Over the weekend, I have read a few posts that reported PayPal allowing Malaysians to withdraw their PayPal funds into selected credit/debit cards. This is great news to me since I am deciding on a way to withdraw my funds within the next two months.
This change was reflected in PayPal’s Payments (Sending, Receiving, and Withdrawals) Policy (modified on 30/8/2007). In section V. Withdrawals #0, it reads:
Original Credit Withdraw. Users in Italy, India, Luxembourg, Israel, Malaysia, Argentina, Philippines, Turkey, Brazil, Lithuania, Bulgaria, Indonesia, Uruguay, San Marino, Slovakia, Latvia, Chile, Romania, Cyprus, Slovenia, United Arab Emirates, Estonia, Malta, Gibraltar, Liechtenstein and Iceland may withdraw funds from the PayPal system to their valid credit or debit card in the form of a credit to the card on file with PayPal.
Therefore, apart from Malaysia, the other countries that were mentioned are allowed to withdraw their PayPal funds through a credit/debit card as well.
It was reported that some credit/debit cards do not allow such transactions from PayPal. The AmBank NextG debit card is one of those that can’t be used for this transfer. I have an AmBank credit card. I wonder if mine will work. I guess I either have to just give it a try or phone up AmBank service centre to ask.
I read from a forum post that someone called up their credit card company and was advised:
1. If you got credit card balance, amount transferred from PayPal will be knock-off with that credit balance
2. If the credit card balance is zero or less than the amount transferred from PayPal, you are not advise to withdraw at the ATM. It will be considered as cash advance withdrawal and subject to charges eventhough the credit card amount is already debit balance
3. What you can do is to give an instruction to the credit card issuer to transfer that debit balance amount to your saving or current account (clear in 5 working days) with no charge
This is great news to all of us but is also creating a lot of confusions. I won’t go rushing in withdrawing my funds just yet. No point being overcharged or risk any penalty from PayPal.