What does PayPal charge
For India-based PayPal accounts, PayPal charges 4.40% plus a fixed fee on international commercial payments received, a 4% currency conversion markup, and 18% GST on its fees.
These charges apply mainly to cross-border money coming into India, which is the main flow PayPal handles for Indian users. Each part is charged separately, so the amount that reaches your bank reflects all of them together.
- International receiving fee: Commercial payments sent from outside India carry a 4.40% fee plus a fixed fee that depends on the currency, for example $0.30 USD or ₹3.00 INR.
- Currency conversion: When PayPal converts a foreign currency such as USD into INR, it applies a 4.00% markup over its base exchange rate.
- GST: Indian residents pay 18% Goods and Services Tax on PayPal's transaction fees, added to the fee itself.
- Domestic transfers: Receiving personal or commercial payments within India is generally not supported, since PayPal in India focuses on international inflows.
Some actions cost nothing. Opening a PayPal account and downloading the app are free, and moving settled funds to your local bank account carries no PayPal charge.
Rates can differ by account type and region, so review the current PayPal pricing on the official consumer and business fee pages for India before accepting a payment, and confirm whether the transaction counts as personal or commercial.