So I have come across this a few times and it was really unsettling that people actually think amazon balance, or PayPal money isnt real money or these 'digital' dollars arent worth the same as real dollars.
Now the first deduction is that the people who believe this to be true have never stepped out of Pakistan or else they would have known how the real world works.
So let me try and explain something which a lot of people will probably understand who have had an exposure to banking outside of this country. The banking system in this country is crap because we are a third world country where the entire population doesnt even have ID cards or registered addresses or any concept of a post code or social security numbers. What this means is that there is no authentic method of a credit check and banks can only check against your pay slips or property ownerships or utility bills. Which is the reason PayPal hasnt and most probably will never come to Pakistan.
This has caused additional damage. What do I mean by that. A lot of talented and hard working Pakistani people have masha Allah made a lot of money over the years doing free lance work online, Web design, graphic design mturks and whatnot. This is amazing as this shows the potential and talent of this country. Now the sad part, most of these people do not have a reliable method of getting their hard earned cash to Pakistan, because obviously we do not have PayPal and also because international banks do not like ours so they wont just wire the money to us for their own reasons. So these people end up selling their earned monies be it PayPal dollars or amazon balance to people in Pakistan who might need it and they have sold it for a much lower value than what they actually are worth. Around 85-95rs a dollar when the open market rate is 104.5rs. This is preposterous. They want to sell their dollars for that much? Fine. But what this has caused is a false pretence among individuals that this money is somehow always magically worth less than the actual open market rates. Im sorry why?
Lets look at it this way. You have a job, you make 50k rupees a month and I come to you one day and offer to sell you dollars and I say to you that I will sell my dollars to you at about 10rs more than the open market rates because your money, which you have earned it is not worth the same as other rupees because some other guy who makes it in Nepal buys dollars from me at this rate. How would that make you feel?
Im just trying to educate people here. So let me explain how PayPal actually works and why PayPal dollars are real dollars. In developed countries and some developing countries, PayPal is a service you use to send and receive money with. Its popular because it skips the effort of inputting your card details every time you make a purchase and giving your card details to every other site you buy something from. It gets connected to your bank account where your REAL money rests and you pay for items or services with that REAL money when you use PayPal as it withdraws funds from your account. You add that REAL money by doing jobs or freelance work or whatever. That is why PayPal money or amazon balance is REAL money worth exactly the same as other dollars in cash.
So when someone like me who puts real money into their PayPal account and is willing to sell it, I would obviously sell it for a higher price than the exchange rate because thats what that money is worth and obviously I want my commission. I have no problems with people selling it for less and I dont expect people buying from me when they can get it cheaper elsewhere, I would too. All I am saying is that at least have the knowledge before you pass judgements how these 'virtual dollars are always worth less'.
Now the first deduction is that the people who believe this to be true have never stepped out of Pakistan or else they would have known how the real world works.
So let me try and explain something which a lot of people will probably understand who have had an exposure to banking outside of this country. The banking system in this country is crap because we are a third world country where the entire population doesnt even have ID cards or registered addresses or any concept of a post code or social security numbers. What this means is that there is no authentic method of a credit check and banks can only check against your pay slips or property ownerships or utility bills. Which is the reason PayPal hasnt and most probably will never come to Pakistan.
This has caused additional damage. What do I mean by that. A lot of talented and hard working Pakistani people have masha Allah made a lot of money over the years doing free lance work online, Web design, graphic design mturks and whatnot. This is amazing as this shows the potential and talent of this country. Now the sad part, most of these people do not have a reliable method of getting their hard earned cash to Pakistan, because obviously we do not have PayPal and also because international banks do not like ours so they wont just wire the money to us for their own reasons. So these people end up selling their earned monies be it PayPal dollars or amazon balance to people in Pakistan who might need it and they have sold it for a much lower value than what they actually are worth. Around 85-95rs a dollar when the open market rate is 104.5rs. This is preposterous. They want to sell their dollars for that much? Fine. But what this has caused is a false pretence among individuals that this money is somehow always magically worth less than the actual open market rates. Im sorry why?
Lets look at it this way. You have a job, you make 50k rupees a month and I come to you one day and offer to sell you dollars and I say to you that I will sell my dollars to you at about 10rs more than the open market rates because your money, which you have earned it is not worth the same as other rupees because some other guy who makes it in Nepal buys dollars from me at this rate. How would that make you feel?
Im just trying to educate people here. So let me explain how PayPal actually works and why PayPal dollars are real dollars. In developed countries and some developing countries, PayPal is a service you use to send and receive money with. Its popular because it skips the effort of inputting your card details every time you make a purchase and giving your card details to every other site you buy something from. It gets connected to your bank account where your REAL money rests and you pay for items or services with that REAL money when you use PayPal as it withdraws funds from your account. You add that REAL money by doing jobs or freelance work or whatever. That is why PayPal money or amazon balance is REAL money worth exactly the same as other dollars in cash.
So when someone like me who puts real money into their PayPal account and is willing to sell it, I would obviously sell it for a higher price than the exchange rate because thats what that money is worth and obviously I want my commission. I have no problems with people selling it for less and I dont expect people buying from me when they can get it cheaper elsewhere, I would too. All I am saying is that at least have the knowledge before you pass judgements how these 'virtual dollars are always worth less'.
