Thanks to technological advancement, international payments have become easier than ever. Today, sending money to foreign countries is no longer time-consuming and complicated for Indians. One can send money from India to any place in the globe within a few seconds. You may need to send money internationally to support your child’s education abroad, buy or rent a property, book an abroad vacation, provide gift/support to your abroad relatives or buy a product from a foreign store/seller.
No matter what you need to transfer money from India to abroad, you need a safe, reliable and hassle-free method to make your money transfer smooth and secure. Currently, most outward remittance of money from India occurs due to travel, education and shopping. And if you are also looking for a reliable way to transfer money internationally from India, then keep reading. Here we will discuss everything you need to know about international payments from India.
What is an international money transfer?
International money transfer is a type of money transfer that allows people to send money from one country to another. International money transfer is also an international money transfer method that one can use to send money through banks, post offices and other methods across different countries for different reasons. It can be for paying fees for international universities, sending monetary help to close relatives staying in another country, international shopping, and much more.
In India, the Reserve Bank of India enables its citizens to make international payments from India to other foreign countries. This money transfer process is called outward remittance, primarily directed by several foreign /international regulations.
Documents required for international money payments
According to the RBI, one must submit several documents to move/ transfer money from one place to another, and there is no exception for making international payments or money transfers. Indian citizens can send money from India to other foreign countries up to 250,000 Euros per individual for different needs yearly. But you need to submit the following documents to participate in the international money transfer process.
- Copy of PAN or Permanent Account Number Card.
- From A2
- Proof of sufficient fund
- Original or copy of receipt/ bill of tuition fee, accommodation fee, medical bill, travel tickets etc.
- Others.
Different ways to transfer money internationally from India
Indian citizens can make international payments for various reasons like paying tuition and medical fees, sending monetary support or donation, sending gifts to close ones living abroad or shopping from international merchants. You can send money from India to different countries by different methods. Below is a list of different international money transfer methods you can access in India.
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Offline money order
The offline money order is a traditional method to make international payments. This method was predominantly used when the wire or online money transfer was unavailable. It is one of the cheapest and safe methods of money transfer. A money order can be cashed from any cheque-cashing location or deposited directly into your account.
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Cashier cheque or Bank draft
Bank draft and Cashier’s cheque is also an old method of sending money from India to abroad. The Cashier’s cheque and bank draft are easily accessible from different bank branches. You can buy a bank draft and Cashier’s cheque from any bank’s branch to send money outside India. The draft and cheque are trackable, so you can trace whether the draft and cheque have reached the recipient. It may take some time to reach the recipient, but it is a safe and cost-effective method of international money transfer.
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Forex card or Global card
The forex or global card is the latest and one of India’s most popular methods to make international payments. Global cards are also international debit cards that work as debit or credit cards, and you can load one or multiple currencies into the card. You can use the card to take abroad to make payments in foreign currencies or use the card from India to make international payments. You can pay international university tuition fees, rent for accommodation in a foreign country, book international flights and hotels, pay for international shopping, etc. The forex/ global card can instantly transfer money and provide higher safety measures when making international payments.
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Online wire transfer
Online wire transfer is an advanced method incorporating digital platforms to transfer money from India to any foreign country. Banks, authorised financial institutions, money exchange centres, and forex dealers can perform online wire transfers. It includes several intermediate banks and offers a lesser fee and charge to transfer money internationally. You can send money or make international payments with an online wire transfer. It can take a bit of time to send money from India to another country, but it is cheaper than online money transfer, which comes with lower overhead costs.
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Online money transfer
Online money transfer is also an advanced method of international money transfer that offers fast money transfer with safety. This method does not include intermediate banks; you must provide the recipient’s bank details, bank IBAN or SWIFT code, account holder’s information, etc. But as it does not include any intermediate banks, it can be a bit more costly than online wire transfers.
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Credit and debit card
Today one can also use a credit or debit card to make international payments. It is easy to send money with credit or debit cards while shopping or booking a flight ticket or hotel accommodation online. But it charges heavily if you use your local credit or debit cards to make international payments. Also, there can be safety issues if you do not use them carefully.
Factors to consider while transferring money internationally
When you transfer your money from India to any other country, you need to choose the right method of money transfer. It will help you access the best and smooth money transfer experience. You must consider some essential factors when choosing an international money transfer method.
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Speed
Speed is a crucial factor when choosing the best method for international payments. If you send money for an emergency or a deadline fee submission, you must choose a method that takes less time or transfer funds immediately to the recipient.
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Fees
When you want to transfer money from India to another country, especially through online modes, you need to pay a lot of extra fees or charges to make the payment. Choosing a method that can transfer your money fast but does not overwhelm you with high fees is also essential.
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Security
Security is another major concern involved with international money transfers. So, you need to select a safe and reliable method that can help you avoid fraud, scams, information theft etc. during your international payments. You must choose a payment type that has high safety measurements.
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Exchange rate
Another factor you must consider while sending money abroad from India is the currency exchange rate. A little difference in the currency exchange rate can significantly affect the amount of money you are transferring.
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Accessible
You should also choose an easy and convenient method, especially if you transfer money frequently. Choosing a complicated payment option will only cause unnecessary trouble in your money transfer.
Why is a global card the best way to make international payments?
When you make a payment locally or within a short distance, you can either make the payment physically with cash or opt for online banking, NEFT, demand draft or online money transfer. Also, using online money transfer or credit card/ debit card is relatively inexpensive when you transfer money locally. But it becomes different when you want to make foreign payments. When you want to make a cross-country payment, you get several methods, but most of them are costly and time-consuming.
But a global card is the most preferred international money transfer method as it offers –
- Lower overhead charges.
- Zero fund transfer charges. ( It can take charge if you exceed the maximum level of 7L P.A.)
- Zero commission.
- Instant fund transfer.
- Zero forex markup.
- 5% interest on savings.
- No cross-currency fee.
- 24/7 global assistance.
- Chip and pin enriched security.
Conclusion
You may need to transfer money from India to abroad to support your kid’s higher study, provide financial aid to your close relative or purchase your favourite bag or dress from an international store. Whatever the reason for your cross-country payment, you need a fast, reliable, safe method for money transfer. And there is no doubt that a global card can make your international payments a smooth and secure experience.