How to withdraw PayPal Funds through Paper Cheque

PayPal is an ecommerce solution website where people can accept payment for products and services they sell. A PayPal account facilitates accepting payments in multiple forms including credit cards payments, echeck payments and from PayPal funds. It is primarily used for doing business online.

Existing PayPal Withdrawal Options

At the time of writing this article, PayPal India allows you to withdraw using three methods. The first method is through NEFT bank transfer. Then there is another method where you can withdraw money to your verified credit card. The last method and the traditional method of withdrawal are by paper cheques. Let us check out how this method works.

PayPal Withdrawal by Cheque

When PayPal started operation in India in early 2000, the cheques were the only method available for withdrawals. A cheque withdrawal was the easiest method back then. You just have to select the amount of money you need to withdraw and PayPal will send you a check after deducting $5 as processing charges.

As the Cheques are issued from Sweden, you have to wait at least 25-30 days to get it in your hand. The postal delay is that much. Fortunately, the cheques are in Indian Rupees and you do not have to send them back to Sweden to get it cleared.

PayPal issues a Rupee check that can be cleared at any Citibank branches. Almost all state in India has a Citibank branch and thus, it would only take less than 7 days to clear the funds.

How to Withdraw by Cheque

If you have used any other withdrawal method, then you can skip this portion. It is almost similar to that of any other method.

Log on to you PayPal account and select the withdrawal tab. Here you can see the three options mentioned above. Select the link saying “Request a check from PayPal”.

In this page, you will be able to enter the amount you wish to withdraw. You can also check the value in INR using the attached currency converter. Also, make sure you add an additional $5 for the processing charges.

Before hitting Submit, ensure that address specified for delivery is correct. I recommend using full address with PIN code for efficient delivery.

Once you hit submit button, PayPal will send you a cheque in next 4-5 business days. The status on the PayPal screen will change from processing to “Check Issued” when they have done that. These cheques usually arrive at your doorstep with-in a month. If you do not receive it in 45-60 days, contact PayPal and request to re-send the cheque.

Facts about PayPal Withdraw by Cheque

Cheque Withdrawals are Not Free – PayPal charges $5 as processing charges for every cheque withdrawn.

Monthly Withdrawal Limit – Indian PayPal account holders can only withdraw $2500 per month. That is the limit imposed by PayPal on Indian cheque withdrawals. If your business require more than this, contact PayPal customer care and request them to lift the limits.

PayPal use Regular Post – PayPal issues the cheque from Sweden and uses regular post. Because of this, you can only expect the cheque to arrive in about 20-30 days.

Deposit Cheques – PayPal cheques are deposit cheques from Citibank. Therefore, you have to deposit the cheques in your bank account to get them cleared. Normally, it would only take 7 days to clear such cheques.

PayPal’s cheque withdrawal may be the simplest, but a postal delay can seriously affect the time you can access your funds. Hence, this method is only recommended if you cannot use other PayPal withdrawal methods.