Indian banks charge between ₹0 and ₹300 as explicit inward remittance fees, but the total cost of receiving international transfers runs much higher.
By the time correspondent banks deduct their share, your bank applies its exchange rate margin, and GST gets added, you can lose ₹1,500–₹2,500 on a typical transfer.
The gap between what someone sends and what you receive depends on which bank holds your account, what type of transfer it is, and how many intermediaries touch the money along the way.
In this article, we'll cover:
- What SBI, HDFC, ICICI, and Axis charge
- Where the deductions happen and how to reduce them
- How international transfers reach Indian bank accounts
- Why charges differ for family support, freelance income, and business payments
What Fees Do Major Indian Banks Charge for Inward Remittances?
Most major Indian banks do not charge a large explicit fee to receive inward remittances, but they recover costs through currency conversion margins, GST, and ancillary charges. The comparison below reflects published fee schedules and typical market estimates — conversion markups vary daily and are not published as fixed percentages.
| Bank | Explicit Inward Fee | FIRC/Certificate Fee | Conversion Margin | GST | Source |
|---|---|---|---|---|---|
| HDFC Bank | No charge | ₹200 + taxes | ~1.5–2% (estimate) | 18% on fees | HDFC Fees |
| ICICI Bank | Varies by segment | ₹100–₹200 (estimate) | ~1.5–2% (estimate) | 18% on fees | ICICI branch disclosure |
| Axis Bank | ₹100–₹300 by segment | Included or separate | ~1.5–2% (estimate) | 18% on fees | Axis SOC PDF |
| SBI | ₹250 (Express Remit) | Varies | ~1.5% (estimate) | 18% on fees | SBI branch schedule |
HDFC Bank
HDFC's published schedule states no charge for the basic crediting service. However, if you need a Foreign Inward Remittance Certificate (FIRC) for tax or compliance purposes, HDFC charges ₹200 plus applicable GST.
The real cost comes through currency conversion — HDFC applies its TT buying rate, which typically runs 1.5–2% below the mid-market rate.
ICICI Bank
ICICI does not publish a single inward remittance fee that applies across all customers. Charges vary by account type, customer segment, and whether you hold an NRI account.
Freelancers and businesses receiving export payments should request a specific fee disclosure before the transfer arrives. FIRC and FIRA (Foreign Inward Remittance Advice) charges apply separately.
Axis Bank
Contrary to some online guides, Axis Bank does charge inward remittance commissions. The bank's official schedule shows fees ranging from ₹100 for certain NRI segments to ₹300 for other account types, plus 18% GST. Intermediary bank charges apply in addition to these published commissions.
SBI
SBI charges ₹250 for inward remittances received through Express Remit. Other channels and products may carry different fees. SBI's conversion rates and exact charges vary by branch and sending country, so recipients should confirm with their home branch before expecting a transfer.
How Do Charges Differ by Transfer Type?
The reason you're receiving money affects which charges apply and what documentation you need. Indian banks and the Reserve Bank of India treat family support, freelance income, and business payments as distinct categories under FEMA (Foreign Exchange Management Act) regulations.
Family Support
Money from relatives abroad for living expenses, medical costs, or general support typically incurs the fewest complications. These transfers credit to regular savings accounts without special documentation requirements (for amounts within normal limits). You pay the standard conversion margin and GST on any bank fees, but you usually do not need an FIRC unless specifically requested.
Freelance Income
If you receive payment for services rendered to foreign clients, the transfer falls under export of services and carries documentation requirements. Your bank may ask for invoices, contracts, or a declaration of the purpose code. Some banks charge additional processing fees for business-related inward remittances.
You will likely need an FIRC or FIRA for tax filing and GST compliance. ICICI and HDFC both issue these certificates, though charges vary.
Business Receipts
Companies receiving export proceeds face the most scrutiny. The RBI requires that export proceeds be realized within specified timeframes and reported through authorized dealer (AD) banks. Documentation requirements are stricter, and banks may apply higher processing charges for business accounts.
B2B cross-border payments often route through specialized channels with fee structures different from those of personal transfers.
NRI Transfers
NRIs moving their own funds to India can use NRE or NRO accounts, each with different tax treatment and fee structures. NRE account deposits from abroad are generally repatriable and tax-free in India. NRO accounts hold Indian-source income and face different rules. The choice of account type affects both the charges you pay and the documentation required.
How Does Money Travel From Abroad to Your Indian Bank Account?
International transfers to India pass through multiple institutions before reaching your account. Each institution applies its own charges, and these deductions happen before you see the credited amount.
The process starts when the sender's bank initiates a wire transfer through the SWIFT network. SWIFT does not move money directly — it sends secure messages between banks instructing them to transfer funds. Because most Indian banks lack direct relationships with foreign banks, the transfer routes through one or more correspondent banks that maintain accounts in multiple currencies.
Sender's Bank
The foreign bank initiates the transfer and typically charges the sender a flat fee (often $25–$50 for wire transfers). This fee does not affect your received amount directly, but it determines which payment method the sender chooses.
Correspondent Banks
Intermediary institutions process the transfer between the sender's country and India. According to Axis Bank's published fee schedule, one or more intermediary banks may collect additional charges from the remitted amount. Deductions typically range from $10 to $25 per transfer, though exact amounts vary by corridor and bank relationships.
Your Indian Bank
The beneficiary bank receives the reduced amount and applies its own charges:
- Processing fees (if any)
- Currency conversion at its quoted rate
- GST on applicable service charges
HDFC, for example, converts the foreign currency at its TT buying rate, which differs from the mid-market rate you see on Google.
A $1,000 transfer from Canada might arrive as ₹68,000 instead of ₹70,000 because of this chain. Nobody warns you about the exact deductions upfront because each institution only sees its portion of the transaction.
Why Did I Receive Less Money Than Expected?
The gap between what someone sends and what you receive comes from deductions at multiple points. Understanding this chain helps you identify where the money went and whether any charges seem excessive.
The typical deduction sequence for a $1,000 CAD transfer to India:
- The sender's bank charges $0–$50, paid by the sender (this does not reduce your receipt directly unless they choose a cheaper method that takes longer)
- Correspondent banks deduct $10–$25 from the transfer amount before it reaches India
- Your Indian bank applies a commission of ₹0–₹300, depending on the bank and account type
- Currency conversion costs 1.5–2% below mid-market rate (on a ₹70,000 equivalent, that is ₹1,050–₹1,400)
- GST adds 18% on top of whatever processing charges your bank applied
On a $1,000 transfer where the mid-market rate would give you ₹70,000, you might receive ₹67,500–₹68,500 after all deductions. The largest single loss is usually the currency conversion margin, not the visible fees.
If the amount you received seems too low, request a breakdown from your bank showing the exchange rate applied, any commissions deducted, and GST charged. Banks are required to provide this information upon request.
How Can You Reduce Inward Remittance Charges?
You cannot eliminate all charges, but you can minimize the gap between what someone sends and what you receive. The biggest savings come from reducing the currency conversion loss, not from avoiding small processing fees.
Compare Bank Rates
Before a transfer arrives, check what rate your bank offers against the mid-market rate on Google or XE. If your bank's quoted rate is more than 2% below mid-market, consider whether a different receiving bank or transfer method would cost less overall.
Request INR Transfers
When the sender converts to INR before sending — rather than sending USD or CAD for your bank to convert — you avoid the Indian bank's conversion margin. This works well with fintech services that offer better exchange rates than traditional banks. Choosing the right transfer service can save 1–1.5% on the conversion alone.
Consolidate Transfers
Multiple small transfers mean multiple sets of correspondent bank deductions. If you receive regular payments, consolidating into fewer larger transfers reduces the per-rupee cost of fixed fees.
Request Disclosure
Do not accept vague explanations about standard charges or market rates. Request specific numbers for each component:
- GST amount
- Any commission charged
- The exchange rate applied
- Whether correspondent charges were deducted
Banks must provide this breakdown upon request.
How RemitBee Reduces the Cost of Sending Money to India
When senders use RemitBee instead of a traditional bank wire, recipients in India keep more of the transferred amount. RemitBee charges no transfer fees on amounts over $500 CAD and applies exchange rate margins of 0.3–0.5% — well below the 1.5–2% typical of Indian bank conversions.
Because RemitBee handles currency conversion before the funds reach India, your bank receives INR directly. That eliminates the conversion margin your Indian bank would otherwise apply. On a $5,000 annual transfer volume, the difference between a 2% bank margin and a 0.3% fintech margin saves approximately ₹7,000 per year.
Transfers arrive within hours for most destinations in India, with real-time tracking so you know exactly when to expect the credit.
Send money to India with RemitBee
Frequently Asked Questions
How Much Do Indian Banks Charge for Receiving International Money Transfers?
Explicit inward remittance fees range from ₹0 (HDFC, ICICI for some segments) to ₹300 (Axis for certain account types). However, the total cost includes correspondent bank deductions ($10–$25), currency conversion margins (typically 1.5–2% below mid-market), GST (18% on fees), and documentation charges like FIRC (₹100–₹200). Combined, these can reduce your received amount by ₹1,500–₹2,500 on a typical transfer.
Does Axis Bank Charge for Receiving International Transfers?
Yes. Despite some guides stating otherwise, Axis Bank's published inward remittance schedule shows commissions of ₹100–₹300 depending on customer segment, plus 18% GST. Intermediary bank charges apply in addition to these fees.
What Is an FIRC and When Do I Need One?
A Foreign Inward Remittance Certificate (FIRC) is a document issued by your bank confirming receipt of foreign currency. Freelancers need it for tax filing and GST compliance. Businesses need it for export documentation. Family support recipients typically do not need one unless specifically requested for visa or loan applications. HDFC charges ₹200 plus taxes for FIRC issuance.
Which Indian Bank Is Best for Receiving International Transfers?
No single bank is best for all situations. HDFC charges no explicit inward fee but applies conversion margins. Axis charges a visible commission but may offer competitive rates for certain NRI segments. Compare the total cost — fees plus conversion loss — rather than just the visible charges. For regular receipts, ask each bank for a specific quote before committing.
