What is happening with PayPal Thailand?

[phaholyothin]

There is a FAQ but it's clear as mud. https://www.paypal.com/th/webapps/mpp/thailand-relaunch-faq

 

For a long time now I have been seeing the "Paypal Thailand reopening in 2021!" splash screen when I log in, but since my account has always been working fine and it's nearing the end of 2021, I figured this was an old announcement just never taken down.

 

Now I see news of existing business accounts needing to pass some government validation process.

 

I tried to read through all of this but my eyes started to glaze over.  Does this affect personal accounts or just business accounts?  Mine is a personal account that has come in handy for sending and receiving money to/from friends around the world.  I withdraw money from it to my Thai bank account rarely, maybe once a year.  I get a little trickle of money into it from some writing work I did years ago that I still earn royalties for, depending on how much is sold.

 

In the FAQ, it says:

 

 

Quote

 

6) Why do I need to verify my account identity?

 

As a financial services provider, PayPal is obliged to follow regulatory rules and take steps to verify the identity of its customers.

For businesses registered in Thailand specifically, to receive money or hold a balance in your PayPal Thailand account, you must pass the Thailand “Know your Business” (KYB) identify verification. See details in item #8 below.

 

 

Bolding mine.  As I said, mine is a personal account, not a business account.  So is my account exempt from this validation process?

 

The next FAQ item addresses personal accounts:

 

 

Quote

 

7) For personal accounts or non-registered business accounts: What information is required to verify my account?

 

To continue making payments with your PayPal account in Thailand you must verify your full legal name in English as it appears on your government-issued ID and other details if applicable.

Note, holders of PayPal personal accounts or business accounts that are not registered business in Thailand will not be able to receive payments or hold a PayPal balance in PayPal Thailand.

 

 

I don't think I have ever used the account to make a payment, although I do withdraw from it once a year or so into my Thai bank account.  My name and ID were already verified when I opened this account back in 2019, so that's already done.  Since I'm a foreigner, and not allowed to have a business of my own, it seems like this should not apply to me.  That's the main reason why I chose to open a personal PP account here rather than a business account - was afraid it might send up a red flag.  But who knows.

 

In the worst case, I would have to tell my depositors to send money to me via my US PayPal account and then I'll be burdened with SWIFTing it over here.

 

 

Edited November 6, 2021 by phaholyothin
typo

[Ohyesuare]

If you're not a registered business in Thailand that has passed the KYB verification, you will not be able to receive payments or hold a balance in your personal account, verified or not, after February 2022. Looks like PayPal in Thailand is basically becoming useless. Thailand is pushing hard with their anti-money laundering stuff lately so this is just in line with everything else they are doing like making TrueWallet harder to use for foreigners. 

[simon43]

I get paid for my online teaching using Paypal and Payoneer.  Both link to my Thai bank account, but luckily Payoneer also links directly to my Lao bank account.  I am busying trying to sort out a way to accept WeChat payments from my Chinese students (as a foreigner, the solution is to open a Stripe account which can link to WeChat.  But Stripe only operates in certain countries.  So I first have to open a UK Ltd company, then open a Stripe business account, then add WeChat payments etc).

 

This KYC requirement is really messing up us free-spirits....

[Golden Triangle]

Maybe 12 to 18 months ago I wanted to buy something that only used PayPal, at the time it said that no new accounts from Thailand were being accepted, something to do with money laundering, I informed the seller and we came to another agreement ????????????

[phaholyothin]

1 hour ago, simon43 said:

I get paid for my online teaching using Paypal and Payoneer.

 

This is money flowing into the country. They are insane to want to put up roadblocks to this.  I just don't get it.

Edited November 6, 2021 by phaholyothin
typo

[Liverpool Lou]

1 hour ago, Golden Triangle said:

Maybe 12 to 18 months ago I wanted to buy something that only used PayPal, at the time it said that no new accounts from Thailand were being accepted, something to do with money laundering, I informed the seller and we came to another agreement ????????????

That's right, existing personal PP accouunts with a Thailand/Thai bank connection are not affected.

[Ohyesuare]

34 minutes ago, Liverpool Lou said:

That's right, existing personal PP accouunts with a Thailand/Thai bank connection are not affected.

If you read the terms linked in the first post, any personal/non registered business account created before March 2021 is affected and will not be able to receive payments or hold a balance after February 2022.

Edited November 6, 2021 by Ohyesuare

[Isan Farang]

20 minutes ago, Ohyesuare said:

If you read the terms linked in the first post, any personal/non registered business account created before March 2021 is affected and will not be able to receive payments or hold a balance after February 2022.

I have had a personal PP account here for many years and no one from PP has informed me my account will be closed on Feb 22, do you have a link to the statment from PP ?

After reading this info i will call them on Monday and find out what is going on regarding this closure date.

[Etaoin Shrdlu]

17 minutes ago, Isan Farang said:

I have had a personal PP account here for many years and no one from PP has informed me my account will be closed on Feb 22, do you have a link to the statment from PP ?

After reading this info i will call them on Monday and find out what is going on regarding this closure date.

It does not look like PP will be closing existing accounts, but rather moving them onshore to PP Thailand. As an onshore entity, PP Thailand will have to comply with Thai VAT, AMLO and financial institution regulations.

 

I'm not sure which set of regulations is driving the prohibition on individual accounts maintaining a balance or payment to individual bank accounts. It could be banking regulations, AMLO regulations, PP Thailand not wanting to go through the KYC process for individuals or something else.

 

 

[Ohyesuare]

23 minutes ago, Etaoin Shrdlu said:

I'm not sure which set of regulations is driving the prohibition on individual accounts maintaining a balance or payment to individual bank accounts. 

This one: https://www.bot.or.th/English/PressandSpeeches/Press/2020/Pages/n3563.aspx

[Ohyesuare]

50 minutes ago, Isan Farang said:

I have had a personal PP account here for many years and no one from PP has informed me my account will be closed on Feb 22, do you have a link to the statment from PP ?

After reading this info i will call them on Monday and find out what is going on regarding this closure date.

It's quoted in the first post but you can see yourself from this link: https://www.paypal.com/th/webapps/mpp/thailand-relaunch-faq

 

Note, holders of PayPal personal accounts or business accounts that are not registered business in Thailand will not be able to receive payments or hold a PayPal balance in PayPal Thailand.

 

Will there be changes to my account after the relaunch of PayPal Thailand?

Yes, there will be some changes. * See details below:

PayPal personal accounts will not be able to hold a balance or withdraw funds.

 

[Isan Farang]

10 hours ago, Ohyesuare said:

It's quoted in the first post but you can see yourself from this link: https://www.paypal.com/th/webapps/mpp/thailand-relaunch-faq

 

Note, holders of PayPal personal accounts or business accounts that are not registered business in Thailand will not be able to receive payments or hold a PayPal balance in PayPal Thailand.

 

Will there be changes to my account after the relaunch of PayPal Thailand?

Yes, there will be some changes. * See details below:

PayPal personal accounts will not be able to hold a balance or withdraw funds.

 

After going to the PP site its bad news unless you register and are accepted under all the new conditions. 

 

I was going to ask if there is any other option with some other company but i am guessing Thailand will have this new rules applied to all these type of services. 

 

I have an account with HSBC Jersey  and wondering if i could open a new account with PP and use my daughters address in the UK 

 

 

 

 

 

 

[Pravda]

Thailand can go F itself. This is another anti money laundering <deleted> that will have no effect on total and complete corruption in this country. I remember 6 years ago how much trouble I had opening a bank account just to deposit 400k for my marriage visa.

 

However when going through PayPal link, I only see that some type of re-verification will be required for personal accounts?

[Isan Farang]

9 minutes ago, Pravda said:

Thailand can go F itself. This is another anti money laundering <deleted> that will have no effect on total and complete corruption in this country. I remember 6 years ago how much trouble I had opening a bank account just to deposit 400k for my marriage visa.

 

However when going through PayPal link, I only see that some type of re-verification will be required for personal accounts?

As per the PP site they quote the following

 

Yes, there will be some changes. * See details below:

Bank withdrawals

• Only businesses registered in Thailand can withdraw funds from PayPal Thailand accounts and withdrawals must be made to Thai bank accounts in THB. Linked Thai bank accounts must be registered to the same business as the PayPal business account. Withdrawals to U.S. bank accounts will not be available.
  
  PayPal personal accounts will not be able to hold a balance or withdraw funds.

[Pravda]

15 minutes ago, Isan Farang said:

As per the PP site they quote the following

 

Yes, there will be some changes. * See details below:

Bank withdrawals

• Only businesses registered in Thailand can withdraw funds from PayPal Thailand accounts and withdrawals must be made to Thai bank accounts in THB. Linked Thai bank accounts must be registered to the same business as the PayPal business account. Withdrawals to U.S. bank accounts will not be available.
  
  PayPal personal accounts will not be able to hold a balance or withdraw funds.

What a bunch of cr@p 

 

I have this stinking filling something will happen with wise soon.

 

????

Edited November 7, 2021 by Pravda

[cmsally]

https://www.dailynews.co.th/news/449244/

 

If you read Thai this is a little clearer. Only registered businesses can use PayPal , both linked bank acct and PayPal acct. have to use the business name (not personal name).

[cmsally]

Could Xoom provide a possible workaround, but even if it does it seems that one door shuts after another. You really do have to be one step ahead of the game.

[Isan Farang]

1 hour ago, cmsally said:

Could Xoom provide a possible workaround, but even if it does it seems that one door shuts after another. You really do have to be one step ahead of the game.

Zoom is a service from Pay Pal you can log in with your normal PP account, can you explain how this Zoom can be a possible walkaround ?

[cmsally]

5 minutes ago, Isan Farang said:

Zoom is a service from Pay Pal you can log in with your normal PP account, can you explain how this Zoom can be a possible walkaround ?

I am not sure but someone mentioned on another forum that they could use Xoom to withdraw to a bank acct in a country that didn't support PayPal. Not sure of the details will try and find out.

[Liverpool Lou]

17 hours ago, Ohyesuare said:

18 hours ago, Liverpool Lou said:

That's right, existing personal PP accouunts with a Thailand/Thai bank connection are not affected.

If you read the terms linked in the first post, any personal/non registered business account created before March 2021 is affected and will not be able to receive payments or hold a balance after February 2022.

 

Thanks for correcting my understanding but your comment is not correct either. 

 

"...any personal ... account created before March 2021 is affected and will not be able to receive payments or hold a balance after February 2022".

That is false.  According to that link, existing accounts will continue to be valid as long as they as they are verified.  It does not state that "existing accounts will not be able to receive payments or hold a balance after February 2022".

[khunPer]

21 hours ago, simon43 said:

This KYC requirement is really messing up us free-spirits....

Probably because some "free-spirits" are those not paying tax, or whitewashing something...????

[bondjames007]

1 hour ago, Liverpool Lou said:

 

Thanks for correcting my understanding but your comment is not correct either. 

 

"...any personal ... account created before March 2021 is affected and will not be able to receive payments or hold a balance after February 2022".

That is false.  According to that link, existing accounts will continue to be valid as long as they as they are verified.  It does not state that "existing accounts will not be able to receive payments or hold a balance after February 2022".

That's how I understoond,  after reading the daily news article.

 

  "For old users who apply for an account before 7 March 2021 , identity verification will be required. and accept the new terms of PayPal Thailand as well.... สามารถติดตามต่อได้ที่ : https://www.dailynews.co.th/news/449244/

[Caldera]

20 hours ago, Ohyesuare said:

If you read the terms linked in the first post, any personal/non registered business account created before March 2021 is affected and will not be able to receive payments or hold a balance after February 2022.

That's how I'm reading it, too. Effectively, you can from then on use PayPal only to make payments, with a linked debit or credit card.

 

Coincidentally, that's the only thing I'm currently using my Thai PayPal account for. But I obviously don't like this change; in the past I've occasionally received payments and would like to continue to have that option. 

[Ohyesuare]

2 hours ago, Liverpool Lou said:

 

Thanks for correcting my understanding but your comment is not correct either. 

 

"...any personal ... account created before March 2021 is affected and will not be able to receive payments or hold a balance after February 2022".

That is false.  According to that link, existing accounts will continue to be valid as long as they as they are verified.  It does not state that "existing accounts will not be able to receive payments or hold a balance after February 2022".

Wow, carry on believing what you wish to be true but I literally quoted you two direct statements from PayPal's own site that specifically says that existing personal or unregistered business accounts that have not gone through the KYB process created before March 2021 will NOT be able to hold a balance or receive payments after February 2022.

 

Yes if they are verified, personal and unregistered accounts that have not gone through the KYB process will still be "valid" and automatically converted to the NEW PayPal Thailand which basically only lets you shop at stores that accept PayPal. That's what the link, again from PAYPAL's own site, says.

 

If you want yet another source that you will not read and ignore and continue to believe what you want regardless, https://www.dailynews.co.th/news/449244/ literally says at the top: The end of the freelance line? Paypal Thailand has released a new policy. People can't 'suspend money'.... "Paypal Thailand releases new policy for general users, no longer able to 'hold money' in their accounts...."

 

Keep believing what you wish and good luck with your account after February 2022.

[Ohyesuare]

3 minutes ago, Caldera said:

That's how I'm reading it, too. Effectively, you can from then on use PayPal only to make payments, with a linked debit or credit card.

 

Coincidentally, that's the only thing I'm currently using my Thai PayPal account for. But I obviously don't like this change; in the past I've occasionally received payments and would like to continue to have that option. 

Credit card only actually, no debit cards if it's a personal or non registered business account.

[orchidfan]

Slightly diverging from Thailand,  but my PayPal account in Hong Kong,  linked to a big Hong Kong bank (many years) has suddenly required that an OTP be sent to my (HK) phone or registered email, before the account can be accessed , and money withdrawn or transferred. 

This is new. Never required before. 

But luckily it's not used much.  

[matador007]

Recommend you guys get up to speed with accepting Crypto for payments, and otherwise exchanging and using them to pay for things.
There are ways to do things without KYC, although some "processors" require KYC.
Beyond that its clear sailing once you know what your doing.

[Liverpool Lou]

1 hour ago, Ohyesuare said:

4 hours ago, Liverpool Lou said:

 

Thanks for correcting my understanding but your comment is not correct either. 

 

"...any personal ... account created before March 2021 is affected and will not be able to receive payments or hold a balance after February 2022".

That is false.  According to that link, existing accounts will continue to be valid as long as they as they are verified.  It does not state that "existing accounts will not be able to receive payments or hold a balance after February 2022".

Expand  

Wow, carry on believing what you wish to be true but I literally quoted you two direct statements from PayPal's own site that specifically says that existing personal or unregistered business accounts that have not gone through the KYB process created before March 2021 will NOT be able to hold a balance or receive payments after February 2022.

Wow.  I quoted PayPal also!  And what I quoted is, essentially, what you said!

[Chad3000]

I hate everything about PayPal. Just wanted to say that. Not being trollish it's a deep seated loathing for theft, greed and indifference.

[Caldera]

2 hours ago, Ohyesuare said:

Credit card only actually, no debit cards if it's a personal or non registered business account.

Is that an upcoming change, too? As of now, it works fine with Kasikorn Bank's web shopping card, which isn't even a proper debit card. I could use a credit card, but then it won't be worthwhile for me anymore, because I could just use the web shopping card which merchants directly, with very little risk. So any additional protection PayPal might offer me as a buyer has to be weighed against letting them access my actual credit cards. I think I'd pass.