Frequently Asked Questions about PayPal in India

PayPal is the most secure and easiest way to pay and get paid online. In my previous post I explained How to Setup a PayPal Account in India, But there many questions which confuse people about PayPal especially in India because people are always worried that if their money will be safe and gets deposited in their bank account.

I've just started using PayPal and I'm writing this post so that I can share my experience using PayPal in India. In this post I'll cover some Frequently Asked Questions about PayPal which is asked by Indian PayPal users and Bloggers.

Also Read: How to Setup a PayPal Account for India

1) Which PayPal account type should i choose?

The answer to this question depends upon your use, If you want to use PayPal for online shopping and Personal usage then Personal Account suits you best. If you want to use PayPal for selling things online, sending and receiving money then I'll recommend Premier account. If you are a Business man or work for a company and want PayPal for bigger deals, sending and receiving big amount Or if you want multiple user account then choose Business account. For Bloggers and Webmasters, Premier PayPal Account is Best.

2) Can we upgrade account type afterwards?

Yes, You can always upgrade account type afterwards. To do that Go to you account settings and click on Upgrade account.

3) How much time it takes for PayPal to deposit funds in your Bank for verification?

Usually it takes 4-5 days for PayPal to deposit two small deposits in your bank account.

4) Can't create PayPal Buttons in Personal account?

Buttons and Merchant services is only available for Premier and Business account holders. If you want that option then upgrade your account to Premier or Business.

5) Can't find donate button in PayPal account?

Donate buttons are disabled in some countries including India. The reason for this is Because of Indian Laws and regulations. So you can't create donate buttons in India.

6) What Purpose code should I choose?

Purpose code depends upon your use and purpose for using PayPal. The full list of purpose codes is available on website of Reserve Bank of India

If you are a Blogger then you can choose freelance journalism as purpose code.

7) What is the minimum Withdrawal amount?

If you are using Electronic Bank transfer then minimum amount is $10 USD (500 INR), If you are requesting Cheque then minimum withdrawal amount is $150 USD (7500 INR)

8) How much time does PayPal funds take to arrive in your Bank account?

Once the processing completes, It takes about 5-7 days for the funds to get transferred in your bank account. PayPal sends an email mentioning the expected date.

I live in Mumbai and it takes only 3-4 days for funds to get transferred in my bank account. It may take long for people who live in small towns.

9) What will happen if my Bank rejects the PayPal transfer?

If somehow your PayPal transfer request is rejected by your Bank then, PayPal deducts $5 USD (250 INR) as processing fee and the amount is returned to your PayPal account.

10) Does PayPal charges fee for Receiving money?

Yes, PayPal charges fees in cases; Such as

Receiving payments for goods and services.
Receiving payments from friends and family made using a debit or credit card.
Receiving payments from people in other countries.

11) Can I use Credit card with PayPal?

Yes, you can use Visa, MasterCard, American express and Discover with PayPal. One advantage to this is When you use PayPal for paying your Bills online, You don't expose your credit card number to other website or merchants.

So that's all for now, If you have any other questions related to PayPal then you can contact me using the Contact Us page or just leave a comment below and I will try to reply asap!

About Jimmie Luthra

Jimmie Luthra is a Mariner, Tech enthusiast, Blogger and Gadget reviewer. He is fond of technology and is usually found playing with some piece of tech. He is also a Guitarist, Music lover & fitness freak.