How to Exchange Foreign Currency to Indian Rupees: In your study abroad journey, currency exchange is an important factor that you need to consider. When you come back to India and you have some foreign currency with you then it can be exchanged easily with INR. Currency exchange is affected by many things such as exchange rates, commissions, tax, service charges etc. You should always choose renowned service providers for currency exchange or other Forex services. Hotels and some international airports also provide currency exchange services but they usually charge more. Let’s understand how to exchange foreign currency to India.
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How Currency Exchange Works?
Currency exchange is affected by a lot of factors such as economic scenarios, international market fluctuations etc. The Exchange rates fluctuate daily due to various economic factors, and understanding these dynamics is very important if you are making a transaction in currency. The exchange rate represents the value of one currency in terms of another, and the rate you receive determines how much INR you’ll get for your foreign currency.
- Merchants at the airport and hotels usually charge higher exchange rates than the actual and that’s why they are not ideal places for currency exchange.
- Always understand properly the charges, transaction fee exchange rates etc that will be charged by the service provider.
- Choose a reputed currency exchange that has a good track record in the field. Some renowned currency exchanges in India are Western Union Money Transfer, ICICI Forex Services, Axis Bank etc.
Also Read: Did you know how Foreign Exchange Rates are regulated? Check out this blog on Role of Central Banks in Foreign Exchange Markets
How to Exchange Foreign Currency to INR?
Rahul, an Indian student in the United States, needs to exchange his US dollars for INR. He went to a bank that provides forex services and also did some research online and found a service provider. Now, he decided to compare rates between his local bank and the online platform. After researching, he discovers that the online platform offers a better exchange rate and lower fees, ultimately providing him with more INR for his dollars. The online platform was also a renowned service provider.
- You can understand from the above example that it is very important to do proper research so that one can find the best rates on currency exchange.
- Dedicated service providers like Western Union, Travelex etc. offer better rates as compared to banks.
- Some of the popular merchants for currency exchange are Western Union, Travelex, A&S (operating in the USA) etc.
Exchanging Major Foreign Currencies to INR
Most of the currency exchange centres provide services for all the major currencies of the world like USD, AUD, CAD, GBP, EUR etc. Check some of the examples of exchanging major currencies for the Indian Rupee (INR).
- US Dollar (USD): Given its global prominence, the USD is a common currency for exchange. It is considered one of the strongest currencies in the world. As of December 15, USD 1 equals INR 83.01 (may change based on the exchange rate fluctuations). Platforms like Western Union, ICICI Forex Services, Travelex, etc or any local banks can provide you with currency exchange services and you will experience seamless conversion.
- Euro (EUR): If you’re studying in European countries, dealing with the Euro is inevitable. Exchanges like Thomas Cook offer competitive rates for INR and EUR currency exchange rates. As of December 15, EUR 1 equals INR 91.01 (may change based on the exchange rate fluctuations).
- Great British Pound (GBP): For those pursuing education in the UK, exchanges such as Travelex and UAE Exchange can assist with converting GBP to INR. As of December 15, GBP 1 equals INR 106.09 (may change based on the exchange rate fluctuations).
Also Read: Exchanging Currency in your home country is always a better choice. Check this blog on Top Foreign Exchange Companies in India
Popular Exchanges for Indian Students
Always research properly while exchanging currency and choose a service provider who is authorised and offers the best rates. For example, if you are in New York, then try to find the best currency exchange centres in New York which are authorised and doing business legally. Check out some of the best currency exchanges for Indian Students below:
Thomas Cook
Thomas Cook offers competitive exchange rates to its customers. You can visit their office or website and avail the service. It also offers a range of foreign exchange services, including currency exchange and it also has a good track record in rendering such services. It has a strong presence across India and provides online and offline services.
Travelex
Travelex is a global brand with a presence at major international airports. It has its office in New York also and is open 7 days a week. For USD to INR conversion, you can visit this centre during their office hours. They offer genuine exchange rates and low commissions. It also allows online ordering and home delivery of foreign currency.
UAE Exchange
UAE Exchange is known for its widespread network and reliable services. It offers student-specific forex solutions and offers competitive exchange rates. However, you should always compare among multiple merchants and don’t settle for the first option.
This was all about How to Exchange Foreign Currency to Indian Rupees. Whether you opt for online platforms like Western Union or traditional services offered by banks, staying informed and making informed choices will ensure a hassle-free experience in managing your finances while studying abroad.
To learn more about education loans, the best bank accounts for students, forex, banking experience for global students, or international money transfers, reach out to our experts at 1800572126 to help ease your experience with studying abroad.
FAQs on Exchange Foreign Currency to Indian Rupees
You can choose any currency exchange service provider for exchanging US dollars for Indian Rupee. Do proper research and find a merchant that provides the best exchange rates and has low commission or transaction fees.
As per the current exchange rate, you will get INR 9967.70 for USD 120. Please be informed that the currency exchange rate fluctuates based on various factors and the amount at the time of exchanging the currency may be different as stated above.
You can exchange your currency at airports hotels or any currency exchange service provider in the city where you are residing.
To exchange foreign currency, you typically need a valid passport, visa, and proof of your residential address in India. Some providers may also ask for student status verification.
Yes, most international airports in India have currency exchange counters where you can exchange foreign currency to Indian Rupees. However, exchange rates at airports may be higher.
Exchanging currency at a bank often offers better rates and security. However, currency exchange service providers might be more convenient, especially for smaller amounts.
To get the best exchange rate, compare rates from different banks and authorized dealers. Avoid exchanging at airports or hotels, where the rates are often unfavourable.
Yes, many banks and currency exchange providers offer online services where you can order currency exchange and have INR delivered to your address or pick it up from a branch.
There are no specific limits for exchanging foreign currency to INR. However, transactions above INR 50,000 may require you to provide proof of source of funds.
No, you do not need to pay tax while exchanging foreign currency to INR. However, a Tax Collected at Source (TCS) may apply for large remittance amounts as per RBI guidelines.
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