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Everything You Need To Know About Using Paypal To Sell Online In India


Disclaimer: The information provided on using Paypal to sell online in India is based upon what is mentioned on PayPal website, is correct at the time of this blog post and may change in the future.

PayPal is the best payment solution when you want to sell goods and services overseas. It is the most trusted global service to send and receive payments.

PayPal has made global selling easy for merchants in India. Those willing to expand their business across different countries can use this fast, easy and safe payment solution.

PayPal in 2017, announced the launch of its domestic operations in India. Indian consumers can use PayPal to shop online in India. This is a good news for online merchants as they can use Paypal to accept payments  from Indian shoppers as well.

You can add PayPal button to your site and start accepting payments in different currencies as well.

You can easily use PayPal to sell online in India. To see how Paypal works, visit their demo site.

Benefits of using PayPal

  • Instead of restricting yourself to the local market, you get access to over 179 million global customers who use PayPal. In Asia Pacific alone, 10.7 million buyers are using Paypal.
  • PayPal is an internationally recognized payment gateway. When you are working with the best, customers feel confident to purchase.
  • As PayPal offers different payment options, chances of successful transactions increase a lot.
  • You don’t have to wait for the payment for days. PayPal transfers funds to your account daily.
  • PayPal has a seller protection policy for selling physical and non-physical goods (excluding digital goods) to protect you from fraudulent transactions.

Using Paypal, you can accept payments

  • On your website
  • Without website by invoicing the customer when selling goods or services or by working as a freelancer

Here we will discuss about using Paypal to accept payments on your website. The best thing about Paypal is that you don’t need a full fledged e-commerce store to start using it.

You can turn your blog or simple website into an e-commerce store by simply adding Paypal to accept payments. Moreover, you can sell your product in more than than 200 currencies. Paypal also helps safeguard your business with seller protection.

To start using Paypal for your website, you need to open a Business Account.

To open Business Account:

  • Enter your email address and create password.
  • Enter basic business information.
  • Paypal will verify your email address.  

After that, you will have the options for online verification or to upload documents for KYC.

You will be able to sell internationally after online verification. But, to sell locally, you need to complete KYC.

For accepting only international payments, you need to:

  1. verify PAN
  2. Add local bank account where you want to receive international payments.
  3. Verify email address
  4. Select a purpose code ( Requirement by RBI).

To complete KYC, you need to upload documents according to your type of business entity.

For Individual Business owner or Freelancers

  • PAN Card as a proof of identity.
  • Residence proof (Driving license, Adhar Card, GST Certificate, Passport, Voter Card etc.)
  • Proof of Bank Account( Cancelled cheque or bank statement).

For Sole Proprietorship, you will need to upload:

  • Proof of Identity (PAN Card individual or business).
  • Proof of residential address of business owner
  • Proof of business entity like GST number.
  • Proof of business address like GST Certificate, bank statements of last 6 months or certificate of IE Code etc.
  • Proof of Bank Account (Cancelled cheque or bank statement).

All Other Business Types

  • Proof of Identity
  • Proof of Residence Address of the account holder
  • LOA (Letter Of Authorization) provided on official letterhead of Merchant organization to indicate PayPal Account Holder is an authorized person to manage all PayPal account related activities.
  • PAN Card
  • Proof of Bank Account (Cancelled cheque or bank statement).
  • Proof of business address like GST Certificate, bank statements of last 6 months or certificate of IE Code etc.

After KYC is done and bank account is verified. your account will be activated. Once you have created and  activated your account, you need to choose how to get paid.

Paypal doesn’t charge any set up, cancellation or monthly fee. You only pay once the payment is received. For detailed fee structure, read here.

You have two options to select from how you want to get paid:

  1. Website Payments Standard (WPS)

This is an easier way that requires no technical skills. You can add payments button to your website without hassle. Just copy and paste the  HTML code and enable payments on your website within minutes.

Watch this video

  1. Paypal Checkout

“Paypal Checkout” allows you to receive payments securely from India while keeping shoppers on your website or mobile app. This makes it easier and quicker for the  customers to complete the transaction.

Customers can pay using debit/credit card or by logging into their Paypal account without leaving your website.

You need some technical knowledge to integrate ‘Paypal Checkout’ in your website but if you are using shopping carts like Shopify, they offer ‘Paypal Checkout’ integration so you don’t have to do anything.

Check out the official Demo



Paypal to sell online in India

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