India Suspends Payments 2010

Location independent workers, who live and work anywhere had another problem added to the queue today.

My morning started:
Boy Genius from India, chief coder for bangs me with a chat message the minute my computer connected with Yahoo Messenger.

“Everything is a problem in this country” (India)
PayPal: India payments suspended for 'at least a few months'

PayPal said a ban on personal transactions to and from India will continue for “at least a few months” while the online payment service tries to resolve a problem with local regulators.”

Sosua, Dominican Republic --- Wednesday, February 10, 2010
By Andy Graham of
Travel Gear |  | Top Travel Site

Payroll Problems
If you have never felt the pains of payroll problems, then you probably are not an entrepreneur. General Motor received the bailout from the U.S. Government because all the big players knew that if GM workers did not receive their money, if they missed payroll, the government of the USA could collapse. This was a payroll problem, a loss of confidence situation. One money problem and workers can quit, it is all about making workers feel secure, safe and financially secure. Employee System
Here is an oversimplified explanation of the process of hiring a worker.

1. Advertise for Workers in India
2. Online Job Application Completed
3. Test Sent
4. Reviewed by Andy
5. Test Email Sent
6. Call the worker with

7. Send Agreement Letter
8. Worker Starts Working.
9. End of month comes.
10. Payment sent to worker by or Western Union.

Developing Internet Work Systems
Boy Genius has been working for me for over five years, I think maybe seven. I hired him when I was in Goa, India. I went searching around for PHP Coder in the Internet Cafes. I wanted a workers who lived in an area of India I would not mind visiting.

The Job Application with a control panel on the back was set up maybe four years ago, and daily people fill out Job Applications.

Biggest Mistake of US Employers
This is not easy; it takes tons of patience and persistence to work location independent. I would say the biggest mistake Entrepreneur make is paying people too much. The whole goal is to leverage the lower pay in underdeveloped countries into developed countries profits. Staff has employed up to five workers part-time. Our first big attempt failed because of investor problems two years ago. We are now trying again with a more compartmentalized internal management system and have hired a girl PHP worker from Egypt who speaks Arabic as her first language.

India Workers
There are workers in India fishing for naïve American employers who are willing to pay five times the monthly India wage. There is a never-ending series of comments by India Workers as they request their salary. 80 percent of the time, they want USA wages, saying something like,
“This is what the USA pays.”
I say,
“If I was going to pay that, I would hire a USA worker.”

Wage Guidelines
Generally, the salary of an overseas worker is:

U.S.A. Dollars
1. 5-10 USD per day
2. 150-600 per month

There is no hourly wage, truly an Americanism, nothing to do with 80 percent of the real planet earth, if you are paying by the hour, I would say you are having problems.

Real Problems
Fun stuff, and if you want to have real problems, have shut off the payroll work on projects can come to a stop until workers feel safe again.

Communication Advancements
The Verizon Smartphone I have with Global Internet access has made management of India workers 10 times simpler. (Disclosure) India Suspends Payments 2010


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What a pain. My website is hosted in India. From reading your article this is coming about because people are trying to use paypal to send remittances to India. This is not what paypal was setup to do. So, once again because a few people are trying to scam the system we now all have to suffer. I hope this blows over quickly because I don't want to use Western Union.

Thats going to hurt a lot of people. I was looking at hiring a freelancer for a couple of small projects from India, but this adds a big headache to it.

Paying too much is pivotal problem with the USA and World Economy here in the year 2009 and 2010. Workers get paid to much, people pay too much for products, the USA is an inflated bubble. Now we are spreading this mentality around the planet.

I don't get it, you make a good salary, yet live in the dumpiest places you can find that aren't completely uninhabitable, and gripe about the conditions and the locals frequently then move to temporarily free yourself from the annoyances of living in the uncivilized world until you realize you moved to another dump.

You could move to the United States and free yourself from having to do laundry by hand (or foot as is the case), not have to deal with corrupt locals (assuming you choose to live somewhere not completely ghetto), etc, etc.

Instead of having a day with nothing better to do than figure out how to cook beans with a couple of cans, some twigs, and ground beef drippings, you could be working in an air-conditioned office with likeable people whom you could go out with from time-to-time.

Granted, there would be a whole audience who would miss reading about your rather unique misfortunes and clever make-do lashups.

What is your motivation? Having a steady pay check, a forty hour work week, and being surrounded by some of the most educated people in the world is not very exciting, but is traveling to rough spots of the world never a little too exciting?

Long Time Lurker, I live a life of luxury. I do not live in dumps.

I write travel tips to explain how to manage a problem, one problem that resembles a dump does not make the whole hotel a dump, this is your tranference of opinion to unrelated things.

I made a toaster to explain how to have a toaster when one is not supplied.
My room is GREAT, truly a nice room, but they do not supply a toaster.

it is your image in your mind that needs adjusted, I live better than the people in five star hotels because I know how to manage the annoying things lacking in hotels.

A new fact about Pay Pal :
I applied for a charity account with Pay pal because its free and supported by vbulletin software for payment subscription, I have all the documents like NGO Registration certificate, Memorandum of Society, Society PAN card, and the Bank details , bank details were verified by the Pay Pal by depositing amount of Rs. 2 and 40 paisa, after submitting all the document as per said in their website and in their emails, they again asked me for a authorization letter from our Society members on the letter head of the Society, I submitted it as per they said, but after completing all the formalities they denied me for the account, just because they have no tie-up with India regarding charity account, what the hell is this, why the pay pal people should not mention at the time sign up process. I have wasted around 1000/- rs in doing fax to pay pal and after 4-5 days they denied. Now I have no other option left, so I signed with ccavenue, but the cost of basic signup is around 8500/- and the per annum fee is Rs 1500/- after tax, I think PayPal is playing with Indian customers, We wrote a letter against this to the Reserve Bank of India, and also file a RTI to know the working of PayPal in India, after searching on the Internet we also found that PAYPAL is run by ebay, and found tons of complaints against ebay , after collecting data of ebay customers, we called them personally and found a big scam, we are planning to file a Public Interest litigation, against HomeShop 18, IndiaTimes Shopping, Ebay, AVA etc,
Don't apply for a charity account with pay pal if you are living in India. Just wastage of time and money.

Paypal India Update:

With effect from 1 March 2011
1) Any balance in and all future payments into your PayPal account may not be used to buy goods or services and must be transferred to your bank account in India within 7 days from the receipt of confirmation from the buyer in respect of the goods or services.

2) Export-related payments for goods and services into your PayPal account may not exceed US$500 per transaction.

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