Ways to transfer money are evolving as the world becomes a global village. International transactions have become a common phenomenon. Further, the ease of conducting international transactions has grown tremendously. There are multiple ways to send money to and from India and abroad. However, what is the best way to send money to India amidst multiple options available? Let’s uncover!
Best means to send money to India
If you too are going to receive international payment, then here are some of the best ways to transfer money to India seamlessly:
- Bank or wire transfer: This is one of the most common forms of international transfers where the money is sent from one financial institution to another financial institution. This is also known as SWIFT transfer and is one of India's most efficient and rapid ways of transferring money. Wire transfer happens through the bank and has proven to be one of the best money transfer to India facilities.
- Online money transfer agencies: These are the dedicated agencies that allow money transfers. Here, the transactions happen completely online. The fees charged by these agencies are usually lower than those charged by wire transfers. The receiver usually gets funds within 3-5 working days. Many 3rd party online platforms provide the facility to receive money from foreign countries to India.
- International money order: Another best way to remit money to India is international money order. Here, you don’t need an account to make the international transfer. The money order can be deposited in a bank directly encashed at various cheque-cashing locations. One can purchase an international money order from the post office in a foreign country and send it to the recipient in India. This includes typically service fees and currency exchange fees.
- Demand draft or foreign currency cheque: This is one of the safest and best ways to send money to India. After you deposit the demand draft or foreign currency cheque, it may take approximately 21 days for the amount to get credited to the recipient. You can issue a demand draft to make deposits in an NRE Account.
- Online transfer: Online transfers are getting more and more popular online. To do this, you need to enable online international banking. You can simply log in to your net banking or mobile banking application. Add the personal and bank details of the beneficiary. You can initiate the transfer online once the beneficiary is added and activated.
The cheapest way to send money to India
There are multiple ways through which money can be sent to India. The rates and charges for sending money vary across service providers and methods. Online transfers are one of the cheapest and simplest ways to send money to India. However, you should always compare the charges being levied across different methods and then select the one that allows you to receive money at the lowest cost.
Here are the different costs you should consider:
- Transfer fees: Most banks and online platforms charge fees for sending money internationally. The fees can either be a flat rate or a percentage of the transferred amount.
- Exchange rate: This is the rate at which the foreign currency is converted into Indian currency and vice versa. This usually differs from the interbank rate as the service providers keep a margin for themselves.
- Service charges: Certain providers may levy additional service charges for various aspects of the transfer process for expedited transfers and customer service support. Different service providers charge different service charges.
- Intermediary fees: In the case of international transfers, the funds usually pass through one or more intermediary banks before reaching the recipient’s bank account. The intermediary banks usually deduct processing fees from the amount to be paid to the recipient.
- Other costs: Apart from the above, there may be other costs and charges that a bank or service provider may charge for international money remittances.
Also Read:
Top 12 advantages of NRI accounts to know
Conclusion
International transfers are becoming common today and people are often searching for the best ways to transfer money to India. Many people with jobs abroad usually send money to their families in India. Many service providers and exporters also receive international payments during their commerce. This might be in Indian currency or foreign currency.
Therefore, selecting the right medium to receive money is crucial. Axis Bank is one of the pioneering financial institutions in India that has made banking pretty seamless and easy. You can seamlessly send or receive money from abroad at competitive rates. Click here to start your international transfers now with Axis Bank!
