Cheque withdrawal of funds remains the only option left for Indian citizens
Back in February, PayPal had shocked unsuspecting Indians by announcing a decision to suspend transactions to and from India. However, the order was restored after it announced the resumption of the payment services a few weeks later. That was after the Reserve Bank of India gave a green signal to restart bank withdrawals for settlements for exports of goods and services.
Just four months later, PayPal has announced another decision that could affect Indian PayPal users. Starting August 1, PayPal would NOT allow electronic withdrawal of funds from your PayPal account. The only option would be to request for a withdrawal of funds by cheque. According to PayPal, this decision had to be taken in accordance with "regulatory instructions".
PayPal also added that it is working towards restoring electronic withdrawal service. If you have been using the electronic withdrawal facility, here is how to request for a cheque withdrawal:
Log into your PayPal account, click on 'Withdraw'.
Click on the 'Request a cheque from PayPal' link.
Enter the withdrawal amount and select your mailing address, then click 'Continue'.
Click 'Submit' to confirm your request.
PayPal, until now, used to charge a $5 "withdrawal fee" for every cheque withdrawal. That fee has been waived off for all withdrawals made on or after July 29.
Are you affected by this latest PayPal decision? Leave us a comment and let us know.