Can I make a foreign currency transaction for friends buying online outside India?

Asked by: Justin Houston

Can I buy something online with a different currency?

Put simply: if you buy something with a credit card, and the transaction needs to be processed into a foreign currency to complete the payment, you get slapped with an additional fee from the credit card companies for the trouble.

Who are permitted to buy and sell foreign currency?

Foreign exchange can be purchased from any authorised person, such as an AD Category-I bank and AD Category II. Full-Fledged Money Changers (FFMCs) are also permitted to release exchange for business and private visits. Q 3.

Is it legal to transfer money from abroad to India?

Under the RDA Route, there is no limit on the amount of money that can be transferred to India concerning personal transactions. There is a limit applicable in case of business transfers. Under the MTTS Route, a limit of USD 2,500 is imposed per transaction.

What are the RBI guidelines for foreign exchange transactions?

RBI Guidelines for Foreign Exchange Transactions

  • RBI allow remittance of up to USD 25,000 per calendar year.
  • You can remit in foreign currency for an RBI-approved purpose.
  • You can buy FOREX up to USD 25,000 only.
  • If you bring FOREX beyond a specified limit to India, you must declare it.

How do I pay for overseas purchases?

How do I pay a bill from another country?

  1. Credit card. Giving your credit card details online, or directly to someone you are paying the bill to, means you are likely to be charged a fee as a percentage from your bank or card issuer. …
  2. An International Money Transfer Online. …
  3. PayPal. …
  4. Western Union. …
  5. Set up a local bank account.

How Much Does Visa charge for international transactions?

1%

The foreign transaction fee consists of two parts: Network fee (or currency conversion fee): This part of the FX fee is charged by the credit card network (Visa or Mastercard, for example). Visa and Mastercard both charge a fee of 1%. Regardless of the type of credit card, this fee is applied to all transactions.

What is punishment for forex trading in India?

Hi, there is no punishment for doing forex trading in india. There is punishment for misusing USDOLLERS from RBI Reserves ( if you think you deposit USDOLLERS from your INR bank account, RBI have to pay USDOLLERS behalf of you) and also It is our responsibility to save our foreign reserves.

Is buying foreign currency illegal?

Forex trading is legal, but not all forex brokers follow the letter of the law. July 26, 2021, at 1:21 p.m. Forex Brokers: Are They a Scam? Forex, or the foreign exchange market where investors and institutions trade currencies, is the biggest financial market in the world.

What are the documents required for foreign exchange?

Documents Required to Exchange Foreign Currencies in India

  • Indian Passport.
  • Confirmed Air Ticket showing travel within 60 days.
  • PAN Card/AADHAR Card/Voter ID Card; any other KYC document.
  • Valid Visa (mandatory for some countries) For Selling Forex.

Should I pay in my own currency online?

Typically you are better off opting to pay in the local currency, rather than converting to Sterling as you make the purchase. If you pay using the local currency, the transaction will then be converted into Sterling at the Mastercard, Visa or Amex own rate.

Can I buy something in dollars with pounds?

This sounds like dynamic currency conversion – you should always choose to pay in the currency of the country you are in, e.g. pounds in the UK. If you pay in dollars in the UK you will be subject to an exchange rate set by the retailer, which won’t be good value.

Can I buy something in euros with dollars?

Bank. You can buy euros with dollars at major banks like Wells Fargo and Bank of America. You will need to be a bank customer already and can order euros online easily.