Money Remittance to India- Ways to Receive Money

India is the top receiver of remittances in the world. Maximum amount of money is either sent through demand drafts or electronically. Many banks have started offering money transfer services which has grown into a large business. As per reports, around 40% of international remittances are received by states like Tamil Nadu, Kerala, Uttar Pradesh and Punjab.

There are several ways to send money from Australia to India. You can either send it through wire transfer, demand draft, PayPal and so on. But if you want the funds to reach the recipient quickly and cost-effectively, you can. Online remittance agencies offer low transaction fee as well as currency exchange rates. Many agencies update the exchange rates every six seconds to offer the best option to money senders.

There are not only different ways to transfer but also different ways to receive funds. It is recommended to choose an option that is convenient for the person receiving the money. Here are some of the different modes through which your family or friend in India can receive funds that you send from Australia:

Bank Deposit

This is the most common and convenient way to receive money. Whether you send money through international wire transfer or via online remittance agency, the amount gets deposited in the recipient’s bank account. Many banks have money transfer bank partners and the sender can directly transfer money to recipient’s account if the recipient has an account with any of these banks.

The sender needs to provide the SWIFT (Society for Worldwide Interbank Financial Telecommunications) code, account number and IBAN (International Bank Account Number) or IFSC (Indian Financial System Code) of the recipient’s bank before initiating money transfer. Transfer takes 2-3 business days.

Cash

Cash is also a common mode of receiving money in India. There are several money transfer institutions that provide special services to help recipients pick up funds in cash from their specified agent location. In order to get cash, the recipient will have to show his or her government-issued photo ID proof and tracking number.

Money Order

Third popular mode of receiving money in India is money order. This option is best if the recipient doesn’t have a bank account or is located in a remote destination. Money orders can be delivered to the local address of the recipient directly or it can be delivered at the agent’s location from where the recipient can pick it.

Demand Draft

Even demand drafts or bank cheques are a popular mode of receiving money in India. The recipient can use the cheque and cash it later on. One can send a demand draft or cheque directly to the home address of the recipient.

There are several ways to receive funds when you do. You just need to find out whether or not the recipient needs to pay a certain fee for availing any of the above-mentioned modes to receive money.