0

Bank Withdrawal Instructions for Indian PayPal Users

Indian PayPal customers were affected by the latest policy regarding withdrawal. PayPal announced to resume bank withdrawals on March 3rd.

After March 3rd, “Purpose Code” will be required to withdraw funds to local bank accounts. Purpose Code is required to know the nature of transactions to avoid money laundering.PayPal

Indian PayPal users cannot receive personal payments anymore. This includes all three types of PayPal accounts (Business, Premier& Personal). Clients now have three available ways to send payments through PayPal:

  • Customers can pay using Goods or services tab
  • Checkout at a website
  • You can Request Money from other PayPal users

Advertisements

In order to get bank withdrawals in India, a purpose code would be required for the transaction. Once the purpose code will be provided, payment would be issued to the local bank in India.

What is a Purpose Code?

A Purpose Code enables a bank to provide necessary information regarding online transactions to Reserve Bank of India. Details could be found on PayPal’s Blog.

When Do I need a Purpose Code?

Purpose code will be required once a bank withdrawal is initiated. Withdrawals won’t be effective without a purpose code. Banks may also ask for additional documents, like invoices or goods receipts.

What to do?

Money will be returned to PayPal balance if someone has asked for a withdrawal before March 1st.  Fees and charges will be deducted from returned amount and will be credited separately.  According to PayPal this should take a week and they apologize for the inconvenience.

You can request a withdrawal to local bank account after March 3rd. You would however, require “Purpose Code” to initiate a withdrawal.

Follow us on twitter2Twitter and join our facebook2Facebook Fan Page or rss2Subscribe to Our RSS Feed

Related Posts

Enjoyed this article? Submit your email to receive daily news and updates.

***You must click confirmation link sent in email. If you don't see the email, check spam folder.


Filed in: Web Tags: , ,

Leave a Reply

Submit Comment

© 3619 Tech Readers. Reproduction without explicit permission is prohibited. All Rights Reserved. XHTML / CSS Valid.