Malaysians can now withdrawal Paypal balance into their local bank accounts.

Just noticed today that there has been a policy change in Paypal to allow Malaysians to withdraw their balance into the local banks in Malaysia. Previously, there were only 2 ways that Malaysians could withdraw their balance from Paypal. Either withdraw to a US bank for free or withdraw to a credit/debit card for a fee of US$5.

With the additional feature, it has now made it easier for Malaysians to bring their money back from Paypal.

Below are some of the details for withdrawal to Malaysian Banks:
Withdrawal of RM400 and above – Free of commission.
Withdrawal below RM400 – RM3.00 commission.
In the event if the money cannot be transferred due to wrong bank info, there will be a return fee of RM15.
It takes 2-3 business days for the money to be credited to the local bank (also depends on the local banks).
Name on the local bank account must be the same as the name registered with paypal.

Surprisingly it takes a shorter time to get the money credited into the local bank compared to a US bank which takes 4-5 business days.

Information required to register your local bank account with Paypal:

  1. Bank’s Name
  2. MEPS Bank Routing Code (routing codes for Malaysian Banks are available in Paypal’s website)
  3. Local bank account number

So far I have been withdrawing to my US bank account and today I have just tried my first withdrawal to my local bank account to test it out. Hopefully it works out fine.

*** Update (6 Nov 2009) ***

Received my money in my Hong Leong Bank account exactly 4 business days without any charges by the bank. If you have tried using other banks, appreciate if you could update with a comment to share…..

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14 Comments on Withdrawal from Paypal into Malaysian Banks

  1. Justin Choo says:

    Alvin,
    I checked on my Paypal “Profile” and noticed the surname is defaulted (cannot be changed). No problem for this. Then below this is the “Name” box. In order to ensure correct name sequence for local bank, how should I fill in the blank. For example the name is Tan Ah Ba. The surname is already stated as Tan. How should the “name” in this example be filled in?

  2. Alvin Cheong says:

    Justin,

    By right the surname should be Tan, and the name is Ah Ba. But however, if we do that, the name would come out at Ah Ba Tan.

    And if we fill in the surname as Ah Ba and the name as Tan, then the sequence would correspond with the bank’s record which is Tan Ah Ba.

    I’ve got to know that some of the banks still accept the funds even if the name is spelt Ah Ba Tan. I guess it all depends on the local banks’ practice. Best to check with your local bank that you’re maintaining your account if they will accept if the name is Ah Ba Tan. Otherwise, just fill in your name using the second method above. That is the method I’ve used.

  3. jsutin choo says:

    Alvin,

    Thanks. Just want to know how they sequence the name. In this case I thought it’s Malaysian way as the page looks like for Malaysians to fill up.

    This means those whose surname has been defaulted to appear, would have a problem to put the correct name as in the local bank. But I have no problem, because I have a unique name: Choo Boo Choo. So I guess I just need to fill up the “Name” box as Choo Boo. Is that correct?

  4. Alvin Cheong says:

    Justin,

    Yes, enter your name as Choo Boo and everything will turns out as Choo Boo Choo. Have you tried asking your local banks if they will accept your name as Boo Choo Choo?

    So your name is a palindrome. Forward and backward still okay.

  5. Justin Choo says:

    Wah! Palindrome! Sounds like airport!

    Thanks a lot. Alvin.

    By the way, my site is still a ghost town.

    Why? Why? Why?

  6. Sin Dew says:

    Palindrome name? haha. not ‘pa lin tao.

    Actually my paypal account name is Sin Dee Khoo, and bank a/c is Khoo Sin Dee.
    But manage to get my money too. 🙂

    Good luck Justin.

  7. Alvin Cheong says:

    I believe it depends very much on the local bank itself.

  8. Yin-Wai says:

    Hi Alvin, thanks for the info. My “problem” is the same as Sin Dee’s. My paypal account is Yin Wai Choy but bank account is Choy Yin Wai.

    Sin Dee, which bank did you use? Thanks!

  9. Justin Choo says:

    Alvin,

    Question 1:
    Initially, I registered a debit card just for this Paypal purpose, as I was told I could only withdraw through debit card. Since we can now withdraw through our standard bank account, does this means that I can now cancel my debit card?

    Question 2:
    I have never activated my paypal account. How can I add cash to my paypal account? I can’t find the appropriate instruction.

    Thanks in advance.

    Justin Choo (G9)

  10. Alvin Cheong says:

    Justin,

    Answer 1:
    Your debit card is no longer necessary. However, if you still choose to keep it, you can then have 2 methods of taking your money back.

    Answer 2:
    We don’t add cash into our paypal account. We just need to add our credit card so that whenever we purchase anything, Paypal will automatically charge our credit card with the amount.

    Rgds,
    Alvin.

  11. Justin Choo says:

    Thanks Alvin.

    Which means if I cancel my debit card, I would need to inform Paypal of my new credit card while deleting the debit card from Paypal account. Is that correct?

  12. Alvin Cheong says:

    Justin,

    Just login to your Palpal account to remove the old debit card and then add the new credit card.

    It is under Profile, Add/Edit Card, under the action there is a remove link to delete the debit card. Adding new credit card is also at the same screen. Hope that helps.

    Rgds,
    Alvin.

  13. Chin Yin Foo says:

    Hi, Alvin ,

    Thanks for the paypal info. It is good to know the account can be done at Local Bank.

    Regards

    Chin
    016 4118881

  14. Alvin Cheong says:

    Chin,

    However, the exchange rate is not that good. It is lower compared to the rates from the local bank.

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