Know the ways to exchange currency in India and the documents required.
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You can exchange foreign currency in India using various convenient modes. Some popular options to consider for foreign currency exchange include banks, airports, RBI-approved money changers, ATMs, and forex service platforms. You must submit copies of your passport, Visa, identity and address proof, along with confirmed air-tickets to obtain forex.
Whether you are a tourist travelling to India, or a Non-Resident Indian (NRI) returning home with foreign currency, you may need to convert foreign currency to Indian rupees to manage your expenses here. Thankfully, currency conversion in India has become incredibly convenient. Today, various currency exchange providers let you convert your foreign currency. If you are confused about the process and want to know how to change the currency in India, this article is for you.
The different ways in which you can exchange foreign currency in India include the following:
The Reserve Bank of India (RBI) permits Indian banks to buy or sell foreign currencies legally. Hence, you can visit any RBI-authorised bank to exchange foreign currency in India. If you are a Non-Resident Indian (NRI), you can use your NRO Account to access the foreign currency exchange facility. Banks typically charge a relatively lower currency mark-up rate.
Almost all international airports in India have a designated currency exchange counter. These are ideal for last-minute exchange or buying of foreign currency. Since exchanging foreign currency is convenient at airports, it may attract a higher commission and currency exchange rate. Hence, it is better to choose exchange currency at airports only if you are in a hurry.
RBI-approved money changers are categorised into two types – Authorised Dealer Category II and Full-Fledged Money Changers (FFMC) licence holders. You can approach either of them to complete the procedure to exchange foreign currency in India. You need not have a bank account for such currency exchange. These money changers offer services in all the major cities and towns throughout India.
If you want to try a straightforward method to get Indian rupees while in India, ATM withdrawal is another option. You can use the ATM Card of your country of residence to withdraw Indian currency. Banks typically levy additional charges, including an exchange rate fee, service charge, transaction cost, etc., for cash withdrawal at ATMs using a foreign bank card. You must check the overall costs incurred before using the ATM withdrawal method.
You can also use forex online platforms to exchange currency in India. You can enter the specified currency you want to exchange and get cash via authorised forex vendors in your area. You can also check the exchange rate online to finalise the cost before exchanging forex. Once you have completed the formalities, you will receive the exchanged Indian rupees in the currency form or a Forex Prepaid Card depending on your choice.
The documents required for exchanging foreign currency in India include:
Now that you know how to exchange foreign currency in India, you can choose your preferred currency exchange medium. Remember to research the financial institutions and authorised currency exchange service providers before making a transaction. You must check their credibility, exchange rate, transaction fees, efficiency, etc., to get the best deal.
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The purpose of this blog is not to provide advice but to provide information. Sound professional advice should be taken before making any investment decisions. The bank will not be responsible for any tax loss/other loss suffered by a person acting on the above.