The world we live in has shrunk significantly due to the increase in opportunities available to immigrants and foreign nationals. It is not surprising that sending money abroad, or outbound remittances, has become more popular in recent years. You need both time and money to adjust to the new place and make your stay comfortable, whether you are traveling, looking for educational and employment prospects, or for any other cause that could send you abroad.
People send money abroad from India for a variety of purposes, including purchasing or renting real estate, paying for education-related expenses, planning trips abroad, providing financial support for friends and family, and purchasing goods from international retailers. The biggest motives for sending money abroad from India are travel and education, closely followed by maintaining close family members and giving gifts.
Read on to learn how to easily make an international money transfer if you’re curious about how to transfer money overseas but are unsure of the procedure.
How To Transfer Money TO Another Country?
Pursuant to numerous rules and regulations promulgated by the Reserve Bank of India (RBI), Indians are permitted to send money abroad through a procedure known as outbound remittance. You can send money abroad using digital payment providers, post offices, and banks.
The RBI permits up to $250,000 to be transmitted from India by an individual every financial year for things like business trips, vacations, presents, donations, employment, and education abroad, as well as medical and other requirements for family members who live abroad.
Depending on the bank and platform you choose, the required papers for making an external remittance include a copy of your permanent account number (PAN) card, any required original fee slips, receipts, or bills, proof of sufficient cash, etc.
Aspects to Consider When Sending Money Internationally from India
There are a few factors to take into account while sending money abroad in order to maximize your investment.
- Transfer Speed: The best timescale for sending money from India through reliable online channels is roughly 48–72 hours, whereas checks and demand drafts typically take a few days.
- Exchange rates: The value of one currency in relation to another is known as the foreign exchange rate. When sending a substantial amount of money, a tiny shift in the exchange rate might have a big impact.
- Overhead Fees: You may frequently be charged a transfer fee when sending money, which may be fixed or a percentage of the amount being sent, as well as international conversion tax and service tax in some situations, for each of the parties involved in the transfer process.
The Best Global Money Transfer Methods
You can choose from a number of techniques if you want to send money abroad from India. The preferred method will be heavily influenced by the reason you are sending the money, as well as any requirements, such as whether you need the money to arrive quickly in case of an emergency, are looking for a cheaper alternative, or would prefer to stick with a single institution, like your bank or online platforms.
- Cashier’s cheques and bank drafts
There are numerous bank outlets across the nation where you can get bank drafts and cashier’s cheques. Bank drafts and cashier’s cheques in the local currency of the recipient can be physically purchased there. They are a great option for sending money abroad because they are relatively inexpensive, but they take longer to reach the receiver.
- Offline money transfers and international money orders
Money orders were the go-to method for sending money abroad before online wire transfers became a thing, primarily because of the ease of convenience they offer. Money orders can be cashed at any cheque cashing station or deposited into your bank account. It remains an affordable and secure method of sending money outside of India.
3.Online Transfer of Funds
One of the simplest ways to send money overseas is through an online money transfer. Most Indians who transfer money worldwide do so using online transfer. The method only needs the receiving bank’s IBAN or SWIFT number, the destination account data, and information about the account holder, for example. However, keep in mind that since this method does not involve intermediary banks, you can be subject to hefty taxes and exchange rates.
- Wire transfers online through Kuvera
This is the most recent method to enter the money transfer industry, and it offers inexpensive fees as well as assessed charges for sending money abroad from India. You can send money through wire transfer through a number of financial institutions, including banks and authorised money changers likewise. Kuvera has tied up with Wise to make international money transfers a hassle-free process.
Global money transfer does not require visiting a bank or financial institution anymore. It can be undertaken in a completely hassle-free process using online platforms like Kuvera.