PayPal: Accepting Online Payments in Indian Rupees (INR)

Have you ever wondered if it's possible for PayPal to accept online payments in Indian Rupees (INR)? The answer is a definitive yes. In fact, as of 2018, PayPal has allowed transactions in INR, provided users follow certain steps and conditions. This article will guide you through the process and highlight key factors you need to consider.

Is PayPal Accepting INR Payments?

Yes, PayPal supports INR payments for transactions in India and internationally. However, the availability of INR as a payment method may vary based on the account type and country settings of your PayPal account. Users in India can typically send and receive payments in INR. For users outside India, the ability to accept INR payments may depend on their PayPal account's configuration.

Steps to Accept INR Payments on PayPal

To accept payments in INR, you need to set up your PayPal account correctly. Here’s a step-by-step guide:

Convert to Business Account: Begin by converting your existing PayPal account to a Business Account if it isn't already one. This is a straightforward process that doesn't require company documentation, but you can add your GSTIN to claim input tax if needed. To convert, go to your account settings > Profile button > Profile and settings > Financial Information > Currencies. Set INR as Primary Currency: Add INR to your PayPal balance and make it the primary currency if you intend to receive payments exclusively in INR. If you receive payments in USD and INR, leave USD as the primary currency. This step ensures that you have a balance in both currencies for easy management. Verify Domestic KYC: If you're a user in India, you’ll need to complete a Domestic KYC process by uploading scanned documents to validate your identity. After completing this step, you should be able to accept INR payments domestically.

By following these steps, you'll have two wallet balances: USD and INR. Your balance will automatically reflect the currency in which payments are received.

Charges and Considerations

Accepting INR payments through PayPal is subject to certain charges and considerations:

Transaction Fees: PayPal will charge an additional fee for currency conversion and international transactions. These fees can vary, so ensure you review them before accepting INR payments. Domestic KYC: If you're in India, you need to complete the Domestic KYC process to enable INR transactions. Multi-Currency Functionality: PayPal's multi-currency functionality allows you to accept payments in various currencies for the convenience of your customers. However, to qualify for merchant rates, your account must have processed at least 3000 US dollars in the previous calendar month. Withdrawal Charges: When you withdraw in INR, there are additional exchange rate charges to consider.

By understanding and managing these factors, you can ensure a smooth and efficient process for accepting INR payments through PayPal.

Conclusion

In conclusion, PayPal is a flexible payment platform that allows you to accept online payments in Indian Rupees (INR) if you follow the appropriate steps and considerations. Whether you're a business owner in India or an international merchant, using PayPal to accept payments in INR can provide significant convenience and flexibility. Ensure you review the transaction fees, complete the necessary verifications, and manage your currency balances effectively to make the best use of PayPal's INR functionality.