Pakistan and Paypal: an unofficial FAQ

What is paypal?

Paypal is an Internet payment system for sending and receiving money between individuals and businesses. It is the most widely used online payment system.

Is paypal available in Pakistan?

Paypal does not support Pakistani users.

Why make this FAQ then?

I made this FAQ because paypal is very important on the Internet. It is the largest payment processor for online business but its real forte is in person to person transactions. Paypal is widely used by rich buyers of goods and services in the US and Europe. Not being able to accept paypal in exchange for goods and services is a deal breaker. That is why a lot of Pakistanis who want to do business online want to know about paypal.

What if I try to create a paypal account with false information?

It is trivial for paypal to ascertain your true geographical location. Read about how it may be doing that.

Once paypal knows your true location it may limit or freeze your account. Usually this happens right after you receive your first payment into your paypal account. So BEWARE! You might loose money!

Remember just because you were able to sign up for paypal with false info doesn't mean that you have succeeded in getting a paypal account.

How could paypal know my true location?

Paypal could be using your IP address to ascertain your true geographical location or whether your using an anonymizing proxy. Internet Protocol (IP) address is a unique number given to each computer that is connected to the Internet. There are whole companies dedicated to maintaining accurate databases of IP address to geographical location mappings as well as lists of IP addresses of proxy servers. Companies like maxmind for example.

Paypal has a business interest in ensuring compliance to its Terms Of Service (TOS) so it probably makes use of the services of such companies to identify the true location of users.

What if I use an anonymizing proxy?

Paypal Terms Of Service does not allow users using anonymizing proxies to make or use paypal accounts. You will be able to create and access your paypal account but the use of a proxy may be detected and your account may be limited or frozen.

What is account limiting?

This is when paypal freezes the money in your account. You won't be allowed to send or withdraw the money in your account.

What countries does paypal support?

Check out the full list of paypal approved countries.

Paypal fully supports just 45 countries. For a lot of countries paypal has some absurd support levels. For example people in some countries can send and receive money but not withdraw it.

Can you help me get a paypal account?

No. I don't have a paypal account myself. I can't get you one. However you may be able to accept paypal via third party payment processors.

Why does paypal not support pakistan?

Paypal does not specify a reason.

Is it because <insert rumour here>?

No. Unless you work for paypal you don't know why it doesn't support Pakistan. Don't speculate. Don't fall for those who do speculate or try to spin tall tales for their own agenda.

Is there any other way I can accept paypal ? 

Yes, you can accept paypal with the help of third party payment processors. However there are various costs associated with this and its only practical for someone who is thinking long term. 

What alternatives exist to paypal?

Truthfully there is no real alternative to paypal for person to person transactions simply because paypal is widely used by buyers in rich countries. However if you can convince the buyer to pay you via alternative methods then you have a lot of options.

Moneybookers for instance is a payment method a lot like paypal except it supports Pakistan. 

Traditional payment methods like western union or bank to bank wire transfer are also options for transactions of larger amounts.

If you have any additional questions that you would like to see answered please comment below.