Plenty of individuals who have settled or stayed abroad need to remit to India now and then. However, with plenty of options available in the market and each possessing different nuances, how do you choose the option that will suit you the best? Here are some tips that can help assist you:
Look for options that help share fixed fees during remittance
When you remit to India, certain banks or financial institutes offer you the option to choose who pays for the fixed fee cost of the remittance. In this case, either the sender or the receiver can pay for the cost, or share it. With each transfer of funds you make, different fees or costings will be involved. Depending on who’s opting to pay, the sender or the receiver will be responsible for their bank and the intermediate bank’s fees, in addition to the transfer amount and exchange rate.
Get the best rates between Mondays to Fridays
While the financial market may be unpredictable, certain trends can be easily perceived. For example, you will get the best of live exchange rates, if you opt to remit to India, between Monday and Friday. During this time, the international markets are open. On the weekends and public holidays, international markets are less functional, if not closed. At this time, the exchange rates that are quoted are either not live or a close estimate. Thus, there is a high chance that the remittance will be higher than usual.
Opt for the same bank or financial institute that has a branch abroad
When transferring funds from any bank around the world to India, three banks will be involved, namely, your bank, the intermediate bank and the receiver’s bank. Depending on your requirements and the requirements of the receiver, your remittance will become faster, easier and cheaper, if you transfer funds internationally and locally, within the same bank or financial institute. In this way, you also remove the necessity of an intermediate bank and the fees involved.
Transfer on Mondays or Tuesdays for a quick turnaround time
Plenty of international countries have different conditioning when it comes to remitting to any other destination, such as India. For example, UAE banks are closed on Fridays, whereas most other banks are closed on Saturday’s and Sunday’s. Keeping these conditions in mind, it is best to transfer funds on a Monday or Tuesday from your bank or financial account. As the funds will reach within the week itself, any issue or problem can be clarified within that week itself.
Best time to transfer funds is before 10 am
During the week, most of the international currencies transfer have a cut of time between 10 am and 12 pm GST. In this case, a two-hour margin is advised for transfer processing. This is to certify that there is no missing information required or inconsistencies to be fixed before the transfer takes place. Therefore, if you make your remittance before this time, there is a better chance that it will be processed on the same day.