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Xoom ends money remittance via Paypal

In a recent announcement made last week, Xoom has finally ceased accepting Paypal-funded transactions to the Philippines.

This was made in effect last March 25, 2010. Xoom did not clarify why it has stopped supporting Paypal as source of funds for transfer.

It has, however, indicated that Xoom money transfers are still supported using a United States bank account, debit card or credit card.

Before Paypal officially supported bank withdrawals in the Philippines, Xoom was the easiest and most effective way of getting funds from Paypal accounts.

Update: According to the comments left below by Xoom CSR and the discussion in the Xoom blog, remittances to the Philippines will only be accepted by Xoom using a US-based payment source. This special treatment for Philippine transactions could be an indication that we’re categorized under “high-risk” for fraud. No big surprise there.

Abe is the founder and Editor-in-Chief of YugaTech. You Can follow him on Twitter @abeolandres.

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45 Responses

  1. Many people are asking why we no longer accept non-US funding for transactions to the Philippines. Xoom is in the remittance business with a focus on friends and family money transfers. Xoom is not in the commercial business where money is sent for goods or services. As such, Xoom cannot certify the quality of merchants. Unfortunately, some (not all) commercial merchants are unprofessional or even fraudulent. Our customers who send money to poor quality or fraudulent merchants have a very bad experience. The best way for Xoom to protect these customers is to simply stop the business. If you want a commercial service, it is best to use a service that focuses on commercial and has a process for certifying merchants. PayPal, for example, is in this business and is very effective at managing merchant quality. We realize this decision will impact our customer base and we apologize for the inconvenience we have caused.

    Please see our Blog Post for further information: http://blog.xoom.com/2010/03/why-xoom-ended-use-of-paypal-as-payment.html

  2. jun says:

    how sad.. almost all our transaction are thru paypal to xoom.. hope you guys will return this..

  3. waaaaaaaaaahhh…… :( paanu na….

  4. yuga says:

    @Xoom CSR – why is the Philippines getting special attention?

  5. jun says:

    malabo paren kasi yung reason.. pero im sure dahil yan sa mga fraudelent transaction.. siguro yung ibang pinoy na walang magawa eh.. nag hack ng paypal account.. tapos sine send thru xoom.. hays..

  6. To Xoom, time to hire a Community Management team to handle online responses. CSRs and canned-responses are not for online community purposes. Check below:


    On their blog, Dave S. left this comment:
    “Why is the Philippines treated differently? I’ve been using Xoom to send money to my wife’s family there for over four years and now will no longer be able to do so.”

    The answer he got from “Matthew N.” from Xoom Customer Service is:
    “Xoom is in the remittance business with a focus on friends and family money transfers. Xoom is not in the commercial business where money is sent for goods or services.”

    Am I missing something here? Was there a conversation outside of their Blogger comment thread, and Xoom was able to confirm that Dave’s method of sending money to “his wife’s family” is “business” style?

    If this is their choice of reply to their legitimate customer who does exactly what their canned-response says their business is all about, then clearly the decision for the Philippines was a quick one. Or they just didn’t bother writing a separate canned-response for their legitimate customers who were affected like Dave S.

    Very sad. In fairness, we can not blame them for this decision. (Although they really have to hire CMs.)

  7. lolipown says:

    Which other countries are branded as high risk?

  8. jun says:

    i think india ata..

  9. What other methods of nonUS were used to send to the Philippines, I thought sending from a PH paypal to Xoom didnt work before since thats not really a remittance. It has to be from outside the country. Now you can only send from US?

    What about if you use a Virtual Debit Card from your PayPal account? Does that work? :)

  10. Marty says:

    BOYCOTT Xoom.com!

    Better change to Western Union instead as they offer discounts via WU Gold Card…

  11. dee says:

    thats really sad, seems unionbank’s eon has cut them by half.

    And for the fraudulent transactions, no wonder we’ve been a high risk on credit card purchases and other online transactions. Funny that their are sites who wont accept cc card issued from ph cause of cheating records

    @marty, will try that dude. i believe wu has huge fees on wiring but havent tried the wu gold card

    move on guys :) their will always be an alternative ;)

  12. Marty says:

    @dee, Good thing about Western Union is that your wired remittance is secured and faster like what Google Adsense does is use it for instant payout for their publishers…

    Still, BOYCOTT Xoom.com!

  13. Love says:

    Grabe naman yun… Bakit Xoom Bakit?

  14. mindyQ says:

    just use paypal instead to send remittance to the philippines. paypal and the receiving philippine bank’s fees can be lower than what xoom.com charges. the only disadvantage is that paypal takes 2-4 banking days for the withdrawal to be credited in the recipient’s local bank account.

  15. dan says:

    ive been using xoom for 5 years. nakaka panghinayang naman. Ilang beses na rin ako iniligtas ng xoom sa financial. Ngayon talagang kailangan maghintay ng ilang araw bago maka withdraw. :(

  16. just get a US bank account with debit card and transfer using that

  17. Bernard says:

    ako nga naguumpisa pa lang sa paypal tapos xoom withdrawal ngaun magaantay pa ko ng 2-4 days bago ko makuha at me risk din sa paypal withdrawal minsan nglilimit ng account kapag withdraw tsk tsk

    meron ba alternative sa xoom?

  18. NemOry says:

    please Like it.clik the link.and bec0me a fan at REdm0bile and like my post.please i beg u guys that is just a minuTE TO D0.PLZ. Here http://www.facebook.com/redmobile?v=feed&story_fbid=377579149097

  19. xoom_is_bullshit says:

    Boycott xoom. western union is the best

  20. blankPixels says:

    I still prefer Unionbank EON for Paypal funds withdrawals. Unionbank doesn’t charge anything for Paypal withdrawals, you only have to pay the Php 350 annual fee. And it does take about 2-4 days. In my experience, it took only 2 days for my funds to be available for withdrawal from my EON account. I have full control over my money and I feel more secure because I’m dealing with Unionbank and Paypal only.

    And I also prefer Western Union over Xoom. A lot of pinoy money makers were saddened by this news, but there are better alternatives.

  21. WebGeek says:

    as a freelancer na mga walang bank account xoom talaga kadalasan namen ginagamit.

  22. jun says:

    I am lucky lang kasi yung remitance ko eh from US.. I just remit one today.. and the teller told me na talagang bumaba yung bilang ng nag remit from xoom.. I told them nga na di na nag accept ng paypal ang xoom also.. US bank account at US credit card na lang ang inaaccept nila..

  23. cherry says:

    Isa ako sa tinamaan ng balitang ito..My boss is from the UK and he send me my salary via Paypal to xoom.. I decided to change course but still xoom is the best..

  24. Brian Santos says:

    Those in Japan have to switch to Sendah.com

  25. anonymous says:

    Maybe because its election time here in the Philippines, xoom might go back to normal again after the election. Or there will be a person running in politics that will fix this problem pagnagkataon super bango ng name nya.. :D nah I’m just sayin’… I am also affected with that new policy of xoom, hai hassle nga naman.

  26. CHRYMO says:

    Well, few know this but me and my friend developed a service for Filipino’s worldwide where you can use your PayPal accounts.

    You just need to get verified with us. Also one thing you need to know is that the services we developed are not for remittance. Just check out my site via my username and go to the testimonials page see Noel Kiu (my friends) testimonial and see the site… I am not directly linking to it as Abe Olandres/ Yuga might interpret my helpful comment as Spam.

    We also have a service for using your Electronic Cash i.e. Paypal, AlertPay and MoneyBookers for paying your bills or buying loads. This is currently our beta service…

    We assure you the service is exceptional, if you go to the site, you will see actual people giving rave reviews about our service.


  27. Bernard says:


    anu yan paymanila? walang kwenta diyan.. nagverify na ako diyan. for first time users $50 lang minimum which is napakaliit..

    parang walang tiwala lalo na yung PING na kausap ko.. submit mo na lahat ng kelangan documents yun pala $50 lang pede..

    kung meron kayo alam na alternative sa xoom pakipost naman dito..

  28. CHRYMO says:

    Well, if you have the time to follow guidelines then you could raise your cap later on. PayManila is just careful with scammers, it’s for our and your protection too.

    If you can see the feedback section and logged in to the forum, you will see thousands of people already satisfied with paymanila. And if you had problems, why didn’t you air it out in the forums feedback section.

    It must be a problem with your verification details and not with PayManila service. People usually exchange paypal there up to 3000usd after repeat transactions and full verification.

  29. Bong says:

    Well, in fairness, nag start din ako sa maliit na limit, pero now, I enjoy the fast service ng PayManila. One time nga, 500usd isang bagsak lang.

    I used to use Xoom din, and PGX, kaso wala sila PayPal eh.

  30. Bernard says:

    ah ganun ba? baka mga bata kayo ni ping.. nyahaha

    panu ako magiging scammer e submit ko nga drivers license ko pati passport pati bank account at verified paypal, pati number ko sa gcash. kulang na lang ata pati yung facebook ko kunin e

    tapos $50 lang daw pede? syempre nainis ako anlaki ng balance ko sa paypal tapos $50 lang ipapadala ko sayang yung fees

    anyway wala na kayo magagawa bad experience talaga ako sa paymanila.. iba yung treatment e

    saka dapat nilagay nyo dun na $50 muna ang start wala kasi nakalagay kaya nung magsesend na dapat ako ng money nainis ako.. kelangan ko pa naman nun mga araw na yun


    verification? panu ko magkakaproblema sa verification e sinubmit ko na nga lahat

  31. CHRYMO says:

    @Bernard: Well kung fully verified ka, then after a few transactions you can increase na your quota. As I said I am one of the partners, and I personally have invited several people already to paymanila and all of them were satisfied. Yes in the early part as I said you will have a transfer cap like a trial transaction. Then once it’s proven that there are no cashbacks and other issues, you will be allowed higher amounts to exchange.

    If you were disappointed the first time, try again and see if you will be disappointed again. And please air concerns on the forum…

  32. Ping says:

    Hi Bernard,

    Sensya na po pag di agad naging malinaw sa inyo ang 50usd before you send the docs. Kasi parang limit ng credit card yan eh, umpisa talaga, maliit lang.

    Anyway, Chrymo explained it in full detail na naman eh. Just for reference, here’s the link of our happy clients:



  33. Grace says:

    Hi Guys,
    You can actually have another option in withdrawing your funds to PayPal. You can apply for an EON Card at any UnionBank Branch.

    In addition, EON card does not charge anything if your withdrawal amount is 7,000 and above and P50.00 for 6,999.99 or less.

    If you have other concerns regarding this, you can post it on our wall at facebook.com/unionbankph or tweet us on twitter account @unionbankph or check our website at http://www.unionbankph.com.

    We will be glad to assist you with your concerns.

    Thank you!

    UnionBank of the Philippines

  34. Zealot says:

    Reply to: Bernard replied on Apr 22nd, 2010 at 2:13 am (29)

    Cguro puro peke ang contact information mo kaya ayaw ka ka-transact ng paymanila… kawawa ka naman.

  35. Jevy Geconcillo says:

    Well ako first time ko ngayon sa PayManila…
    Just sent the fund 10 minutes ago.

    Still waiting for the verification which will take 24hours. I can wait though SOP kasi nila yun kaya wala tayo magagawa.

    Pag na receive ko na cash ko thru gCash…

    Update ko kayo kaagad.

  36. Jevy Geconcillo says:

    Hi GUys… Ngayon lang me nakabalik…
    I got the funds already…
    August 28, 2010… 8am…

    So I can really verify that Paymanila is another way to process your paypal funds..

    If you want a quick processing of funds from paypal…

    Paymanila is the way.


  37. Sean says:

    Xoom recently decided that my sending child support to the Philippines from my US based bank was in violation of their terms of use agreement. When I asked them how this was in violation they told me that they dont have to tell me and that they refuse to discuss the matter further. With customer service like that they can go to hell.

  38. Ko-Kard User says:

    Check out Ko-Kard, they are partnered with BDO, have a re-loadable debit card / MasterCard. I have issued 2 cards through http://www.ko-kard.com and now successfully sending money to family in Philippines without any problem.

  39. Ko-Kard User says:

    Check out http://www.ko-kard.com. They are partnered with BDO, have a re-loadable debit ATM MasterCard. I have recently found them and now issued 2 ko-kards to my family. Sending money is easy to the Philippines. Service works great for me, just wanted to pass it on.

  40. this is actually annoying on my part since i use paypal mostly throughout all my transactions… having xoom taken off is kinda’ annoying specially when you’re running after bills… xoom can categorize sending if they are in fear of fraudulent acts by prioritizing verified paypal account users. DUH!

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  42. D Master says:

    Avoid Ko-Kard !! The transfer times are 4-5 weeks at least and the customer support is non-existent if you have a genuine problem.

    make sure you read recent reviews about this company.

  43. Athena Tria says:

    may review ba ng xoom lang? and mas mura ba talaga charges ng union sa bpi?

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