PayPal Currency Conversion Rates For Withdrawal to Malaysian Visa Cards

When PayPal began to allow Malaysians to withdraw PayPal funds back in early October 2007, the currency withdrawn to our Visa Debit Card or Credit Card was as it is. For example, if our PayPal balance to be withdrawn was in USD, that was the same exact currency and amount withdrawn to our Visa cards after deducting USD 5 per transaction. Visa does the currency conversion from USD to Ringgit Malaysia upon deposit.

Now, compare the 2 screen shots below.

Figure 1: PayPal funds withdrawal to Visa Electron in October 2007

The screen shot above was taken during my first withdrawal in early October 2007.  In the screen shot below taken today, it stated the funds will be withdrawn in MYR (Malaysian Ringgit or Ringgit Malaysia). Notice the difference between the two?

Figure 2: PayPal Converts USD to RM First Before Transfer to Visa Electron

This means PayPal is not giving Visa any chance to earn from currency conversion! Many have complained the conversion rates offered by PayPal are lower than retail rates. But I guess we have to bear with PayPal for now.

12 Responses to “PayPal Currency Conversion Rates For Withdrawal to Malaysian Visa Cards”

  1. Few days ago, i withdrew funds from my paypal account. And the currency I am getting is in RM. It said “You have sent RM XX MYR to Credit Card with PayPal.

    And i withdrew again just now, this time is in US currency. It said “You have sent $XXX USD to Credit Card with PayPal.”

    If the 2nd withdrawal is what i will receive, that’s great!! Hopefully I will get the rate provided by VISA and not by Paypal.

  2. Besides that, the figure 2 is what I saw “your funds will be withdrawn in MYR” when i did my first withdrawal.

    And the 2nd withdrawal, which i just did, showed exactly what the figure 1 showed. It did not state “your funds will be withdrawn in MYR”.

  3. Hi Canny. Thank you for sharing with us!

    Did you receive your first withdrawal which you commented here?

  4. Yeap!! Received. I have updated there.

  5. I received my another withdrawal yesterday. Guess what… It’s the rate provided by VISA at RM3.45. I am so happy with it. No more conversion to RM made by Paypal.

    However, still no news on 30th Sept’s withdrawal.

  6. Hello!!

    How to verify Paypal account?? Use what card? Debit card can?

    =============
    Hi there. You can use almost any card which can be used on the Internet. Public Bank Visa Electron will work. When you log into your PayPal account, there is a link to verify your account. Click on that and proceed with verification where USD 1.95 will be transferred from your card to your PayPal account. When you receive you card statement, enter the given 4 digit number into your PayPal account to complete the verification process.

  7. Help. I have received funds from a US creditcard and I was supposed to get USD432 but they took off USD16.50 for cross-border transactions.

    I have a Malaysian Paypal account. Do you guys get charged to receive Paypal payments???

    ==============
    Malcolm:

    Hi there.
    There are charges when you received payments through PayPal. Check my post on PayPal transaction fees here.

  8. Thanks for enlighting me. I didn’t realise that. But what I know is that my latest withdrawal was quite high, thanks to the upgoing USD exchange rate. Usually USD500 gives me something like RM1.4k plus. The previous one, it went to RM1.7k plus!

    ===========
    Malcolm:

    It is my pleasure. I just need to find more time to blog regularly. Keep up your good work earning PayPal funds!

  9. How do you withdraw the money/cash out from your credit card?

  10. Hi Arowana. You can use the ATM machines but you will definitely be charge cash advance fee by your issuing bank.

  11. hi there
    im in the UK and someone from Malaysia is about to pay me money through paypal
    how much is the transaction fee for this?
    thanks!

  12. Hi Nurul. If your PayPal account is registered under “UK”, then cross border transaction fees apply. I recommend you read the relevant post here.

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