PayPal Begins Validating Pan Numbers of Indian Accounts, Ends up Targeting Valid Accounts
By on September 12th, 2011

PayPal has been nothing short of a nightmare for Indian users. For the past several months, it has been a story of one step forward and two steps backward. After screwing Indian users over and over again, they announced a couple of helpful measures over the past few weeks. Unfortunately, PayPal’s latest move will all but undo whatever little goodwill it had managed to garner.

PayPal has been demanding PAN card numbers from all Indian users for a long time. Many users worked around this restriction by simply providing fake PAN card numbers as PayPal didn’t do any validation. However, beginning today, PayPal will be limiting accounts with invalid PAN numbers. Limited accounts will not be able to receive payments. However, they can still be used for sending payments and making online purchases using linked credit cards.

PayPal-Pan-Card-Validation

The trouble with PayPal’s latest move is that its verification system appears to be pretty dodgy. Two Techie Buzz staff members, including yours truly, have had their accounts limited in spite of furnishing correct PAN card numbers. Given PayPal’s long standing policy of shooting first and asking questions later, it’s not surprising that they chose to act without giving the account holders any opportunity to respond. Let’s just hope that they will get around to fixing this issue soon.

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Author: Pallab De Google Profile for Pallab De
Pallab De is a blogger from India who has a soft spot for anything techie. He loves trying out new software and spends most of his day breaking and fixing his PC. Pallab loves participating in the social web; he has been active in technology forums since he was a teenager and is an active user of both twitter (@indyan) and facebook .

Pallab De has written and can be contacted at pallab@techie-buzz.com.
  • http://www.phptechie.com Website Freelacer

    Hey ,
    I’m also a VERIFIED BUSINESS PAYPAL MEMBER since 2006 , but today I got the same mail stating that my PAN is invalid , but I’m damn sure that I have entered the correct PAN provided by IT dept , also when I update the same , it says “Error MessageYou have entered your existing PAN. Please enter a different one.”

    So wondering how to resolve this , any help appreciated

    • Vaneesh Chawla

      Hey ! IS there a limit to how much amount one can receive under the business paypal account ?

  • cheetu

    Now this is a real issue in paypal’s internal PAN checking system; I have a valid PAN NO and it was accepted by paypal in 2010.

    Today morning I received the notification of limited account; cannot accept payments.

    I have emailed them; but I think they’ll not have any good answer soon.

    And what to say about our great Indian GOV. They even don’t have any department to deal with paypal issues; without realizing that India get millions of dollars in revenue every month Via it.

    • Karthik

      I am also facing same issue with paypal.I have been using paypal for almost 3 years with this same pan number.Now suddenly they saying it as invalid.

  • Kuntal Mazumder

    Hi Guys,

    I am having the same problem. I have correct PAN number there and now they are saying its invalid. Please let me know if you have any other information on this.

  • http://couponact.com Coupons

    Oho my God even after entering Valid PAN Card Details it says Invalid not what next how to get these limit off i am really upset with the way PayPal is coming up with all dodgy rules which are just a baseless (Useless)

  • php freelancer

    This is really shit from paypal. I have account with them from last 4 years. Yesterday i received a mail my pan no is invalid. I tried many times and it never accept it. Also $300 returned to the client. Auto withdrawal $500 is also stopped due to invalid pan.
    I called on customer support and did not give any satisfactory and told they will call me back about the issue. No call or any email is received from paypal .
    Its really hurting my business and reputation . Is there any one who can sue them

  • http://paramprojects.com Param

    Yes, I have been using my PAN for the past three years with healthy transactions every month. Now it’s saying invalid.

    See how SME businesses are tortured to death!! Extremely frustrating !

  • http://www.markupseo.com Amber | Markup SEO

    Hi Pallab,

    I have a verified Paypal account since 2001. I added my PAN when they asked and it was verified earlier. All of a sudden I got an account limitation mail, and while updating the PAN it says it’s already exists, please use a different PAN.

    It’s really shocking, all of us has only one PAN Card and why Paypal didn’t understand this? If you please mail me the solution will be really helpful.
    Thanks!

  • Braj Kishor

    I have also provided them valid PAN no. but now PayPal has limited my account. My American site for which I work does not pay by any other method so now I cannot receive any money from them. My last week payment has disappeared (they say they have paid it but my PayPal account balance is showing $0.00). It is easy to get the PAN card made but there is no remedy if PayPal calls a valid PAN no. invalid. By the way from where did they get all Indians PAN no. Is Indian gov providing every Indians personal information to foreign companies?

  • Hardik

    I am also VERIFIED BUSINESS PAYPAL MEMBER since long time.. We have Valid PAN card entered But they have Limit our account.. IF we add same PAN card again then it says you entered existing one.. PayPal New change sucks indian merchant.

  • http://www.pallab.net Pallab De

    Btw, I got my issue sorted out by contacting @AskPayPal on Twitter.

  • tanu

    hi

    i am facing the same headache. so if the account is verified and with a valid PAN card number, what next should we do?

  • http://emptyhead.in Ashish

    I’ve been facing the same problem with Paypal… valid PAN but still limited account. To top it all, they auto withdrew money, then reversed the transaction. In this whole process, I ended up on the short side of 5$. :(

    I’ve emailed them, and bothered @AskPayPal on twitter. Lets see if it works out. Though, do you know if there are any legal options that can be pursued against paypal in India?

  • Dewdrops

    Hi!!!
    This is very bad!! Its been over 15-20 days my account is restricted!!! :( I sent an email to help center and they managed to reply!! Only to say that Your PAN is UNDER CHECKING. We have not yet finished the verification process.. and Now its completely invalid!! RUBBISH!!

  • http://ajaydsouza.com Ajay

    Did they finally get this fixed for you? My account is still limited even after calling up their customer care!

    • http://www.pallab.net Pallab De

      @AskPayPal helped in removing the limits.

      • http://financewalk.com Avadhut

        Hi Pallab,
        I sent them a message on Twitter a month back, after which they responded by email, but nothing happened after that.
        What would you suggest now?

  • http://emptyhead.in Ashish

    Ditto for me… tweeting to @AskPayPal and providing a couple of documents (PAN card, bank statement) helped and now my account access is restored. On top of it, paypal also added 5$ to my account that was lost during currency conversion when they limited the account.

  • Freelancer

    I too have valid PAN card and it doesn’t work.

    After multiple attempts it doesn’t except my PAN.
    Some how to experiment I change it to example no. given there on the page, there after its show’s status “verification in process”
    with no option to re-change it to my original PAN.

    A day later I received an email from PP your limitations are removed. Strange they validate the PAN no with example no I placed. I am not sure if this OK to continue or re-update my PAN.

  • http://www.iseogenie.com Vipin Kumar

    I am just stuck in between this Indian gov policies, my info is all correct, shows correct on Indian Gov site, still saying invalid PAN card…. this is only irritating me. Please help me to solve my problem..?????????????

  • http://www.facebook.com/profile.php?id=100002253482035 Mohit Mishra

    ok

  • http://twitter.com/MeghaGuru Megha

    Paypal really makes you fool when they want to close your account, they keep asking information about your account 1- Validate Pan Card should be their first question when you check Ok my Pan card number is fine still they come with we can not validate you Pan Number please sent the scan copy. when you sent the scan copy they will say we have 3rd Party agency who check Pan card number so you need to wait for 6-7 days, after that they will say please sent any address verification and your personal identification..once you submit this they will say your account is still limited because our account specialist are reviewing your account…..

    At the end they will say your account has been permanently banned and you can not take payment in this..The current amount that you hold will keep in account for 180 days and if no claim raise we will return this amount to you ( **Remember that amount you will never get back after 365 days even simply Paypal makes client fool)

    All this is nothing but to all the people who takes payment above $1000-1200 just to shift those to business account to generate more revenue all these silly excuse being given to you..

    Paypal is no more a Favorite..Try AlertPay it works with ebay as well good at service..Paypal works like monopoly which will not exist for long..Don’t use Paypal.

 
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