.:: Is Paypal Legal In India? ::.

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tuXian

tuXian

In the zone
Could anyone plz let me know the true and actual status of Paypal usage in India keeping the rules and regulations laid down by the IT act in mind.

I heard some years back that it was illegal but now many say its become legal. Can anyone throw light on the truth.

Links to rules regarding this will be highly appreciated

Thanks
 
bharathbala2003

bharathbala2003

why need title?
hey ther.. i got this link.. guess it may help u :D
*www.paypal.com/cgi-bin/webscr?cmd=_display-approved-signup-countries-outside

but still this is wat i got in that site..

Users in any country may withdraw funds to a U.S. bank account.
Users in these countries cannot withdraw funds to their local bank accounts

where these include INDIA also 8)

hope this is enuff!
 
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tuXian

tuXian

In the zone
Basically my need for using Paypal will be for online purchases. So will it be legal cuz money is going out of India
 
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wORm

Journeyman
If you are an Online merchant, you can use Paypal for payments and accepting credit cards with a Merchant account.

Even if you dont have a US bank a/c you can get cheques mailed to you in India for a flat fee of $5 US.
 
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tuXian

tuXian

In the zone
actually as stated earlier I need paypal for online purchase purpose. Can anyone tell me is it legal cuz money is going out of India.
 
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babumuchhala

In the zone
As much as i know, PayPal is completly legal. Fr dollar going out u should not excede US $ 10000 a financial year. If u wnna exceed u got to take permission from the RBI. If u have an Foreign currency current account there is no limit.

All ur purchaces should be legal not conflict any laws and stuff.
 
T

thecyclone2k

In the zone
unless u have minimum 150$ in ur a/c u can't w/draw in india! For any for outgoing money u gotta have permission from rbi / it deptt. or get ready to be sued!
 
tuxfan

tuxfan

Technomancer
tuxian said:
actually as stated earlier I need paypal for online purchase purpose. Can anyone tell me is it legal cuz money is going out of India.
Click to expand...

Yes, it is legal. I do spend online in dollars using my credit card. I get billed in rupees. But there is always some difference in exchange rate :roll: It has been that way since quite a long time.

So even in paypal, you will have to use a credit card ultimately to pay them in dollars. If you sell things and accept payment in your paypal account, the money may not be remitted to you, but you can use that money to buy stuff online. But if you don't sell anything then you will have to somehow source your paypal account in dollars. Credit card is the only viable option.

However, if you sell stuff and collect payment in your Paypal and are thinking about a 100% legal scenario, then you may also have to pay income tax on what comes in your paypal account. I assume here that you are in India.
 
tuxfan

tuxfan

Technomancer
AMITAGARWAL02 said:
if i get cheque from paypal then what will be the clearing charge for it

i stay in bombay
please do reply me
Click to expand...

Charges are different from bank to bank. So you will have to check it up with your bank about it. Union Bank takes a small percentage but there is a minimum amount they will deduct if the amount is small.
 
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sunnydiv

Guest
i have many times recieved $ checks cashing them is no problem, if you dont mind the 30 days delay :(

anyways, e-gold is lot more better than paypal, but it is illegal here

i think paypal might have just become legal, as they recently started the check service to india in rupee

its more like a bank account, last i heard in india you are not allowed to own more than 2000$ :(
keep that in mind
 
tuxfan

tuxfan

Technomancer
AMITAGARWAL02 said:
Like i have account in Icici and sbi and Pnb

thanks
but wha they charge 100 or 150 or 200 Rs
if u know please
Click to expand...

Sorry mate. I really don't know their rates. Why don't you just inquire with them personally or on the phone with their customer relations center?
 
S

SmoothCriminal

In the zone
Well.. reg encashing USD (Google)checks..! I have had experience with two banks:

1. ICICI - 21 Working Days - Commission: 250 bucks

2. SBI - 12 Working Days - Commission: 70 bucks
 
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