Step-by-Step Process for Transferring Money Online from India to Other Countries

All You Need to Know: Online Money Transfers From India to Any Country

In today’s globalized world, transferring money internationally has become increasingly important for people living and working overseas. While transferring money within India is relatively straightforward using methods like IMPS, NEFT, UPI, and RTGS, the process of sending money internationally involves a few additional steps. Whether you are sending money to support family members abroad, paying education fees, or handling business transactions, understanding the nuances of international money transfers from India is crucial.

This article will break down everything you need to know about sending money overseas from India, including the process, regulations, and the best options available.

The Process of Money Transfers

When you send money from India to another country, it is referred to as outward remittance. A remittance typically refers to transferring funds for various purposes such as paying bills, education expenses, or even helping family members abroad. According to the Reserve Bank of India (RBI), remittances are monitored under the Liberalized Remittance Scheme (LRS).

The remittance market in India has been growing rapidly, with a compound annual growth rate (CAGR) of 18.2%. In FY2020, Indians utilized over USD 18 billion under LRS, the highest since the inception of the scheme in 2004.

International remittances are usually carried out via online payment methods or through money transfer agents affiliated with banks or other financial service providers. This process often comes with transaction fees, which can vary depending on the bank or provider you choose. The good news is that online money transfers are quick, allowing you to send money to any country within minutes.

International Money Transfer Laws in India

The RBI governs the process of international money transfers from India under the Liberalized Remittance Scheme (LRS). The LRS regulates the maximum amount that can be sent abroad in a financial year, as well as the permissible purposes for the transfer.

• LRS Limits:
  • Indian residents are allowed to send up to USD 250,000 per year.
  • NRIs (Non-Resident Indians) can send up to USD 1,000,000 per year.
• Permissible Purposes for Outward Remittance under LRS:
  • Education fees for studies abroad
  • Family support (helping relatives living overseas)
  • Gifts and donations to friends or family
  • Tourism and travel expenses
  • Emigration costs (for moving abroad)
  • Medical treatment abroad
  • International business trips

However, remittances are prohibited if the funds are accumulated from activities like gambling, lottery winnings, or interest payments from NRI bank accounts.

How to Transfer Money From India to Other Countries

There are several ways to send money from India to another country, both online and offline. Online methods are more convenient, but it’s important to choose a reliable service provider to ensure a smooth and secure transaction.

Here are a few options for transferring money internationally from India:

1. Bank Wire Transfers: This is a common method of transferring money to foreign countries. While wire transfers via banks may take between 24 to 96 hours to complete, they are reliable and safe.
2. Online Payment Providers: Using online payment services like PayPal or specialized remittance platforms like Western Union or MoneyGram can also help transfer money internationally. These platforms provide a secure way to send money online, and the transfer time can range from a few minutes to a few days, depending on the service.
3. UPI and IMPS (Instant Payment Systems): For smaller amounts, some Indian banks offer instant payments abroad through UPI and IMPS. However, these methods often have transaction limits.

Important Considerations for International Money Transfers

When transferring money internationally, it is crucial to keep the following factors in mind:

• Choose a Reputed Service Provider: Always select a reliable and well-known bank or money transfer provider to ensure that your money is safely transferred.
• Understand the Fees: Different service providers and banks charge varying fees for international transfers. Make sure to inquire about the charges before proceeding with the transfer.
• Transfer Speed: While online money transfers are often quick, the processing time may vary. Wire transfers can take anywhere from 24 hours to 3 business days, while transfers using money transfer services can be almost instantaneous.
• Tracking Transactions: Choose a provider that offers easy tracking of your transfer. Many online services allow you to check the status of your transaction in real-time.

Benefits of Transferring Money With ICICI Bank’s Money2World

ICICI Bank’s Money2World service offers several benefits for outward remittances. Some of the features that make Money2World a great option include:

1. Simpler and faster remittances for seamless transfers.
2. Available in 21 currencies for easy conversion.
3. Competitive exchange rates to ensure you get the best value for your money.
4. One-time beneficiary registration, making future transfers easier.
5. 24/7 availability, including holidays and weekends.
6. Online transaction tracking for easy monitoring.
7. No requirement for ICICI Bank accounts; non-ICICI account holders can also use the service.
8. Faster turnaround times partnered with services like Flywire to ensure quick transfers.

By using Money2World, you can ensure a hassle-free money transfer process with 24/7 assistance and competitive rates.

FAQs on International Money Transfers from India

1. What is an outward remittance? Outward remittance refers to the process of sending money from India to another country.
2. Are there any charges for an international money transfer from India? Yes, different banks and service providers charge varying fees for international transfers. It’s recommended to check with the provider for specific fees.
3. What is the maximum amount I can transfer? As per the RBI guidelines, you can transfer up to USD 250,000 per year under the LRS scheme.
4. How long does it take for the funds to reach the recipient? The time taken for an international transfer depends on the service provider. Online transfers can take anywhere from a few minutes to several hours, while wire transfers may take up to 3 business days.

Transferring money internationally from India has become much more accessible and efficient with the growing number of service providers offering online platforms. By understanding the process, the laws surrounding international remittances, and the benefits of various services like ICICI Bank’s Money2World, you can ensure a safe, smooth, and cost-effective transfer to your loved ones or business partners abroad. Always choose a reputable provider, check the charges, and be aware of the timelines to ensure a successful transaction every time.