What Are The Steps Involved In Outward Remittance?

[Shashank Bhaskar]

Outward Remittance transfers money from their Savings Account to an international account. It means it is the act of sending money to another country. An Outward Remittance is beneficial in many ways. It allows the sender to remit funds overseas easily. So, if they have family or friends abroad, they provide them with financial support. The following are the steps involved in this:

Step 1: Enlist your purpose

For any Remittance you need to mention the purpose. As a sender, you should know about this. It should match the following:

• Funding education
• Cover living Expenses
• Funding international travel trips
• Cover medical treatments
• Buying assets overseas
• Gifting/donating funds to an organisation or individual

Step 2: Remittance service

Today, there are different types of Bank Remittance available. This includes Wire Transfer, money order, bank drafts, etc. So, select one that suits your requirements. If your son is studying abroad and you wish to make an International Money Transfer fund, his semester fees. Then, opt for Wire Transfer. It credits the amount in your son’s account within a few days.

Step 3: Collect the recipient & sender’s details

The Foreign Remittance is successful only when you collect the correct details. For this, all the information about you and the recipient should be accurate. Information required is:

• The recipient’s full name
• The recipient’s Bank Account Number
• The recipient’s bank SWIFT code
• The sender’s full name
• The sender’s PAN details
• The sender’s account details
• Amount to be remitted
• Purpose of remittance

Remember, the Remittance may fail if the details are incorrect. So, make sure of these details.

Step 4: Complete the transaction

Thanks to Digital Banking, carrying out such Remittance has become easy. You only need to visit the bank portal. You could even use the Banking app. This way, you complete the process through your smartphone.  Now, choose the overseas transfer option. You get guided to an application form. Here, you fill in the details. Make sure to double-check before submitting it. The duration of the payment process is specified in the end. Ideally, it takes anywhere between four to seven days.

Guidelines & Protocols

The Reserve Bank of India have specific guidelines for Outward Remittances. This is to protect those who make the transaction. So, you know about them. It saves you from making any blunders. For instance, it is compulsory to mention the purpose of the International Remittance. Also, your bank must hold an Authorised Dealer License. These are just a few protocols. It is advisable to go through the others beforehand.