In today's global economy, Indian exporters are doing business all over the globe, with the United States remaining one of the most important markets. Finding an international buyer is an important step for exporters but once you have successfully closed a deal, the next big step is receiving money from the US to India, efficiently with minimal fees.

This blog will help all the Indian exporters find the best ways to receive international payments from the US to India, explaining the pros and cons of each method. This blog will also explain why Infinity is the smartest choice for USD to INR payments.

Why do Efficient International Payments Matter for Exporters?

An efficient payment method means getting paid on time and with minimal losses. While receiving international payments like USD to INR, Indian exporters often face challenges like:

• Hidden fees

• FX margin on live exchange rates

• Delayed settlement time

• Compliance issue

Choosing the right payment method ensures a faster settlement time, transparent exchange rate, minimal platform fees and better control on receivables.

Popular methods for Indian Exporters to receive money from the US to India

Let's explore all major options that Indian Exporters can use for receiving money from the US, weighing the pros and cons of each method.

1. Wire Transfer via SWIFT

The SWIFT network stands for the Soceity for worldwide interbank financial telecommunications. It is a traditional, bank-to-bank channel used for cross border payments. Under the SWIFT network, the buyer in the US initiates a wire transfer from their bank, and the amount is diverted through intermediary banks before finally reaching the exporter's Indian bank account.

Wire transfers through SWIFT are widely recognised for offering a secure method of transferring money from the US to India, which is why many businesses still rely on them.

Pros of the SWIFT network:

• Trusted and secure.

• Globally accepted.

Cons of the SWIFT network:

• High transfer fees (up to $30-$50 per transaction).

• Poor exchange rates (Banks often add hidden markups).

• Slower processing time(3-5 business days).

• Complex documentation for exporters.

2. Online Payment Gateways (PayPal, Stripe, etc.)

Over the past few years, online payment gateways like PayPal and Stripe have grown popular among freelancers, Indian exporters and SMBs. These platforms allow US-based clients to make quick payments using credit cards or bank accounts, which are deposited into the exporter's Indian bank account.

Setting up an account on PayPal or Stripe is easy, and this platform provides convenience and flexibility.

Pros of online payment gateways:

• Easy to set up.

• Accept credit card payments.

Cons of Online Payment Gateways

• High transaction and currency conversion fees (up to 4.5%).

• Limits on withdrawal and currency holds.

• Delayed settlement of funds.

• High USD to INR exchange rates.

• It is not ideal for larger B2B export payments.

3. Foreign Currency Demand Draft

The foreign currency demand draft is an older method that still exists for occasional use among traditional exporters or in regions with limited access to modern bankings. In this process, the US buyer sends a physical bank draft in foreign currency (like USD), which the Indian exporter must physically deposit into their Indian bank.

Pros of FCDD:

• Useful in regions with limited banking options.

Cons of FCDD:

• Time-consuming.

• Must be physically deposited in an Indian bank.

• Longer processing time (10-15 days).