How To Create PayPal Account in India & Verify (Complete Tutorial)

163Shares

When you start working online, you need a mode to send and receive payment. Usually, you can use your credit card or debit card to make payment online, but to receive payment, you need to take help of services like PayPal.

PayPal has been one of the oldest and most-trusted services to send and receive payment. In particular, if you are from Asia or the United States, you will find PayPal’s service to be the best when it comes to receiving payment from overseas.

Do remember, most advertising networks (if you are a blogger) pay using PayPal, so it’s essential to have a PayPal account.

Verified Paypal confirmation
  • Save

When you open up a PayPal account, you can start sending payment right away (after linking your account with your debit or credit card), but to receive payment, you need to link your PayPal account to your bank account.

This will remove the withdrawal limit from your PayPal account, and you will be able to withdraw money from your PayPal account directly into your bank account.

Benefits of using a PayPal account:

  • You will be able to make online payments without exposing your credit card details.
  • You can use your debit card to make payment. This helps many people who don’t have a credit card.
  • You can receive payment from overseas accounts. (Such as clients or advertising payments.)
  • Many online services charge recurring payments. When you pay with PayPal, you can cancel the recurring payments at anytime.
  • You can send mass payments using PayPal. [Read Tutorial]
  • You can create and send invoices directly to your client. [Read Tutorial]

How To Create Your PayPal Account

First of all, head over to PayPal.com and click on to “Sign Up” to create your PayPal account.

On the next page, you have an option to select between a “Personal and business account“. For bloggers, I would recommend you to start with personal account and if you ever need a business account, you can instantly upgrade it from PayPal dashboard.

  • Save

On the next page, you need to sign up by filling up a form, you can enter your Credit/Debit card detail then or can skip it for later to send Payment. Do remember, when you open a Paypal account in India, it’s a limited PayPal account. You can use it to send Payment to anyone using your Credit or Debit card, but to receive Payment you need to complete these 4 tasks:

  • Add your PAN card
  • Confirm your Email (When you sign up, you will get an Email from PayPal to confirm your account)
  • Add bank account (This will be the bank account where your Paypal money will be withdrawn to)
  • Purpose code (From the long list, select the purpose on which you are receiving payment on your Paypal account)

Here is the link to the page which you can access anytime to see if any verification is pending for your account.

To verify Indian Paypal account
  • Save

Link Pan Card to PayPal:

Your Pan Card name should be same as your PayPal account name. If you are a minor without a Pan card, you should open a PayPal account in the name of your parents.

Linking Bank account to your PayPal account:

This process will take 2-3 days if you initiate now, so I suggest you to create your Paypal account right away, as if in future you need to receive money from any of advertising company or client, you don’t have to wait then. Click on Start in front of Add bank account and you will be taken to the next page where you need to enter just few fields such as :

  • Your Name
  • Your Bank account
  • Your bank IFSC code. (If you don’t know the IFSC code of your bank branch, simply go to your bank official site and search for it). If not, Search in Google with “Your Bank Name, Branch and IFSC code”. Ex: ICICI Bank, VasantKunj IFSC code”. You can also select No in front of “Do you know your bank’s IFSC code?”, and select your bank, state and branch using Drop-down from there.

confirm PayPal Bank linking
  • Save

Once you are done adding the bank account detail, Paypal will send you 2 small deposits in your bank account. After receiving the deposit (In my case it took only 24 hour to receive two small transactions), you need to login to your PayPal account, click on verify at top and enter the amount to complete verification of your Bank account and PayPal linking.

Enter bank transaction
  • Save

Add PayPal purpose code:

PayPal purpose code
  • Save

Next step is to add the purpose code for your transactions. If you are receiving Payment for affiliate commission or advertising, select “Advertising and market research” or select what is appropriate in your case. However, this will be your default purpose code, and at the time of withdrawing money from PayPal account to your Bank account, you can select any other.

Note: Money in your Indian PayPal account will be withdrawn automatically every day. You can also manually withdraw money to your bank account. Usually it takes 5-7 working days for money to be credited in your bank account.

Linking Credit Card/Debit card with PayPal account:

When you are linking a credit card to your PayPal account you will face no issue. You can always add a new one, edit old one or remove old one by going to Profile > Link/edit credit card. Debit card from selected bank works fine with PayPal and according to users comment, these are the Indian bank debit cards that I’m aware of which works fine with PayPal. (If you know of other bank Debit card, let us know via comment).

  • Axis Bank
  • ICICI Bank.
  • HDFC Bank Platinum Chip Debit card
  • CITI bank

While adding ICICI bank debit card if you see this error:

The bank that issued your card didn’t approve this transaction. Please contact the card issuer’s customer service department if you have any questions. Or you can add a different card now to continue.”

You need to call up their customer care and ask them to enable the international online transaction. Or you can also SMS INTL to 5676766 from your registered mobile number & it will enable international transactions.

For other bank debit cards, in most of the cases they will say it’s an international debit card, which works fine when doing a transaction at ATM, but you need to ask customer care if you can use the card for online transaction without 3D secure pin verification. If not, ask them to enable it. If they can’t, it’s time to change your bank.

Withdrawing funds from PayPal to Bank account:

Subscribe on YouTube

Alternate methods of activating your PayPal account:

Credit card:

Many bank issues a credit card in lieu of a fixed deposit. For example, you can open a fixed deposit of 10K and you will get able to get the credit card with a limit of 8K. I got my first credit card like this and it worked perfectly fine. Especially if you are building a career online, you should have a credit card.

When you add a new bank account or a credit card, you also need to complete the verification by the method given below. It’s easy & increases your PayPal limit

PayPal Card verification
  • Save

Create your free PayPal account

I hope this guide helped you to know everything about creating and verifying your PayPal account. If you have any query or want to share more tricks related to PayPal, let us know via comment.

Enjoyed reading this guide? Do share it on Facebook and LinkedIn.

Here are a few hand-picked articles to read next:

Was this helpful?

Thanks for your feedback!
  • Save
163Shares
Authored By
A Blogger, Author and a speaker! Harsh Agrawal is recognized as a leader in digital marketing and FinTech space. Fountainhead of ShoutMeLoud, and a Speaker at ASW, Hero Mindmine, Inorbit, IBM, India blockchain summit. Also, an award-winning blogger.

306 thoughts on “How To Create PayPal Account in India & Verify (Complete Tutorial)”

  1. aziz

    can i make paypal without pan card and debit or credit card?

  2. ashish gupta

    can i make acc without debit or credit card or jst with saving bank account

    1. Harsh Agrawal

      @Ashish
      You need to have a debit or Credit card.

    2. Nishant Chauhan

      You can make a paypal account with your saving bank account, it’s okay if you do not have debit / credit card. I’m using my paypal account just with my saving bank account.

      1. SOHITV

        please update IDBI bank VISA debit without EMV chip embedded do also work on paypal for sending money overseas with an daily limit as it may varies from different banks and card issuer.

      2. Akshay Kadu

        I agree @nishant
        Only for receiving payments, if you want to make payment through PayPal then you must need debit or credit card to be linked.

        Thanks
        Akshay Kadu

  3. ashish gupta

    i have a bank of baroda debit card i dont think so it will work with paypal bt still reply me did ie work with paypal or not or i should make account of my parents name

    1. Akshay Kadu

      I also have BOB card. Sorry but it doesn’t support international payments. You can link your BOB account with PayPal for receiving payments.

      Thanks
      Akshay Kadu

  4. Midhun

    Hi,

    your post is very informative and precisely written, Kudos author

    I’ve question for you, If I wanna open Business PayPal account on my company name which is proprietor concern

    Name of the PAN ( company name ) should match with PayPal name or name of the individual ( person of contact ) name should match with paypal name

    Please help on this!!

    1. Harsh Agrawal

      @Midhun
      I think you need to enter a PAN number which should be yours. Even if you use your company PAN number, that should work, as long as you are withdrawing money from PayPal to your company bank account.

  5. Shaoli

    I’ve been trying to add my PNB Debit Card since ages, but a dialogue box appears “We cannot verify your card”…Can you help?

  6. ravindra

    Hello Harsh sir,
    I trying to open paypal a/c but in their list of location of country there is no india why this is ?
    should I try with paypal india.
    In your discussion u are not revealing about foreign inward remittance certificate (RIRC). What exactly this doc is. is this doc is necessary for transfer of funds from paypal to bank a/c.
    Pls reply. I am unable to open a/c with paypal pls help me, i will be greatful to you.

  7. Parinda

    Amazing info in the simplest language. You rock, Harsh.
    Thanks for the timely information I needed to open my Paypal Account.

  8. Sunny

    hlw sir actually i have a PAN card same as mine Name first and last both but it is not mine some1else so i wanna know if its ok to use it or any harm beacuse i already verified it on paypal and it also got verified

  9. Anshul

    Hi , I have an SBI debit card , did it work for any of you because I couldn’t add it . I wanna know if someone with SBI debit card got it approved

    1. Karan

      @Anshul, as of I know, SBI debit card don’t work.

  10. SDass

    I have a paypal account but can’t make any payment through it because of the rules. I am thinking of getting an ICICI credit card against FD. It seems that now has Visa secure code. Does that work with paypal?

    1. Harsh Agrawal

      @SDass
      Even I’m using the ICICI credit card (Against FD), and it’s working perfectly fine for me.

  11. abhishek

    hey man…. i have a sbi account…so if i dont add credit/debit card in paypal …..willl i be able to receive payment from ptc and other sites??????

  12. pawan

    Hey Harsh
    Can we add two bank account details to the same PayPal account
    Or
    Can we add another bank account after some time to the same PayPal account

    1. Harsh Agrawal

      @Pawan
      You can definitely add another bank account later. And I’m unsure about adding 2 bank account details at the same time.

  13. rachit gupta

    Yes Bank is not linked up with paypal., so anyone having account in yes bank and wants to have a paypal account, so better change your bank.

  14. fawaz Abdulla

    Hi Harsh,
    Can i setup the PayPal account for receiving payments at a later time. Thank your.

  15. Ansh

    Hi harsh,
    is it possible to payment someone from SBI debit card via PayPal from india to USA
    or i have to use credit card and SBI credit card work or not?

  16. basil

    Hi i have paypal account and have SBI global debit card. i tried to add my card to purchase for PTC sites. i can’t add my card.
    (The bank that issued your card didn’t approve this transaction. Please contact the card issuer’s customer service department if you have any questions. Or you can add a different card now to continue)
    so can i solve this problem ???
    i need to invest money on PTC sites. Please help me… ?????

    1. dks

      both sbi debit or credit card currently not work with paypal… u can use hdfc or icici debit or credit card after activating international transaction… am using hdfc debit card and it works very well for me…

  17. sagar

    Hello sir..
    I open paypal account for receiving money from my customers who buy from my websites. ….
    But my customers report that…..they are unable to complete transaction process…..paypal not allow indian customers to buy from my website. ….
    I create paypal Buy Now button (express checkout button) but my customer not able to complete transaction. ..
    Please help me….
    Waiting for reply …..

    1. Harsh Agrawal

      @Sagar
      An Indian Paypal user can’t send or receive money from another Indian PayPal user. This is one big limitation of PayPal.

  18. Vipul

    Which Bank’s credit cards work fine for international payments except for paypal?

  19. Gaurav

    Yes. I have used entropay vcc with paypal to purchase services of worth $ 8000+ for the past 3 years very smoothly & I think it is the best service to use even when they charge a fee of 4.95% for every top up we do in the vcc from our debit card as in the long run icici bank’s account guidelines are not that good to hold their debit card.Thanks

  20. brajesh kumar sharma

    friend, when I’m trying to add bank account in paypal it asked for enter name but surname ‘SHARMA’ is already written outside the box. do I have to write full name in the name box (with surname which is already written outside of the box) or only my first and middle name? please guide me. your article is very impressive and useful. thanks a lot!

    1. Harsh Agrawal

      Only your first & middle name @Brajesh

Leave a Comment

Your email address will not be published. Required fields are marked *

Scroll to Top
163 Shares