I heard that nation Hela suspended PayPal™ payments soon after being well received by most Kenyans. I wouldn’t say I saw that coming but if this was their first time dealing with PayPal, then they have a lot to learn. First, it’s good to point out that there are many ways that one can withdraw money from PayPal™ in Kenya but most people have no idea such methods exist, are too afraid to try or are just lazy.  Some like Payoneer are completely legit while others like Freelancer will require a bit of creativity but you can still use them without any fear. You can even use them to start your own business of processing money for other Kenyans, especially freelance entrepreneurs.


 But why don’t those people in the know try out this lucrative business?


 You are asking the wrong question my friend. You should be asking,

“Why does PayPal™ Restrict withdrawals to Kenyan banks?” 

Without the answer to this question, you can start the same business the likes of Nation Hela started and close within a month – and this has nothing to do with profits.

Have you heard people talk about money laundering? If you have never paid attention, now you should because it has a lot to do with why you cannot withdraw money from your PayPal™ account but that’s a story for another day. 

Back to processing funds in people’s PayPal™ accounts. If you start doing it today, you wouldn’t last long before funds are frozen in your PayPal account. This happens because although it is a secure method of money transfer there are major loopholes outside the system, which can be used to obtain funds fraudulently.  This normally happens where banks do not have stringent security measures (and we’ve heard stories about our Kenyan banks and people’s money disappearing). 

Below is a demonstration (Read his story here)

There is a Kenyan guy who had managed to fool the PayPal systems withdrawing over $1000 from peoples bank accounts back in September 2011.  According to him, he obtained card details (Visa) of customers at Barclays bank then proceeded to create freelancer accounts with them (he also Googled the owner’s address / telephone number or just guessed them ). So he would deposit money into the freelancer accounts directly from the owner’s bank account via PayPal.  Of course, that money would be paid to other freelancer accounts for ‘projects’ completed. His trick was discovered of course and that’s when PayPal/freelancer scrapped the option of paying for purchases as a guest without actually signing up and verifying one’s account.>>Get Laid!!<<

Away from the banks, our very own M-pesa system though secure also has its weaknesses, which some wise crooks have already exploited and enriched themselves.  You have heard of m-pesa agents who have lost their entire “Float” after receiving calls from purported Safaricom customer care agents. And what does Safaricom do?  They read the conned M-pesa agent their TOS. 

With such loopholes in our banking systems and other money transfer options, PayPal is not likely to permit local withdrawals.  For those industrious enough to start their own businesses of processing PayPal™ payments, you are likely to go the Nation Hela way sooner than you thought. Remember, they are not just after Kenyans because they keep freezing people’s accounts all over the world including the US.

Oh, here is a list of reasons why PayPal™ freezes accounts. Some might appear exaggerated but until your account is frozen, you might think they are bedtime stories for young kids.

If you think otherwise, try to answer this question:

Why has E-pay opted for their withdrawals to be made by buying web hosting packages instead of normal withdrawal?