The Freelance Pinoy

Expert Advice for Freelancers

10 Common PayPal and LFT Questions – Answered!

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Although we’ve covered the basic set-ups for both withdrawal options, I think it’s best to bring up 10 of the most common PayPal and LFT questions and answer them one by one.

  1. Is BPI Express similar to BPI Family Savings Bank?

    BPI Express is not similar to BPI Family Savings. The latter is a subsidiary of BPI, so try not to mix the two up. I suggest BPI Express since I’ve been a client for 3 straight years and had no problems with them for both withdrawal options.

  2. What is a BRSTN code?  What is a bank code?

    A BRSTN code is a Bank Routing Symbol Transit Number, otherwise known as the bank codes that we use for PayPal.

    If you need the BRSTN code for LFT, you can either refer to this list or enter the name of your bank when adding an LFT account. oDesk will automatically detect its correct BRSTN code.

  3. For Unionbank EON users, which one is the card number and the account number?  What number should I use to withdraw?

    EON card number and account number

    Use the account number when adding your bank account details for PayPal or LFT.

  4. Why haven’t I received my money yet? It’s been 3 days!

    PayPal takes about 1-2 days while the improved PHP Local Funds Transfer takes 2-3 days to deposit funds to your bank account.

    Withdrawals from PayPal or LFT can be delayed for several reasons, particularly holidays and non-banking days. If your funds haven’t arrived yet, check your calendar to see if you withdrew on a day that’s close to a US/Philippine holiday or a weekend.

  5. I just added a withdrawal method on oDesk. Its status is currently inactive. How long will it take till it is active and ready?

    After adding a new withdrawal method on oDesk (PayPal or LFT), you need to wait for about four (4) banking days till you can use it.

  6. I don’t have a bank account, but my sister/dad/mom/aunt/second cousin does. Can I use that instead?

    oDesk has released a new policy last July 21 that requires your bank account name to be exactly the same as the name in your verified oDesk account. This means you can’t use your family member’s bank accounts any longer to withdraw using LFT. According to oDesk,

    …in compliance with anti-money laundering regulations, we will only be able to send payments to bank accounts that are owned by the oDesk contractor who performed the work and earned the payment.

  7. “The amount you are trying to withdraw is greater than your withdrawal limit. Please link and confirm a debit or credit card to lift this limit.” Why do I keep getting this message? What does it mean?

    This message means you did not successfully verify your PayPal account. Unverified accounts can’t withdraw funds to a bank account, so you’ll have to complete the process first before anything else. Check out How to Verify Your Philippine PayPal Account for more information.

  8. Is it possible to transfer funds even if my PayPal account is unverified?

    Nope, it isn’t.

    9. Photo credit to ugaldew

  9. What can I use to verify my PayPal account?

    A Visa or Mastercard credit or debit card. You can either open a credit account at your bank of choice or use Unionbank’s EON debit card. Check out How to Withdraw from PayPal to Unionbank EON for more information.

  10. My money was refunded to my account. Why is this so?

    The most common reason is because of inaccurate bank account information. Make sure that your name is exactly the same as what is in your PayPal or LFT account, as well as your bank account number, bank name, and BRSTN code.

    If everything seems to be correct and your money still hasn’t arrived, contact oDesk customer support, PayPal customer support, or both. They’re the best people to turn to for technical problems.

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oDesk Local Funds Transfer: My Own Personal Experience

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In a nutshell, Local Funds Transfer allows you to withdraw your oDesk earnings directly to your bank account, saving you from using more expensive payment methods like PayPal or Payoneer.

Adding the Local Funds Transfer payment method is definitely easy.  All you gotta do is use your bank’s BRSTN code (these codes are PayPal’s bank codes), your exact bank account name, account number, address, and country.  Since we’re Pinoys working on oDesk, we’re to use the Philippine LFT payment method.

But I do encourage you to double or triple check your bank information before clicking on the yellow button to continue.  Many delays and transfer errors usually sprout from a misspelling or missing number, so avoid making mistakes when entering your bank info, particularly your bank account name and bank account number.

The Actual Withdrawal

This is just a sample screenshot. Don't mind the amounts shown.

With enough money ready for transfer, I visited the Withdrawals section of my Financial Activity and began the process on March 15, a Tuesday.  Since this is my first time using LFT, the $1.99 fee is waived and the transaction free.

I selected Local Funds Transfer as my withdrawal method, clicked on Available Balance to withdraw the entire amount, and reviewed the amount that I was going to receive in 3-5 business days.  Once everything is correct, I said a little prayer for good luck and clicked Withdraw.

Note: Below the exchange rate a small reminder that the exchange rate to be implemented for your withdrawal will be the rate on the next business day.  So even if the exchange rate says 42.50 or higher, expect the rate used to be tomorrow’s exchange rate.

The Final Result

Here’s where the good part comes in: the result of the Local Funds Transfer.  What do I think of it? Absolutely easy and hassle-free!

I had 4,000 pesos in this account prior to the withdrawal, BTW.

I withdrew my money Tuesday, March 15 an hour or two before noon.  I then received it today, March 18, after checking my account around 11:04 AM.

So that’s 3 days for the transfer, which is more or less close to how fast PayPal would send my earnings to my bank account.  And since I use a BPI Express savings account, there was no deduction for remittance unlike that nasty P150 fee from PayPal withdrawals.

As for the exchange rate, it was more or less 43.00746 to $1 which is actually pretty good.  I’d normally get an exchange rate of about 42.30 if I had withdrawn from PayPal, which was really low for me.  Pinoy freelancers on oDesk won’t have to worry about how high the rates are so long as it doesn’t plummet on the next business day after making the transfer.

My LFT Conclusion

I really was nervous about using Local Funds Transfer for my withdrawals, but after this first successful transfer I can finally breathe easy whenever I need to use it to withdraw to my bank account. It’s cheaper, hassle-free, and extremely easy to use that many Pinoy freelancers won’t have to put all of their eggs in one basket anymore (ahem!).

To recap, here are a couple of reminders and tips to make your Local Funds transfers smooth and easy:

  • Make sure your bank account name, bank account number, BRSTN or bank code, address, and country is 100% correct.
  • To lessen the $1.99 pain, withdraw when you have a big amount of money credited to your oDesk account. 3-4 figures should be okay.
  • The exchange rate used is always the rate of the next business day after making the withdrawal.
  • Withdraw either Monday or Tuesday to receive your money in at least 3 days.  Expect longer if there are US holidays in between days.
  • Use a BPI Express savings/ATM account if you want to receive your money in full. It’s only P500 to open, plus bank has agreed to waive their remittance fees for transfers from oDesk.
  • Be patient and don’t worry too much. If you have any questions or concerns, just contact oDesk customer support for help.

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How to Withdraw Your Earnings from PayPal to Unionbank

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Whenever a Pinoy freelancer, digital marketer, or online entrepreneur considers linking his PayPal account to an existing bank account, his first choice is usually an account with Unionbank Philippines.

The orange and navy blue bank provides easy options for customers who would like to send and receive money of either local or foreign currency.

If you’re planning on linking your PayPal account to a Unionbank account, this post has all the information you need to get started and to successfully withdraw your earnings to your Unionbank account.

Step #1: Open a Unionbank Account

unionbank-cardsYour first step would be to visit the nearest Unionbank branch and sign up for a savings account.  You have a choice of opening a regular savings account or an EON Cyber Account, the latter being the most popular option for Pinoy freelancers using PayPal as their withdrawal method.

The EON Cyber Account is basically a debit card and a savings account rolled into one.  It’s designed for those who are comfortable with just ATM deposits and withdrawals. It’s easy to withdraw and pay for purchases online and offline.

I suggest opening an EON account instead of a regular savings account to use it to verify your PayPal account since you can’t use non-verified PayPal accounts to withdraw money.

Another great thing about the EON Cyber Account is that it also functions as a debit card, so you can avail of Unionbank’s special credit card offers and can pay for your purchases at the malls.  If you’re the type of shopper who hates lining up at the ATMs, this is definitely a great benefit for you.

Here are the basic requirements for opening an EON account:

  1. Accomplished EON Cyber Account application form
  2. 2 Valid IDs plus a photocopy of the two
  3. PhP 350 for the annual fee
  4. Other documents such as TIN and SSS (optional; may be required by the bank)
  5. Initial deposit (optional)

You need to submit the application online before visiting the Unionbank branch of your choice to complete the process.  The EON page on the Unionbank website has a list of IDs accepted for your reference.

Step #2: Activate Your Account by Changing the PIN code

Once you finished submitting the necessary documents, you’ll receive your new EON card over the counter and a sealed envelope with your temporary PIN code.  Keep this because you’ll need it to activate your EON card.

Activation is essential if you plan on withdrawing money using your EON account.  To do this, you need to make your first withdrawal in order to change the PIN code of your card.  You can deposit at least PhP 100 and then withdraw it at the ATM to complete this first step.

Once this is done, you can now change the PIN code of your card.  Have someone from the bank assist you if you encounter difficulties while doing this.

Step #3: Link your Unionbank EON Cyber Account to PayPal

Your next step is to link your EON account to your PayPal account.  Go to your PayPal account, hover your cursor over Profile, and click Add/Edit Bank Account. Click on the Add button and type or copy and paste the following:

Add a Bank Name: UNION BANK OF THE PHILS
Add a Bank Code: 010419995
Add an Account Number: (insert your EON account number)

Make sure that your bank account name, bank code, and your account number are correct to avoid the PhP 250 charge for incorrect information.  Also, make sure to type in your EON account number and not the card number.


Once you’ve added your Unionbank EON account to your profile, you can now withdraw your PayPal funds directly to your account.  If you’d like to view the detailed steps on how to withdraw from PayPal to a Philippine bank account, check out An Overview: Withdraw from PayPal to a Philippine Bank Account.

In the mean time, here’s a short version of how to withdraw your earnings to your bank account:

  1. On your PayPal account page, click on the Withdraw link.
  2. Click on Withdraw funds to your bank account.
  3. Add the amount you want to withdraw from your PayPal account.  Click the orange Continue button to move to the next page.
  4. Once you are sure that the amount and the rest of your bank account details are correct, click on the Withdraw Funds button to complete the transaction.

 Fees and Other Things to Remember

Although it’s super easy to verify PayPal with Unionbank’s EON card, the benefits stop there.

If you plan on transferring the funds you receive to another account via over the counter withdrawals, ATM withdrawals, and the like, you’ll be surprised just how expensive the EON Cyber Account really is.

First off, here’s a list of fees that you have to pay to use and maintain your EON card:

  • Visa Electron Annual Fee – PhP 350
  • ATM Withdrawals – PhP 10 on the 3rd and all succeeding Unionbank ATM withdrawals for the month
  • Non-Unionbank Withdrawals – PhP 12
  • Over-the-counter withdrawals – PhP 100; they will ask you to wait in order to verify your signature with the main branch.

As you can see the fees are extremely high, which is obviously Unionbank’s way of keeping you from withdrawing your cash.

If you have another bank account outside of Unionbank that serves as your major deposit account for your earnings, I suggest not applying for an EON Cyber account and just opening either a regular Unionbank savings account or an account at a different bank.  You’ll see in their Savings Account Fees page that there’s no charge at all for withdrawals, both via ATM and over the counter.

PayPal is overall an excellent e-commerce solution for thousands of Filipinos around the world, which is why opening, verifying, and linking your PayPal account to a Philippine bank account such as Unionbank EON will enable you to receive your hard earned freelance earnings in a matter of days. Many clients prefer paying freelancers via PayPal so it is also a practical option to go for if you want to be paid for your freelance services.

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