International Wire Transfer: All You Need to Know
International wire transfers are the backbone of global payments, powering everything from exports and remote freelancing to SaaS subscriptions. As India’s exports hit record highs and more businesses work with international clients, knowing how to send and receive money across borders is now a must.
But how exactly do international wire transfers work? How long do they take, what fees should you expect, and are there safer or cheaper alternatives? In this guide, we’ll break down everything Indian exporters, freelancers, and SaaS businesses need to know, covering step-by-step processes, timelines, costs, and compliance tips so you can move your money with confidence.
What is International Wire Transfer?
An international wire transfer is an electronic transfer of money from one bank account to another across countries. No physical cash changes hands; everything happens digitally, with your bank and the sender’s bank communicating securely.
Most international wire transfers use the SWIFT network (Society for Worldwide Interbank Financial Telecommunications). SWIFT acts as the world’s messaging system for banks, allowing them to send payment instructions using unique SWIFT/BIC codes. That’s why international wire transfers are also known as SWIFT transfers or simply bank transfers.
Example: If a client in the US wants to pay you in India, they’ll instruct their bank to send money to your Indian bank account via SWIFT. The payment travels securely between banks, no physical money ever moves, just electronic records and confirmations.
To receive an international wire transfer in India, you’ll typically need to provide your bank account number and the correct SWIFT code for your branch.
How do International Wire Transfers Work?
Wire transfers operate by sending a secure message from the sender’s bank to the recipient’s bank, instructing them to deposit the specified funds into the recipient’s account. The sender pays for the transaction upfront, and the funds are transferred electronically.
Upon receiving the message, the recipient’s bank deposits the funds into the recipient’s account. The two banks then settle the payment on the back end, ensuring a secure and efficient transfer process. This method ensures that the funds are transferred quickly and safely, making wire transfers a reliable option for sending money.
What Documents and Information Do You Need for International Wire Transfer?
If you’re receiving an International Wire Transfer, share these details with the sender to ensure your payment reaches you smoothly:
- Your full name and address (exactly as registered with your bank)
- Your bank account number and account type (savings/current)
- Your bank’s name and branch address
- SWIFT/BIC code of your bank branch (this is critical for international payments)
- Purpose code for the remittance (required by the RBI for all inbound international payments)
- (If requested) IBAN (mainly for payments from Europe, usually not needed for Indian banks)
If you’re sending an International Wire Transfer, be ready to provide these details to your bank:
- Beneficiary’s full name and address
- Beneficiary bank’s name, branch address, and SWIFT/BIC code
- Beneficiary’s account number (or IBAN for European accounts)
- Amount and currency you wish to send
- Purpose of transfer (required by RBI for outbound remittance under LRS or business code)
Pro Tips:
- Accuracy matters: Even a small typo in account number or SWIFT code can delay or block your transfer.
- Double-check everything: Wire transfers are generally irreversible, so make sure every detail is correct before sending.
Note: Banks may ask for additional documentation, like a government ID, PAN card, or paperwork supporting the purpose of transfer (university admission letter, medical bills, etc.), especially for high-value or special-purpose transfers.
How to Make an International Wire Transfer (Step by Step)
You have a few options to send an international wire transfer. Choose what’s easiest based on your bank and needs:
Method 1: Online Banking (Most Convenient)
- Log in to your bank’s online portal.
- Find the “International Funds Transfer” section.
- Enter the recipient’s details (name, account number, SWIFT/BIC code, bank address, etc.).
- Specify the amount and currency.
- Confirm the transfer, usually via OTP.
- Pay the applicable fee (typically ₹500–₹1,500 for Indian banks).
Method 2: Banking App or Phone Banking
- Use your bank’s mobile app for a similar process as above.
- Some banks also let you initiate wires by calling their phone banking service after verifying your identity.
Method 3: In-Person at a Bank Branch
- Visit your branch and fill out the wire transfer form.
- Provide all required documents (ID, PAN, beneficiary details).
- The staff will guide you through the rest.
Method 4: Third-Party Providers
- Services like Western Union, MoneyGram, PayPal, Wise, and others can also process international wires.
- These may have different fees, transfer speeds, and exchange rates. Always check the full cost.
Note: If you’re receiving money, you typically don’t need to do these steps, just provide your bank and account details (see previous section). But knowing the process helps guide your overseas clients.
Is International Wire Transfer Safe?
Yes, international wire transfers are generally considered safe. They rely on highly regulated networks like SWIFT, which use secure, authenticated messaging and strong encryption to protect every transaction. Banks also carry out strict identity checks (KYC) and monitor for suspicious activity to guard against fraud. Every transfer comes with a unique reference number for traceability and dispute resolution.
A few safety tips:
- Only share your bank details (account number, SWIFT code, etc.) with people and businesses you trust.
- Watch out for phishing emails asking for your bank information—always double-check such requests.
- If anything seems off or unexpected, contact your bank before proceeding.
What Are the Compliance Regulations Around International Wire Transfers?
International wire transfers in India are governed by the Reserve Bank of India (RBI) under FEMA (Foreign Exchange Management Act). Only Authorised Dealer Category-I (AD Cat-I) banks can process these transfers.
What you need to know:
- Purpose Code: Every incoming or outgoing transfer must include a valid purpose code (e.g., export of goods, freelance services, software exports). This code tells the RBI the reason for the transfer and ensures the funds are used appropriately.
- FIRC/FIRA: When you receive money from abroad, your bank must issue a Foreign Inward Remittance Certificate (FIRC or FIRA) as official proof of receipt. This document is essential for export incentives, tax filings, and audits. Most banks charge a fee for this and only provide it on request.
- Accurate Reporting: If the purpose code is missing or incorrect, or if supporting documents are not submitted for large transfers, your funds may be delayed or even put on hold.
International Wire Transfer Fees (Costs Involved)
International wire transfers come with a mix of visible and hidden costs. Here’s what you need to look out for:
1. Outgoing Wire Fee (Sender’s Bank): The sender’s bank usually charges a flat fee or percentage (often $30–$50 per transfer for foreign banks; for Indian banks, up to ₹1,500 for outward transfers plus GST). For international payments, clients often pass on the SWIFT fees to the receiver, further reducing the amount you receive.
2. Incoming Fee (Recipient’s Bank): Indian banks often advertise “free inward remittance,” but what they really do is make their money on the currency conversion (forex markup), not on a direct fee.
3. Intermediary Bank Fees: If the money passes through intermediary banks (which is common in SWIFT transfers), each can deduct its own fee in transit, meaning you might get less than the amount sent, and this deduction is unpredictable.
4. Forex Conversion Markup: The biggest hidden cost. Banks rarely offer you the real mid-market rate (the one you see on Google or XE.com). Instead, they add a margin (typically 1–3%) to the rate, which can cost you thousands on a large transfer. Example: If $1 = ₹84 in the market but your bank gives you ₹82, you lose ₹2 per dollar. On $5,000, that’s a ₹10,000 loss, much more than any flat fee.
5. FIRC/FIRA Fees: For compliance, you’ll need a Foreign Inward Remittance Certificate (FIRC or FIRA). Some banks (e.g., Axis) charge ₹250 per certificate.
6. GST/Tax: All bank service fees (not the transfer itself) attract 18% GST in India.
7. Cancellation/Amendment Charges: If a transfer needs to be cancelled or amended, some banks charge an additional fee (e.g., HSBC charges ₹100 + tax for cancellations).
What Are the Fees Charged by Indian Bank to Send a Wire Transfer
| International wire transfer fee (Outward remittance) | Upto INR 1000 |
| GST | 18% of the amount paid as fees. |
| International wire transfer fee (Outward remittance) | Upto INR 1500 |
| GST | GST is further levied on the fees paid |
| International wire transfer fee (Outward remittance) | 0.3% of value (min INR100, max INR1,500) + cable charge of INR200 for same currency wire transfer + applicable taxes |
| International wire transfer fee (Inward remittance) | INR300 + applicable taxe |
Tip: Traditional banks add a forex spread, but modern platforms like Skydo let you receive at mid-market rates, so you keep more of your money. If you're curious about how much you must pay while receiving a wire transfer, check our FX calculator to easily get accurate information.
How Long Does It Take to Receive an International Wire Transfer?
Most international wire transfers to India take 1 to 5 business days to show up in your account.
- Fastest: If everything goes smoothly (major banks, accurate details, and sent early in the day), you might receive the money in 1–2 business days.
- Typical: For most transfers, expect it to arrive within 3–4 days.
- Delays: Sometimes it can take longer (5 days or more), especially if there are issues along the way.
What affects the timing?
- Intermediary banks: Each extra “hop” (bank between sender and receiver) can add a day.
- Weekends/holidays: Banks don’t process transfers on weekends or public holidays in either country.
- Cut-off times: If the wire is initiated after the bank’s daily cutoff, it won’t be processed until the next working day.
- Compliance checks: Large amounts or random security reviews (anti-fraud, anti-money laundering) can slow things down.
- Incorrect details: Any error, like a wrong account number or name mismatch, can trigger manual review or even cause the funds to bounce back.
Tip: If you haven’t received your payment after five business days, check first with the sender to confirm everything was sent correctly. Then, reach out to your bank for a status update or tracking help.
How to Track an International Wire Transfer
Unlike tracking a courier, you can’t watch your wire transfer move in real time, but you do have options if you’re waiting for funds. Every international wire comes with a unique SWIFT reference number (sometimes called a UTR or transaction reference). Ask your sender for this number. You can also request an MT103 document from the sender’s bank, it’s a detailed payment confirmation that acts like a “receipt,” showing where your money is in the SWIFT network.
If your payment is delayed, follow these steps:
- Confirm with the sender when the transfer was made and for how much.
- Get the SWIFT reference or MT103 from the sender.
- Contact your bank’s international remittance team with those details.
Your bank can then use this information to investigate, often pinpointing whether the payment is still in transit, held by an intermediary bank, or if there’s a problem. Some banks even offer online tracking portals for SWIFT payments, or you can call customer support and provide the reference for a status update.
Tip: Waiting a few days is normal, but if your transfer is overdue, don’t hesitate to ask both the sender and your bank for help.
How to Reverse or Cancel an International Wire Transfer
If you’re the sender and realize you’ve made a mistake, maybe you entered the wrong amount or sent money to the wrong person, the first step is to contact your bank immediately and request to cancel or recall the transfer. If the payment hasn’t yet left your bank or is still making its way through the SWIFT network, there’s a good chance it can be stopped (although banks may charge a recall fee).
However, once the funds have reached the recipient’s account, your bank usually cannot reverse the transaction on its own. In that case, you’ll need to contact the recipient and ask them to return the money. That’s why acting quickly is crucial; the sooner you notify your bank, the better your chances of a successful reversal.
Tip: Double-check all details before sending an international wire to avoid these headaches.
If you’re the receiver in India and notice an unexpected or incorrect incoming amount, notify your bank right away, and they can coordinate with the sender’s bank if needed to help resolve the issue.
Alternatives to International Wire Transfer
Skydo’s Virtual Accounts: Skydo is rapidly becoming the go-to choice for Indian exporters and freelancers looking for a smarter, faster way to receive international payments.
With Skydo, you get international virtual accounts in key markets (US, UK, Europe, Australia, and more), allowing your clients to pay locally and skip the usual SWIFT fees and delays. Funds are transferred to your Indian bank account at the live forex rate with a transparent, flat fee, no hidden markups or intermediary bank charges.
You also get instant FIRC for compliance, and everything is handled digitally for convenience and security. For many, Skydo combines the best of global fintech, speed, savings, and simplicity.
Wise (formerly TransferWise) : Wise is known for its transparent fees and mid-market exchange rates. Senders in over 80 countries can transfer money using local payment methods, which often means faster and cheaper transfers than banks. To maximise savings, both sender and receiver may need Wise accounts, and fees, though generally lower, do scale with larger payments.
Payoneer: Payoneer offers Indian businesses and freelancers virtual US/EU accounts, making it easy to receive payments from marketplaces like Amazon or clients abroad. The platform is popular for its ease of use, but be aware of withdrawal and currency conversion fees, as well as possible monthly inactivity charges.
PayPal: A longstanding favourite for freelancers, PayPal enables easy invoicing and payment collection worldwide. However, the convenience comes with currency conversion markups (around 4%) and 4.4% transaction fees.
Other services like Western Union or MoneyGram exist, but are typically used for personal remittances due to higher costs and limited suitability for business transactions.
Choosing What’s Best for You : Ultimately, the right alternative to international wire transfers depends on your business needs—cost, speed, convenience, and what your clients are comfortable with. Increasingly, Indian exporters and freelancers are choosing fintech solutions like Skydo and Wise, which offer transparency, lower fees, and a more seamless experience compared to traditional bank wires.
Receive Fast and Secure International Payments with Skydo
Traditional international wire transfers can be slow, unpredictable, and expensive, with days of waiting, surprise SWIFT fees, and hidden losses on currency conversion. Skydo solves these pain points for Indian exporters and freelancers by reimagining how you get paid from overseas clients.
Virtual Global Accounts: With Skydo, you get free virtual accounts in key markets like the US, UK, and Europe, so your clients can pay you as if they’re making a local transfer—bypassing SWIFT fees, intermediary deductions, and settlement delays.
Live Forex, No Markup: Funds are credited to your Indian bank account at real-time exchange rates with zero markup. That means no more losing money to hidden currency fees—what you see is what you get.
Flat Fee & Quick Settlement: Every payment comes with a transparent flat fee, and you typically receive your funds in 24–48 hours, much faster than the usual 3–5 day bank wait.
Compliance, Simplified: Skydo handles all RBI compliance for you. Every transaction comes with a free FIRC, and you can access everything digitally, no paperwork, no follow-ups.
By addressing the real pain points of international wires, Skydo helps you get paid faster and keep more of your hard-earned money.
Ready to make your global payments effortless? Sign up with Skydo and experience a better way to receive international payments.
How Long Does International Wire Transfer Take?
eceiving an international wire transfer in India usually takes 1 to 5 business days. However, the exact time can vary based on several factors including currency conversion, public holidays etc
Is International Wire Transfer Safe?
Is wire transfer the same as NEFT?
Is IBAN the same as wire transfer?
Is wire transfer the same as SWIFT?
Which Banks in India Support International Wire Transfer
