPal’s stored
value facility, does not require the approval of the Monetary Authority of Singapore. Users are advised to read the terms and conditions carefully.
Is this the end of good times? Does this mean Indians will have to resort to opening current accounts for Bank withdrawals?
Tags: 2010, India, PayPal, PayPal India, Personal accounts, problems with paypal
Sad news for Freelancers..
A new fact about Pay Pal :
I applied for a charity account with Pay pal because its free and supported by vbulletin software for payment subscription, I have all the documents like NGO Registration certificate, Memorandum of Society, Society PAN card, and the Bank details , bank details were verified by the Pay Pal by depositing amount of Rs. 2 and 40 paisa, after submitting all the document as per said in their website and in their emails, they again asked me for a authorization letter from our Society members on the letter head of the Society, I submitted it as per they said, but after completing all the formalities they denied me for the account, just because they have no tie-up with India regarding charity account, what the hell is this, why the pay pal people should not mention at the time sign up process. I have wasted around 1000/- rs in doing fax to pay pal and after 4-5 days they denied. Now I have no other option left, so I signed with ccavenue, but the cost of basic signup is around 8500/- and the per annum fee is Rs 1500/- after tax, I think PayPal is playing with Indian customers, We wrote a letter against this to the Reserve Bank of India, and also file a RTI to know the working of PayPal in India, after searching on the Internet we also found that PAYPAL is run by ebay, and found tons of complaints against ebay http://www.consumercourt.in/online-shopping/ , after collecting data of ebay customers, we called them personally and found a big scam, we are planning to file a Public Interest litigation, against HomeShop 18, IndiaTimes Shopping, Ebay, AVA etc,
Don’t apply for a charity account with pay pal if you are living in India. Just wastage of time and money.