Paypal due to conflict with the Reserve Bank of India, had to disable personal payment transfer and money withdrawal on Indian Accounts. For more than a month everyone using Paypal had to hold their withdrawal and transfer. However today PayPal has solved one of the two issues. Now you can withdraw money from your Paypal account but the personal transfer has still been disabled. However its expected to continue the Personal transfer very soon.
PayPal introduces the “Export Code“ for each of its customers starting from now. Below is the message from the PayPal Blog.
“Dear Ram Kumar,
We have been diligently working with the RBI and our business partners to resume Indian bank withdrawals for the thousands of Indian businesses who depend on PayPal to sell their goods or services in the global marketplace. Today, we are happy to announce that the RBI has allowed us to continue local bank withdrawals for settlements for exports of goods and services. We are currently making changes to comply with Indian regulations for settlements for exports of goods and services, and we anticipate that, as of Wednesday, March 3rd, customers will be able to use our bank withdrawal service. As part of the changes, you will be required to fill out a new field entitled ‘Export Code’ when you request a withdrawal. This information is required under the current laws of India in order to identify the nature of cross-border merchant transactions.
On Monday, March 1st, we will be back in touch with specific instructions on how you can move your money into your bank account. Moving forward, the RBI has told us that PayPal needs specific approvals to allow personal remittances to India, which we currently do not have. Until we get these approvals, personal payments into India will remain suspended. However, if you are an exporter, you will continue to be able to use the PayPal service for payments of goods and services. In fact, with the changes we are making to our system, PayPal is now set to be a more powerful engine for exporters in India. With purpose codes for export transactions and FIRCs (Foreign Inward Remittance Certificates), you should now be able to get the export related benefits you seek. You can check the PayPal blog for additional updates.
www.thepaypalblog.comWe thank you for your business and for your patience during the past few weeks.
Sincerely,
PayPal
This news come as a morning surprise for me…I thought it started from today but after reading Blog post on paypal blog, realize they are expecting it to start from 3rd .. Lets wait and watch
Yes, March 3 is not too far man!
YuP Eagerly waiting for that dude, Still have some money with the clients, got to transfer it only when these problem gets solved.
Almost a week left and I hope they will solve the problem as promised. However the worst part , the personal payments will not be solved now. Hope they will resolve it too.
Recent issues with PayPal withdrawals to Indian Banks & more over payments just randomly being reversed back to the senders will have a deep impact on PayPal’s reputation. It raises so many questions like (THIS MIGHT CONTAIN SPOILERS):
A) Should we trust PayPal in future?
ANS: ABSOLUTELY NO
B) Are they really concerned about our Money?
ANS: ABSOLUTELY NO, After a long period of two weeks we receive an apology letter stating that “We are sorry we goofed up opps!”? and stuff like “Your money just got sacked since this is nothing serious to us we are just doing a drill of playing a game with your hard earned money”?
C) Is RBI responsible for this?
ANS: UNQUESTIONABLY MAYBE, So, Question is why this is happening in India and nowhere else? Question is why we are being kept behind curtains and dark? Question is why Moneybookers and other Payment systems are working but PayPal is not? you just want to exclude the RBI out of this since they are least concerned with us. Everyone failed here! RBI off course you cant expect them to give you a comforting truth so a comforting lie should suffice you! And PayPal Ow man no shit a multinational company failing to inform and notify of an issue of this magnitude. That was an AWESOME combination of pure frustrating, destroying trust & spreading chaos.
D) So what does PayPal tell us now?
ANS: “We are sorry, but your valuable to us so please give us another opportunity to goof up and play some more engaging games with your money” and “We just love to make more profits by giving you a pathetic exchange rate”
D) What now?
ANS: DTA (Don’t Trust Anyone) Get your sleeves up against them and find your own ways to get paid over any other medium that serves better, communicates better and keep them in plenty. If one fails other should work out.
Ive let all my clients know about this issue and advised them (in advance unlike PayPal) to switch over to some other Payment system which is reliable, responsible and does the main thing “ACTION” at PAR. The truth will probably be dead and berried RIP about what happened because the shame and disgust they bring upon themselves is apocalyptic now.
Wow, Im really impressed with the Q & A ., Its true that Paypal made a blot in their reputation because of these things. However they have promised to solve them, I cannot use any other service because all most all my clients pay me through PayPal. I don’t think there is any other better alternative than Paypal. Im desperately waiting for the day when they solve Personal Payments,. Got some money still being holded up with the clients
Good news for you guys! Congrats@
Paypal or any other company should follow rules and regulations of RBI, i think that make them trouble, i think we can trust Paypal.
Hope PayPal; solves it completely dude, My money is still with the customers, they are yet to transfer it into my account.
But nothings solved in Sri Lanka bro…..
oh ,. I never knew there was a problem in Sri Lanka too.Hope they get resolved soon.
Marvelous entry! Simply put i absolutely loved the article – clear and concise, exactly what I like
Thanks Demarrais, Glad you liked it
I’m not a previous employee of PayPal but I’m a current customer. I’m currently on hold with them right now trying to speak to about the 14th person I’ve talked to there. We just signed up for a Merchant Services account to be able to process payments through our website. I am completely baffled at the way they handle their customers. They provide a Sandbox environment to be able to test the processing of payment transactions. However, there has been a “known problem” with the Sandbox for a month which prevents customers from being able to use it. The only alternative for testing is to use real credit cards to test the site using real transactions. Problem is that they charge you fees for these transactions. So basically, we have to pay fees to circumvent their internal issues with the tools that they supposedly support. I wish I had known about these problems before we’ve spent the countless hours getting set up and trying to resolve these issues. I HATE PAYPAL!!!!! Seriously, this is the worst excuse for an established company that I’ve ever seen.