Rajandran R Telecom Engineer turned Full-time Derivative Trader. Mostly Trading Nifty, Banknifty, USDINR and High Liquid Stock Derivatives. Trading the Markets Since 2006 onwards. Using Market Profile and Orderflow for more than a decade. Designed and published 100+ open source trading systems on various trading tools. Strongly believe that market understanding and robust trading frameworks are the key to the trading success. Writing about Markets, Trading System Design, Market Sentiment, Trading Softwares & Trading Nuances since 2007 onwards. Author of Marketcalls.in and Co-Creator of Algomojo (Algorithmic Trading Platform for DIY Traders)

Converting your Credit into money using Paypal

1 min read

Here is a question about paypal and converting the credit limits into money, which iam struggling to find out a possible solution for the past few days.

As per my knowledge it is possible to transfer money from credit card linked with your paypal account to your friends paypal account and he can withdraw the money to his Bank account linked with Paypal in 2-5 days.

But If i transfer my money to one of my friend holding paypal account(linked to bank account) let say 100$ from my credit card linked paypal account. Once he recived the money in his paypal(i.e the next instant i paid to him) he will withdraw the money to his bank account and this takes normally 2-5days to get credited in his bank account. And if there is a mutual agreement between me and my friend to pay back my money one the amount got credited in his bank account in cash

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If someone has 1lakh Credit card limit then he can rotate his money. He can spend Rs50,000 to buy his goods/services and with rest of the credit limit(i.e Rs50,000 credit) he can convert it into paypal this will cost him interest rate charges for the money receiver(i.e 2.5%) and this converted money can be used to repay the money spent on Goods/Services. One can rotate the money every month just by paying the interest rates alone. Also one can rotate the money by using multiple credit cards which is quite possible in india.

My Question is … Is this case legal. If yes it means once can convert his credit card limit into cash within few days also the interest rates should be very low(2.5% of the totally transfered money) which will be helpful in case of any emergency.

Need your views and feedback on this.

Rajandran R Telecom Engineer turned Full-time Derivative Trader. Mostly Trading Nifty, Banknifty, USDINR and High Liquid Stock Derivatives. Trading the Markets Since 2006 onwards. Using Market Profile and Orderflow for more than a decade. Designed and published 100+ open source trading systems on various trading tools. Strongly believe that market understanding and robust trading frameworks are the key to the trading success. Writing about Markets, Trading System Design, Market Sentiment, Trading Softwares & Trading Nuances since 2007 onwards. Author of Marketcalls.in and Co-Creator of Algomojo (Algorithmic Trading Platform for DIY Traders)

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2 Replies to “Converting your Credit into money using Paypal”

  1. Hi
    If this works them enjoy spend repay spend repay cntinue cycle

    just have to bare cost of interest rate

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