Indian PayPal users received a mail from PayPal few minutes back about some upcoming changes to PayPal User agreement for India.
This is totally ridiculous, now Indian users can’t buy anything using their PayPal funds and only use it to accept payment that too with $500 limit. This is the worst ever hit Indian PayPal users (incuding me) will get because many of us rely on PayPal for purchasing domains and buying stuff online.
Here is the copy of that mail:
With effect from 1 March 2011, you are required to comply with the requirements set out in the notification of the Reserve Bank of India governing the processing and settlement of export-related receipts facilitated by online payment gateways (“RBI Guidelines”).
In order to comply with the RBI Guidelines, our user agreement in India will be amended for the following services as follows:
Any balance in and all future payments into your PayPal account may not be used to buy goods or services and must be transferred to your bank account in India within 7 days from the receipt of confirmation from the buyer in respect of the goods or services; and
Export-related payments for goods and services into your PayPal account may not exceed US$500 per transaction.
We seek your understanding as we continue to employ our best efforts to comply with the RBI Guidelines in a timely manner.
We regret any inconvenience caused to you and hope the advance notice will enable you to plan your future use of our services accordingly. For further information, click here.
If you have any questions, please contact PayPal customer support by logging into your PayPal account and clicking on ‘contact us’ at the bottom of the page. We sincerely thank you for your patience and continued support.
Sincerely,
The PayPal Team