5 tips for individuals who plan to transfer money to India
The need for transferring funds to a different nation can arise at any given point in someone’s life. A customer can choose from a wide range of options to transfer money. There can be a whole myriad of reasons why an individual wants to send money to India, like marriage, education, investment opportunities. An individual will need to have all their account details and currency conversion information ready before deciding to go forward with the money transfer to India. The account number format and the routing numbers differ from country to country. Money transfer to India involves significant charges as well. Although, there are some basic tips that any individual who is planning to transfer money to India should consider.
Here are some tips for individuals who are planning to make a money transfer to India:
- Modes of transfer:
If an individual decides to send money to India, there are a lot of options available for individuals which include e-transfers and power transfers, while some of the most common offline modes and cheques and bank drafts. There are a lot of options available for an individual from where they can transfer money with great exchange rates, nominal charges. There are a lot of money-sending options which are available for customers.
- Speed of disbursement:
If an individual wants to conduct a money transfer to India in a hurry, their only viable option is to opt for transferring the funds online through a wire transfer and the national electronic funds transfer (NEFT) system. This generally takes 24-96 hours, but it can also take place in real time. An individual can instantly move their funds through a ‘direct transfer to bank accounts’ option. But the offline options generally take time.
- Coverage offered:
Not every money transfer option is available at every location. A lot of online money transfer options are limited only to urban areas. Not every bank will allow customers to route money through foreign currency cheques. A good option for non-resident Indians is the foreign currency account scheme.
- Convenience:
It is not just the speed of the transfer which matters, but also the convenience of transfer offered to both the sender and the receiver. If either one of the parties is not comfortable using the offline route, opting for the offline route would be better. There is no limit on the amount for money transfer to India, but a cap of Rs. 5 lakhs has been imposed by some financial institutions on NEFT transactions.
- Service cost:
Before an individual decides the mode of transfer, they should check for the service rate of transfer. Generally, a lot of money transfer services offer decent and affordable charges before providing the customers with the service. It is advised that an individual should research about the different service rates which are offered by different money transfer companies. With the advances in technology, a customer can also send money to India through an app.