Online money transfer to India               Home

Worldwide , online money transfer is the preferred method of payment for international transactions for small amounts.

For small amounts , you can receive payments through PayPal  or Moneybookers. Stormpay is another money transfer company which is popular for StudioTraffic payments, but can no longer be used as a payment processor. E-gold is also used by some sites but the conversion rate to Indian Rupees is not very good. E-gold is not recognized as a currency by the Reserve Bank of India. A problem you face for these sites is that if  they suspect fraud, they will block your account . To unblock your account, you may have to fax a copy of  your identification documents to them.

The transfer charges for transfers between accounts are quite low  - 0.5% to 2%

The sender pays by credit card or bank transfer through the payment gateway provided by these companies to his account with the money transfer company. The amount is then sent to recipient after logging into the account and making the transfer. After the payment has been made, the recipient receives an email notification about the transfer, and can confirm the transfer by logging into the account.

 The recipient can use the amount for making further online purchases or  withdraw the amount in Indian Rupees. A fixed withdrawal fee (approx. Rs 200 for money bookers, US $5 for Paypal ) is deducted from the amount you receive.

The amount is usually sent by ordinary post. If the cheque is lost, you have to pay an additional cancellation fee (US$15 for Paypal) and then you can again request the cheque to be reissued. Paypal also specifies a minimum amount for withdrawal US$150.

Remit2India from TimesofMoney (which is extensively advertised in Times of India and other group publications)  , Cash2India are some of the other money transfer services. For Remit2India, the  money transfer and banking operations are managed by UTI bank, while the web interface, service and publicity looked after by the Times of India group.

Citibank, Remit2India and ICICI Bank's Money2India seem to be the most popular money transfer methods to India

Experiences of  NRIs sending money to India . It is worthwhile reading feedback on Remit2India, since you will not read about any problem in the print media.

They claim to offer low fees or free money transfer, but the exchange rate they offer may be low compared to other companies.   For payment through credit card, an additional amount is charged. They also accept money transfer through Paypal and Moneybookers for an additional fee.

These services can be used only for person to person transactions

For business to business transactions , a merchant account  with a payment gateway is preferred

However,  in India , online services like hosting and payment gateways are typically 100 times more expensive than hosting in the USA . More on payment gateways

If  you have any query , feedback or suggestion, or  wish to share your experience with us, please send an  email  or fill our contact form

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