What you should look out for before
Receiving money to India for business payments via Bank wire-transfers:
receiving business money transfers to India:
through the SWIFT network are one of the most popular ways to receive the money into your bank account in India
. However, be mindful of the cost of receiving money
through wire transfers
and the sender’s bank and the receiving bank all charge fees and foreign exchange margins. The cost to send or receive money to India using bank wire transfers
can easily work out to 2-3% of the amount sent, which is huge.
And in terms of speed, the wire-transfer
will easily take 2-3 business days to hit your bank account in India. Which means, precious working capital is locked up just because of the inefficiencies in the payment systems
used by banks to make international money transfers.
So next time your sender tells you that they are going to initiate a wire transfer
to your bank account
, please check the sending bank fees, receiving bank fees and the exchange rate on the money transfer. Or simply just refer them to Tranzily 🙂
Receiving money to India using international digital and Fintech money transfer services:
Of late, a lot of global digital money transfer service providers
have launched their offering to send money to India online
. While sending money
through these options is extremely easy for the payer or importer by just using an email address
as a handle, receiving money in India
through these channels is fraught with a host of hidden fees and non-transparent exchange rates.
In fact, some of the more popular global fintechs charge as much as 6% of the transaction value as fees and the most impacted party is the person receiving money in India
and not the sender.
So if your customer decides to pay you by sending money using these digital options, please ask them to confirm the exchange rate
and fees that would be deducted. And as always, Tranzily is the best option to refer them to. We make sure that you pay just 1% as fees to receive money in any bank in India
Using agent based options to receive money in India :
If you are still using this remittance service option to receive business payments in India
, you need to immediately switch to more efficient options like Tranzily. These options, irrespective of the agent location
or the service provider, are painful and extremely inconvenient for both the sender and the receiver.
Also, this is probably the most expensive option and also requires a lot of paperwork as compared to just using a simple email id to receive money
to a bank account in India
Other criteria - receiving a large amount for business payments
If you are a small or medium business exporting goods to services from India, the choic e of money transfer service providers to receive money to your bank account in India should factor the flexibility to receive a larger amount of money based on your requirements.
This includes the feature availability, transaction capability, documentation and time to approve the transaction so please make sure the person sending money to you is aware of this.
So, to summarize, before you choose the best money transfer service to India to receive your payments, make sure you check all of the above parameters.