Now you can add your Indian bank account to your PayPal account, so you can withdraw your money directly to your bank. It saves you time and gives you faster access to your PayPal funds! On top of it there is no charge to withdrawal amounts over INR 7000* However if you withdraw an amount less than 7000 they will charge INR 50.
This is a great feature now in PayPal which will pull down many services like xoom and others who used to charge a lot of transaction. Login to your PayPal account and click on Withdraw money. Now you will see option of bot withdrawing to an Indian account and us bank account as well. So if you are in America and want to transfer money to any Indian bank, It’s a simple process now. Finally the discussion of transferring money to Indian Debit cards have to come to an end now.
Complete Steps on how you can transfer money from PayPal to Indian Bank Account
After you login to PayPal Go to My Account and Select Add / Edit Bank Account under Profile link in the menu bar. if you already have an account and do not want to edit skip this process.
This will open up an Add bank account form where you can add Name, Bank name, NEFT IFSC, Account Number and confirm the account number.
You will need IFSC Code ( Click to get the codes for your bank) which is 11 digit code for the bank. Call the bank people and they will let you know.
Once your Bank account is added to your PayPal account its time to transfer money. Go to My Account and click on Withdraw link and you will get option to transfer money :
- Into Bank Account
- Request for a check
Click on the link Withdraw funds into your bank account.
Once you click on this you would get a Payment form where you need to enter what amount of money you want to transfer.
The very important point to notice here is the purpose code which you need to select in the withdrawal form. Because of issue between RBI and PayPal and keeping regulation in mind, PayPal has asked customers to add reason for withdrawal. You can read more about Purpose Code of PayPal here. These are the following PayPal Purpose available.
Now you can can select the amount of money and transfer it to your account. Make sure you select the right bank name as the transaction is not reversible.
You will go through few more screens which will take your confirmation, update you with currency exchange rate etc and once you confirm everything allow 5 to 7 days for money to get into your account. However in my experience the money gets transferred into Indian bank account in 3 days.
Known Facts :
Indian Financial System Code (IFSC)
The Indian Financial System Code (IFSC) is an alpha-numeric code designed to uniquely identify bank branches in India. This is an 11 -digit code with the first four characters representing the bank code, the next character is a control character, and the last 6 characters identify the branch. The Reserve Bank of India publishes the IFSC and MICR codes, but only IFSC codes should be used. Please contact your bank in India for this code.