Paypal India Discontinuing Electronic Bank Transfer

By Sidharth | Internet

Another unexpected announcement from PayPal (for Indians): You’ll not be able to request Electronic fund transfer from your PayPal account starting July 29, 2010.

I’ve put this BIG news in one plain sentence, I know, but I am out of words to explain this news in any better way. This is simply unacceptable. And with India known as an IT super power house where part of people make their living with online money, this will create a havoc among Indian PayPal users.

Paypal India Stops Electronic Bank Transfer 2010

It was pretty obvious when the e-mail was inboxed at 5am from the PayPal team, the obvious thing: its a bad news. I can’t recollect any good news shared by PayPal to the Indian users other than fixing the issue dealt with Indian authorities in the past.

However, on a positive note, Indian users can still request a cheque with $5 fee waived off from the amount. Although the check withdrawal in India is a slow process, but with such limitations imposed by Paypal, you’re left with no choice.

Here is the e-mail for your reference on how to withdraw cheque from your Paypal account.


What’s your say on this? Don’t you think we need an alternative payment processing system?

About the Author

Hi, I am Sidharth. Full-time blogger. Editor of Blogote. And a self-proclaimed geek!

Leave a Comment:

(8) comments

Chandrashekar Reddy November 23, 2010

no comments. it’s under RBI they will check.

Sonia July 30, 2010

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 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.
Don’t apply for a charity account with pay pal if you are living in India. Just wastage of time and money.

Avninfotech July 29, 2010

RBI is one of the *ucking Organization in india and all old man those are sitting in RBI not getting there commission from Paypal
all of Freelancer lets Organized and Throw shoes on There head.

I hate Fucking System of india

SQL Training July 29, 2010

I think RBI is acting too idiotic…..somebody has snatched their lollipop…I mean they are just making the life of Indian freelancer bitter and bitter everyday. I know they want to task us and we have no objection on it but why to disrupt Paypal, I mean they are just trying to make India a Backward country

Method~Of~Solution July 29, 2010

Its not good for IT world.

Anupam July 28, 2010

I’d say we all stop using PayPal for once and for all. It’s infuriating to having to suffer because of PayPal all the time. Someone has to come up with a good alternative.

Gopi July 28, 2010

Why isn’t NASSCOM taking a stand on it?

RBI should stop behaving in such a UNPROFESSIONAL Manner? Not even a days notice?

Electronic Funds Transfer IS A BETTER WAY than Paper Cheques.

Paper Cheques are sent by Ordinary Post – and i wonder if thats good.

Shame on so-called IT Super Power India (i.e RBI and other such lazy organization)

Bhagwad Jal Park July 28, 2010

This is ridiculous. We can’t move back into the dark ages here. Paypal money is our money, and we want it fast!

Add Your Reply

Leave a Comment: