It was over one month, where my deposits in PayPal got hold due to the new law act by India. Finally, its over now i wish. PayPal:- an online payments service. On February 2nd 2010, Paypal stopped and reversed all Personal transactions in or out of India.
Personal payments are blocked going in or coming out of accounts from Indian customers, causing a confusion which also had millions of online complaints.
Paypal has told that they are Resuming Bank Withdrawals Service by March 3rd 2010. As the RBI has told the online payment company that it requires specific approvals to allow personal inward remittances to India. PayPal needs authorization to operate a cross-border money transfer service, under the country’s Payment and Settlement Systems Act, 2007.
Hence paypal had resumed these services with specific instructions for customers on how they can transfer their money into their bank accounts.
Finally paypal on March 4th 2010 resumed local bank withdrawals in India. When users select the Withdraw Funds option on your PayPal account, it will ask you to fill out a new field entitled Purpose Code. This information is required under the laws of India in order to identify the nature of cross-border merchant transactions.
Finally there is some good news for Indian Merchant and exporters.