Money Transfer To India: Fees And Associated Charges

By Author: shashank Bhaskar
Total Articles: 63
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Remittance is a banking activity that every non-resident Indian carries out regularly. Whether helping a loved one in emergencies or sending money for celebrations, online Remittance can do it all. Knowing about the fees associated with a fund transfer is essential. Here is a break-up for better understanding:
Foreign exchange rate
This is the rate at which another country's currency can be purchased. For example, if you are making a Money Transfer to India from the USA, US Dollar and Indian Rupees value will be considered. Higher the USD value, the more funds you receive on conversion and vice-versa. The foreign exchange rate is subject to change. It is influenced by factors like economic and political stability in the country.
Checking the prevailing foreign exchange rate before making a transfer is necessary. The rate offers a fair idea of how much will the fund transfer cost you. Check the bank's website to receive an update on the latest foreign exchange rate. Leading banks also offer ...
... their NRI Account holders to make fund transfers at preferential foreign exchange rates. Open an NRI Account to get the best rates and make seamless fund transfers.
Processing fee
Every bank charges a basic fee amount to process your fund transfer request. The processing fee varies depending on the country you wish to make a transfer to. Your transfer amount is also considered here. You need to pay the fee upfront at the time of online Money Transfer to India. However, some banks waive the processing charges.
You need to hold an NRI Savings Account with the bank to make transfers at zero processing fees. There are other benefits for transfers made through your NRI Account. Like you can initiate a Remittance request within minutes. The funds get credited to your beneficiary’s account soon.
Intermediaries fee
Intermediaries are third-party banks that facilitate International Money Transfer. Suppose you wish to send money to a country where your bank has no bank branches. The intermediaries complete the fund transfer on behalf of the bank. However, you need to pay a fee to avail this facility. The amount varies depending on the transfer country and the amount.
There is no way to avoid paying these charges as the bank does not waive them off. Check the bank's website to find out about intermediaries' fees before you send money to India.
Withdrawal charges
Some banks charge beneficiaries to withdraw funds they have received. Check if your bank asks you to do so. They can carry the required funds and access the transfer amount hassle-free if they inform the beneficiary.