PayPal is Silent on Questions Raised by Indian Users
It's been more than 3 weeks and PayPal has still no update regarding various questions raised by many users on their blog.
The main question that is on everybody's mind is regarding the status of a payment that is not withdrawn by a user within 7 days from its receipt. Will PayPal charge any fine from the users? Will PayPal send the payment back to the payer? Will PayPal provide some interest on our money? This is still not clear and I wonder why PayPal is not updating us regarding this important point.
Many users are blaming and cursing RBI for these strict rules but I feel RBI actually did the right thing by imposing restrictions on PayPal.
According to RBI, any entity that provides on-demand payments (like PayPal does) has to be regulated as a bank. If PayPal holds the money for more than 7 days then they will have to provide users an interest on their money.
Do you think PayPal will ever give any interest on our money? Now to circumnavigate this regulation, PayPal created a rule to force users to withdraw money within 7 days of its receipt.
I am sure most of the users are fine with this 7 days restriction however PayPal should clarify the scenario where a user is unable to withdraw the payment within 7 days.
1st March is approaching and I hope to hear back from PayPal soon.