Does PayPal accept Indian rupees
Yes, PayPal accepts Indian rupees (INR) for international transactions, but it no longer offers domestic payment services, so INR cannot be sent between two Indian PayPal accounts.
INR is on PayPal's list of supported currency codes, and it is the currency in which Indian accounts receive their funds. How it is used, however, is limited by PayPal's exit from domestic payments in India and by RBI rules.
- No domestic transfers: PayPal stopped domestic payment services in India, so users cannot send or receive INR with other PayPal users inside the country.
- International use only: Indian accounts can receive payments from customers abroad in more than 25 currencies and can be used to shop on international websites.
- Automatic conversion to INR: Under RBI regulations, Indian PayPal Business accounts cannot hold foreign currency balances, so a payment in USD, EUR or GBP is converted to INR and sent to the linked Indian bank account.
- Conversion markup: PayPal adds a currency conversion markup, typically around 3% to 4%, when it converts foreign currency into INR.
Because every foreign payment is converted before it reaches the bank, the conversion markup affects how many rupees arrive. Freelancers comparing the effective rate across providers often also look at whether services such as Skydo offer a PayPal alternative for receiving international payments, and compare the INR amount credited under each option.
Anyone planning to collect INR from Indian customers will need a different domestic payment method, since PayPal India does not process those payments.