How to buy foreign currency? This is a question worth asking while travelling abroad. You could be on a business trip or a holiday. You can buy foreign currency in several ways.
Visit your local bank branch: First, we will see how to convert currency manually. For this, you may approach your local bank. Banks generally offer competitive exchange rates and charges. Visit the bank in person on a working day to buy the foreign currency you need. HDFC Bank branches have forex services that let you buy foreign cash in 22 major currencies.
Go to a forex dealer or travel agent: Similarly, you can buy foreign exchange from your travel agent. You can also buy foreign exchange from Reserve Bank of India (RBI)-authorised foreign exchange dealers. You should compare exchange rates offered before buying.
Order online: There are several online options to buy foreign currency. Here, buying foreign currency is only a click away. Many banks provide online forex services. To buy foreign currency, you need to visit the bank’s website and log in to internet banking. The facility is usually available during working hours.
Otherwise, you can opt for one of the online forex players. You can order the currency online and get it delivered at your doorstep. Or, you may have the option of picking it up from a branch. With all these details, don’t get worked up over how to get foreign currency.
These online sites will have an exchange rate calculator. First, decide the amount of foreign currency you need. You need to select the currency you have. Next, select the currency you want to convert it to. The site will display the exchange rate. Also, check the currency conversion fee. Using this tool you will get to know how much local currency you need.
If you are getting it delivered at your doorstep, shipping charges may be involved. If you are buying a certain amount of currency, there is generally a waiver. A forex dealer may waive off this fee for orders over Rs 50,000. You need to order foreign currency online at least three days in advance. If you have a shorter time, do it offline. You can also lock-in an exchange rate by paying a refundable advance fee.
At the airport: Like banks, you can also buy foreign currency at the airport. However, it should always be your last resort. This is because you have to pay higher fees and currency conversion charges. For a similar reason, you are also advised to not buy foreign currency at a hotel.
As discussed, there are several ways of buying foreign exchange. Compare exchange rates before making a decision.
Looking for the best way to buy foreign exchange? Click here.
FAQs
So, whether you are wondering how to buy dollars or euros in India, you can visit your nearest bank branch and submit a currency exchange request for the desired amount. Banks buy and sell foreign exchange at rates according to the Reserve Bank of India (RBI) guidelines.
Which bank can exchange foreign currency in India? ›
The RBI regulated banks are legally permitted to buy or sell foreign currencies. You are eligible to exchange Foreign Currency only If you have an NRO Account, with any Indian bank. If you have an NRO Account with ICICI Bank, you can easily get the Foreign Exchange in India.
What is the process of currency exchange in India? ›
Exchange through banks:
The bank charges a nominal transaction fee. At times for verification purposes, the bank may ask for identity proof and address proof. If you carry out a currency exchange in India in this way, the Know Your Customer (KYC) requirements should be up-to-date.
How can I buy foreign currency? ›
Though there may be a small fee if you exchange less than a certain amount, your bank or credit union will almost always be the cheapest place to exchange currency. You may be able to order currency at a branch location, by phone, or online to have it delivered to you or to pick up at a branch.
How to purchase new currency? ›
How can I get new currency? To obtain new currency, we recommend you contact your local bank to see if it has new currency inventory. Federal Reserve Banks provide currency only to depository institutions, which then distribute it to members of the public.
What documents are required for buying dollars in India? ›
Documents Required
The following is a list of documents that are usually required: Indian passport. A valid visa for the destination country. Confirmed ticket indicating travel within 60 days of obtaining foreign exchange.
Which bank is best for currency exchange? ›
Top Banks That Exchange Foreign Currencies
- TD Bank: TD Bank offers 55 different currencies. ...
- Service Federal Credit Union: The number of currencies available for customers at Service Credit Union exceeds 60. ...
- US Bank: Customers of US Bank can exchange money at a nearby branch.
Indian banks are the trustworthy and safest place to get your currency exchanged. In addition to getting a good deal on exchange rates, you will also get great assistance from bank employees. You also will not need to have a bank account to exchange the currencies.
Can I hold foreign currency in my bank account in India? ›
A non-resident who is an OCI or NRI can open a foreign currency non-resident account in India. The Foreign Currency Non-Resident account is only allowed to be a term deposit, versus a savings or current account for residents. The term deposit is required to be a minimum of 1 year and have a maximum time of 5 years.
What are the rules for currency exchange in India? ›
In terms of sub-section 4, of Section (6) of the Foreign Exchange Management Act, 1999, a person resident in India is free to hold, own, transfer or invest in foreign currency, foreign security or any immovable property situated outside India if such currency, security or property was acquired, held or owned by such ...
Conclusion. Bringing US dollars or other foreign currency to India involves adhering to the regulations set forth by the Reserve Bank of India. While there are no restrictions on the amount of currency you can bring, any sum exceeding US $5,000 must be declared to customs authorities using a Currency Declaration Form.
What documents do I need to exchange money? ›
- You'll be able to collect major currencies from us immediately at any forex outlet. ...
- We'll need to see your ID, passport and travel ticket.
There's no limit, however, to how much foreign currency you can bring into India. Although, you will have to declare it if the amount exceeds US$5,000 in notes and coins, or US$10,000 in notes, coins, and traveller's cheques².
Should I buy foreign currency before I travel? ›
Ordering currency from your bank before you travel is almost always better than using the airport currency exchange. Sally French is a travel rewards expert who joined NerdWallet in 2020.
Is it legal to store foreign currency in India? ›
In terms of sub-section 4, of Section (6) of the Foreign Exchange Management Act, 1999, a person resident in India is free to hold, own, transfer or invest in foreign currency, foreign security or any immovable property situated outside India if such currency, security or property was acquired, held or owned by such ...
