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What is the best way to receive international payments in India?


Jan 16, 2023

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Are you trying to receive international payments in India and having a difficult time finding the best way? We’ve created a comparison to help you find the best way to transfer money to India.

International businesses in India understand that all it takes to reach the world is some good online marketing and a strong payment process. The latter is often the most important piece in the picture. Even if you are a freelancer, it is now easier than ever to have customers in Europe, South America or anywhere in the world.

India is a fast-growing fintech market. International money transfer between India and the world skyrockets day by day. How India receives money from abroad is the primary concern of many Indian traders. But with all the different online and offline payment options out there, it can be hard to sift through them all to find out which one is best for you and your customers. And, to know which element to consider when making the decision. So let’s figure out the best way to receive international payments in India below.

What is the best way to receive international payments in India?

How do I receive money in India?

Banks and money transfer providers offer different services at different costs which can confuse customers. But the things to look at when receiving payments into India is the ease of use, how long it takes for the money to arrive, limits of money to receive, and last but not least, fees. Ensure that you aren’t getting charged with hidden fees when receiving money into India.

Best way to receive international payments in India with services providers


If you want to recommend to your customers the best way to receive international payments in India, DNBC can be an option. The company uses its network to keep costs low and transparent. You will not find a hidden fee here. Plus with the ability to have payments from over 170 different countries into India, it is a no-brainer. Sign up for a free DNBC account now and save money while growing your business.


PayPal has been in the global money transfers market for a long time. And while it is a big name, that doesn’t mean it’s the cheapest or easiest to use. It usually requires you to also open a Paypal account and then you get charged when connecting it with your regular bank account. So there are often cheaper and better providers for receiving international payments.


Instamojo offers payment links and a payment gateway for your online business, with no annual fee, maintenance fee or commitment. But that is just for domestic payments. The platform does not offer multi currency and all payments are processed in Indian rupees. To conduct international payments, you will have to contact Instamojo directly.


Payoneer allows users to pay in local accounts in USD, EUR, GBP, JPY, AUD, CAD & MXN. That makes it easier for your customers. And you can move the money into your INR account once it’s finished. But that does come with a 2% fee above the mid-market exchange rate to move to your local bank, plus fees to your customer.

Best way to receive international payments in India with banks

HDFC bank

HDFC offers international money transfers into India in 22 currencies. A foreign currency demand draft and foreign currency cheque collection are also available. There is no charge for receiving money but the charges will be applied from the sender’s side.

ICICI bank

ICICI offers incoming remittances using a wire transfer into your business or individual account in India. You will need to provide your overseas client or business partner your account number and the details of the money with the wire transfer instructions. Once your sender receives the payment, it’ll take 24-48 hours to receive it at ICICI. You may then need to provide supporting documentation to the bank to receive it in your business account.

Axis bank

Axis bank lets you receive incoming remittances or payments directly into your business account through either their online inward remittance option, SWIFT or wire transfer. These are however only offered to 14 currencies and you will need to provide necessary documents to verify the transaction.

When it comes down to choosing a provider, it is important to look at the cost and speed it takes to receive the fund. Normally lower fees means longer transfer and vice versa. So it is important to balance between the two that works for you. And just to keep in mind, DNBC can offer low fees and fast transfers for most transactions to India.

Is money transferred from overseas to India taxable?

So you’ve got the best way to receive international payments in India or a provider which works best for you, but that’s not the end of the story. How about the tax effect on you and your business when you receive international transfers?

If you receive income from your freelancing job, the amount received will be added to your total income for that year and taxed accordingly. If you are a business receiving the funds, you are not taxed on the amount received but on the profits of the business.

Finally, if you are an individual receiving the payment into your personal account and it is from a client, any amount above Rs. 50,000 is liable to taxes. This is different from receiving money from a relative where the money is not taxable.

Best way to transfer money internationally from India

There are several ways available that you can choose to transfer money internationally from India.

The preferred method will depend on the purpose for which you are sending money, or precondition, like whether you require the money to reach early in case of an emergency, are looking for a budget substitute or would like to go with only a specific institution such as your bank or online platforms.

1. Bank drafts or cashier’s checks

Bank drafts or cashier’s cheques are available at various bank across the country. You can physically purchase the bank drafts or cashier’s cheques in the currency of the country you’re sending money to. They are ideal ways to send money abroad as they are comparatively cheap, however take longer to reach the recipient. The drafts and cheques are trackable in case they don’t reach the destination, and offer total peace of mind while transferring money internationally from India.

2. International Money Order

Before online wire transfers came out, money orders were a popular way to send money abroad, even for people who didn’t know how to send money to another country. Money orders can be deposited into your bank account or cashed at any check cashing locations. It is still a safe and low-cost way of sending money out of India.

3. Online Money Transfer

Online money transfer is one of the simplest ways to send money abroad. Many Indians use this method to transfer money to a foreign account from India. The process simply requires the receiver’s account details, IBAN or SWIFT code of the recipient bank, account holder information, etc. However, do keep in mind since this process excludes intermediary banks, you may be levied heavy taxes and high exchange rates.

4. Online Wire Transfer

There are several financial institutions available which you can use to make a wire transfer such as banks, or authorized money services providers, such as DNBC, Western Union etc. This method does often take longer than online money transfers but is one of the cheapest ways to send money abroad. Online wire transfers include intermediator banks to send money overseas, to be able to provide affordable or negligible overhead charges.

DNBC is an ideal option as it offers a fast and transparent money transfer solution. Opening an account in just minutes, combined with 3-month free maintenance fee program , it is a great opportunity for any Indian who wants to transfer money to a foreign account from India.

Nowadays, you have a variety of options to make a money transfer internationally from India, and have access to tremendous companies and online platforms to choose from. Whichever one you choose, make sure to give the right recipient account number and other details. Do not forget to compare fees and exchange rates and pay attention to how long the transfer will take. Always keep a record of your transaction in case you need to track it in the future and be aware of frauds and scams. Only choose trusted platforms when it comes to dealing with your money.

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Note: The content in this article is for general informative purposes only. You should conduct your own research or ask for specialist advice before making any financial decisions. All information in this article is current as of the date of publication, and DNBC Financial Group reserves the right to modify, add, or remove any information. We don’t provide any express or implied representations, warranties, or guarantees regarding the accuracy, completeness, or currency of the content within this publication.