How do I buy Indian Rupees at the best INR exchange rate?
There are many money transfer services that allow you to buy India Rupees and send it to India. You can use your local bank or a money transfer company such as Exchange4free.
Each service will offer you an INR exchange rate at which you can convert your local currency that you are sending into Indian Rupees. This rate will be based on the interbank exchange rate, which is the rate at which banks buy and sell large amounts of currency. They will price you a certain percentage off the current interbank rate. Usually this 'margin' will be between 3% and 5%.
For example, if you wanted to send 1000 British Pounds to India and the current interbank exchange rate was trading at GBPINR 103.448. Competitors might offer you a rate of 99.3484 (4% margin). This means that your beneficiary would receive 99348.48 India Rupees IF the company doesn't charge transfer fees.
In most cases they will charge a fee to transfer your money. If they charge you a 5 GBP fee, you will only be sending 995 pounds and your beneficiary will receive 98851.65 INR. If the bank you are sending the INR to charges a receiving fee (say of 5 GBP or 500 INR) your beneficiary will only get 98351.60 INR.
Why will you get the best INR exchange rate with Exchange4free?
We quote very competitive margins. This ranges from 0.75 to 2% off the interbank exchange rate, depending on the amount you are sending to India (larger amounts will receive better rates). When you use our service you will also NOT pay any transfer fees and your recipient in India will not pay any receiving fees. In the above example we would offer you an exchange rate of GBPINR 101.379 (2% margin). Your beneficiary will receive 101379.01 INR, which is more than if you send through your bank or one of our competitors.