PayPal is one of the best means to transact money online. If you run a website or blog or you earn money by doing free lending, then the PayPal business account is most important for you.
You can also receive money from other countries by creating an account on PayPal.
If you are new to Paypal and willing to create an account on it, rest assured, we will tell you the whole procedure in very simple terms.
What is PayPal
PayPal is a website with the help of which you can receive payments from different countries in different-different currencies.
Once you receive the payment, PayPal converts that currency into the currency of your country and transfers it to your bank account.
Because of its known smooth operation and convenience, PayPal is very popular among people. Basically, people use PayPal to receive payments from other countries.
What is needed to create an account on Paypal?
To create an account on PayPal, you will need the following things.
- An e-mail ID
- Mobile Number
- Bank Account Details
- Pan Card Number
- Debit Card / Credit Card
1. Email ID
Email is important for creating a PayPal account because once you create your PayPal account with the email ID, you can receive payments in your PayPal account with the same email ID. Therefore, whenever you create an account on PayPal, use the correct email id.
2. Mobile Number
You will need a mobile number to fully verify PayPal’s account. When you enter your mobile number in your PayPal account, an OTP message will come to your mobile number, with the help of which you will be able to verify your PayPal account.
3. Bank Account Details:–
If you receive money from another country and you want to deposit that money into your bank account, you will need to link your bank account with your PayPal account. For this, you will have to verify your bank account details by entering them inside PayPal’s account, after which one or two rupees will be deposited into your account by PayPal.
If that money comes into your account then your bank account will be verified on PayPal, after which you will be able to transfer money to your bank account by converting the currency of other countries automatically.
4. PAN Card
For online transactions and to transfer money in other currencies, you will need a PAN card, here you will have to enter your PAN card number inside the PayPal account so that you can get online payment without any issue and can also send it to your bank account.
Please note as per the RBI Guidelines PAN is mandatory for opening an account and or while performing a financial transaction in or out of your bank account.
5. Debit Card/Credit Card
If you want to transact money in a non-domestic currency, then you have to add a debit or credit card to your PayPal account.
With the help of debit and credit cards, you will be able to deposit money inside your PayPal account and then convert them into the currency of another country and make payments.
How to create a Paypal business account?
There are two types of accounts you can create on PayPal
- Individual – Send payments only
- Business – Receive and send payments
If you just want to send money then go for an individual PayPal account However, if you want both options – “Receive and send payments” then you have to create a PayPal business account.
If you do freelancing work and often receive or send payments to other countries in different-different currencies, then for this also you have to create a PayPal business account.
Follow the steps below to create your business account on PayPal and receive money in the currency of another country and convert it to the currency of your country automatically.
- First, go to the PayPal website.
- Find ‘Bussiness” in the top navigation menu and click on it’.
- Now click on ‘sign up now’ button, and you will be prompted to select type of account. Choose a Business account (or a Personal account in case, if you want to open a personal account on PayPal).
- Enter your e-mail id and follow the instructions carefully. If you follow all steps properly you will have your account opened in minutes.
However, once your account is created on PayPal verify your email ID. To verify your email login to your email ID and click on the verification link received from PayPal.
After verifying the account with your email ID, now it is time to link the bank account with your PayPal Business account so that whenever you receive money in your PayPal account, you can transfer it to your bank account.
After opening the account, you will have to go through the KYC process. Please note that you are not allowed to collect domestic payments until you complete KYC and business verification steps.
You can still receive the International payments however to accept the domestic payments please contact PayPal customer support and have your KYC updated from them.
How to link a Bank account with PayPal Business account?
To link a bank account to your PayPal Business account, you need to add your bank account’s IFSC Code and bank account number to your PayPal account.
Follow the steps given below to link your bank account with your PayPal account –
- First, click on Settings and go to Account setting.
- After going to Account Settings, select the “Money, Bank, and Card” option.
- Now select the “link to a new bank account” option.
- Enter the IFSC Code and account number details.
- Now click on “link your bank” button.
After this, your bank account will get linked with your PayPal account, during the account verification process, PayPal will send money to your bank account and if that money is received in your bank account PayPal will verify and activate the same.
Once your PayPal business account is activated by PayPal you will be able to send or receive money to or from any country in the world.