Moving to the US is sure exciting and all, but like all dreams, it comes at a cost (or rather “costs”). There’s your colossus university fees, housing expenses, grocery shopping, travel expenses, and whatnot. To handle these expenses, you require a steady flow of money regularly from back home. So it becomes important for you to identify and choose the cheapest way to transfer money from India to the US.
In this blog, we’ll discuss some of the ways you can send money from India to the US and which is the cheapest amongst them for you to make the most out of your buck.
Multiple ways to send money from India to the US
There are multiple ways in which you can get your money from home to tackle your monthly expenses, deal with your high-ticket purchases, pay your university fees, and tackle other living expenses. These are through:
1. Forex Cards
2. Wire transfers with banks
There’s a myth that Forex cards are the most convenient and simple way to take care of your expenses in the States. With a swipe, you can pay for all your expenses in a jiffy.
However, forex cards are not easy on the pockets. There’s a burden of various fees that come with a forex card. Most come with subscription fees, annual fees, penalties for not maintaining a minimum balance, inactivity fees, and hidden exchange rate fees. With so many fees tied to forex cards, it isn’t a cheap money transfer option.
Wire Transfers through Banks
A bank wire transfer is a most common and oldest way to send money abroad. People generally choose this option because it is the fastest and most convenient way to transport large sums of money to the US. But, some banks, in the disguise of that “trust” factor, charge you a hefty remittance fee to send your money to the States. Apart from this, some banks even charge you a hidden exchange rate fee, which is generally a markup on the original exchange rate that you see on Google. When you transfer a big lump sum amount, the fees also grow exponentially. It takes a big chunk of your hard-earned money that is supposed to reach you in the US.
Factors to consider while choosing the Cheapest way to transfer money from India to the US
> Transfer Fee: When looking for the cheapest money transfer from India to US service option, keep a close eye on the transfer fee you will be paying. Ensure that the fee to a bank or money transfer service provider is below 2% of the actual currency exchange value.
> Exchange rates: Some money transfer service providers say they charge you “zero money transfer fees” or “zero commission.” But it’s a hoax.
There is no such thing as zero fee money transfer or zero fee remittance.
It makes no sense to spend an extra dime of your or your parent’s hard-earned money on a service that is designed to loot you. You should receive as many dollars as possible. Thus, you should look for a service that is the cheapest way to send money from India to the US. How do you know which one’s the cheapest?
So, when comparing prices, you should closely look at the exchange rate by different providers and compare it to the one on Google to see how much money you’re losing on the exchange rate. If it’s a lot, you’re charged hidden exchange rate fees.