India had suffered a humiliating 8-wicket defeat in the first Test at Adelaide.
"Well, we can't pay any attention to mental scars or whatever thing they're talking about," Paine said during a virtual press conference on the eve of the second Test.
"We know India is a proud cricket country, an extremely talented Test match side with lots of dangerous players."
Paine cited the example of last year’s Ashes when England bounced back in the fifth Test to level the series after being 1-2 down.
"We saw in England that we can come unstuck pretty quickly... the moment we take our foot off the pedal and think we're going all right.
"A huge focus of ours since that fifth Test since the Ashes has been winning after winning. But we've been fantastic in how we've prepared for this game."
In order to attend the birth of his first child, India’s regular skipper Virat Kohli left the Australian shores and he won’t be taking part in the remaining three Tests. Moreover, pace spearhead Mohammad Shami has ruled out of the series with a broken forearm.
However, Paine feels India’s bench strength is quite strong and he singled out KL Rahul, Rishabh Pant as potential threats.
"We know that some of the players they're talking about coming into their side like KL Rahul or Rishabh Pant, are all dangerous players who want to take the game on by playing positively.
"If we give them an inch, they will take a mile. So we got to be bang on the mark tomorrow as we were in Adelaide, and prepare to turn up for another five-day battle.
"We know that we won the first Test well but it was only at stumps on day two, we were in a serious fight, so that's the attitude we're taking into the next Test."
The Australian skipper also acknowledged that living in a bio-secure bubble for the tourists can be difficult, especially when they are 0-1 down after an embarrassing defeat.
"Living in a hub or a bubble, it is certainly easier when you are playing well, there is no doubt about that but the flip side to that is, you are really close, you are really tight-knit and you are always around each other.
"It can go both ways. We have been on overseas tours before to India or South Africa and we were bowled out for 50. It can be really difficult, so, that's why it is so important for us to turn up with the attitude that we turned up within the first Test.
"We know they are not going to roll over... We are going to have to work our backsides off to get them in a position like we did in Adelaide.
"If we can do it again, then Tests three and four can become a real battle for them. But, first, we have got to start well and put them back under the pump."
(With PTI inputs)