Some of Malaysian Paypal user may have received an email from Paypal regarding changes on Paypal policy. Among the changes are, Malaysian Ringgit is now one of the holding currencies in Paypal. However it is only restricted to Malaysian user. Paypal finally manage to obtain Bank Negara Malaysia approval to allow Malaysian Ringgit as one of holding currencies in Paypal. Together with Malaysian Ringgit, Paypal also includes Philipino Peso, Taiwanese Dollar, Thai Baht, Argentinean Peso and Brazilian Reals as holding currencies.
One of the most exited changes for Malaysian Paypal user is, now they are allow to withdraw Paypal fund to their local bank account (Malaysian Bank). This is the most wanted Paypal features by Malaysian. Not just Malaysian will enjoy local bank account withdrawal, user from Vietnam, Argentina and Brazil are now eligible too.
With this new withdrawal option, Malaysian now will have 3 options to withdraw their Paypal fund namely, US Bank account, VISA card & now local bank account. As previously, US Bank account withdrawal is still free but VISA card withdrawal fee is now increase to RM20 per withdrawal instead of USD5 previously. The USD500 limit per day is still taking place. The fees related to local bank withdrawal is below.
At the time of writing, local bank account withdrawal is still not enable.
Unfortunately, there is one new feature that might not be good for Malaysian is that, Paypal will only allow Malaysian to exchange Paypal fund with other Malaysian in Malaysian Ringgit. With this new rule, Malaysian who exchange Paypal fund may suffer loose from currency exchange fees that is 2.5% per exchange.
You can read the full policy here.