RBL Bank Forex Rates Explained | How to Save on Transfers

Considering RBL Bank to manage your forex transactions? Did you know that all banks, including RBL Bank, add charges and markups to the mid-market exchange rate benchmark to process international transfers?

This means that the final amount you send or receive may be slightly less than expected.

These charges vary from bank to bank. And it's important that you're aware of them to avoid any confusion after the transfer.

In this article, we'll take you through RBL Bank's forex rates in detail. We'll also give you tips and alternatives to save on international transfers.

RBL Bank supports a wide range of major currencies, including USD, EUR, GBP, AUD, CAD, JPY, AED, CNY, and more. But the exchange rate you get depends on the type of transaction you're doing. Banks use different 'buy' and 'sell' rates based on whether money is coming into India or going out.

When checking RBL Bank forex card rates, you may also want to compare them with the Treasury USD INR buy rate to see how the bank's buying rate differs from the market benchmark.

Here's the RBL Bank forex services overview:

• TT Buying Rate (TTB): Used when foreign currency is coming into India. If someone sends you money from overseas, the bank converts it into INR using the TTB rate.

• TT Selling Rate (TTS): Applied when you're sending INR out of India. For instance, if you transfer money to someone abroad, the bank converts your rupees into the required currency using this rate.

• Bills buying/selling rate: These rates are used for trade-related transactions. Bill buying applies to export proceeds received in foreign currency, while bill selling applies to import-related outward payments.

• Currency notes buying/selling rates: Used when you're exchanging physical currency notes. For example, buying foreign cash before a trip or selling leftover cash after returning.

• Forex card load/reload rate: Applied when you load or top up a prepaid forex card with a foreign currency. The bank converts INR into the chosen currency based on this rate.

• Forex card offload rate: Used when you unload or withdraw funds from your forex card and convert them back into INR.

If you're a frequent traveler, you can also opt for RBL Bank's Borderless Prepaid Forex Card with nil transaction charges. It supports multiple currencies and lets you spend abroad without worrying about extra fees.

RBL Bank offers a range of forex rates depending on the type of transaction. These rates differ for buying and selling foreign currency, using cash, remittance, or the Borderless Prepaid Forex Card. Here's a detailed look at the latest rates:

Notes:

• JPY card rate is in multiples of 100.
• No outward cash transactions on USD Nostro holidays.
• For amounts above USD 10,000 equivalent, contact your branch or relationship manager.

Outward Remittance Service with competitive rates

RBL Bank also provides easy outward remittances under the Liberalized Remittance Scheme (LRS). Key benefits include:

• Save extra costs: The bank offers competitive forex rates to reduce unnecessary expenses.

• Quick processing: Paperwork is simple. Plus, the support from experts helps you complete transfers quickly.

• Convenient across 17 countries: Send money in currencies like USD, EUR, GBP, CHF, JPY, AED, SGD, CAD, AUD, NZD, ZAR, CNY, THB, SEK, DKK, NOK, and HKD.

RBL forex rates often differ from the mid-market rates you see online. This is due to spreads, fees, market volatility, and regulations.

• Spreads: When you buy or sell foreign currency with RBL Bank, the rate is a little different from the rate banks use to trade with each other. This difference is called the spread. It is how the bank earns from forex transactions. Spreads can change depending on the currency and the amount you exchange.

• Fees: RBL Bank may charge a flat fee or a small percentage of your transaction. This fee helps the bank cover its costs and protect against risks like inflation, political changes, etc.

• Market volatility: Currency rates keep moving because of global events and demand-supply shifts. RBL Bank adjusts its forex rates to manage potential losses and reduce risk. Currencies with lower demand may have slightly higher spreads.

• Regulations: RBL Bank follows RBI guidelines for risk and reporting. These rules can affect spreads and fees, as the bank needs to cover compliance costs.

The effective exchange rate shows how changes in different currencies affect overall conversions. Let's understand this with a simple example:

Say India trades only with three countries - Germany, Australia, and Brazil. This means the rupee exchanges with the euro, Australian dollar, and Brazilian real.

Now, suppose India does

• 60% of its trade with Germany
• 30% with Australia
• 10% with Brazil

This creates a weighted currency basket.

The euro has the most influence, followed by the Australian dollar, then the Brazilian real.

If the euro goes up or down a lot, it affects the basket more than a small change in the Brazilian real. Sometimes, one currency rises while another falls. In that case, the overall basket may not change much, even though individual currencies move.

Real-time forex rates are crucial for anyone dealing with international money. They help you:

• Make smart choices because you can see the best time to buy or sell currency.
• Reduce the chance of losing money when rates suddenly change.
• Make payments and transfers easier and more reliable.
• Keep your international transaction records accurate.
• Avoid paying extra or receiving less than expected.

You can check RBL Bank's forex card rates in several ways. You can visit their website, contact customer support, or visit a branch.

• Official website: You can directly visit RBL Bank's website to see the latest rates for all currencies and transactions.

• Customer support: You can also call the bank's customer support number to know the current rates and additional charges.

• Branch visit: You can also go to your nearest RBL Bank branch to check rates in person.

While the forex rates of RBL Bank work for traditional transfers and forex cards, Xflow offers a more flexible and cost-effective solution, especially for businesses and freelancers receiving international payments.

Here's how:

• Collect in multiple currencies. Xflow supports 25+ currencies and allows you to receive payments from almost anywhere in the world.

• Money reaches your Xflow Receiving Account quickly, often within a few hours, and you can withdraw it to your bank account by the next business day.

• Local transfers and payment options like ACH or RTP keep fees much lower than traditional international bank wires.

• You know the exact INR amount that will reach your account, because the rates are linked to inter-bank or mid-market rates.

• Withdraw any amount, as often as needed, without restrictions. With Xflow, you also get a free FIRA issued for every withdrawal.

Understanding RBL Bank's forex rates can help you make smart decisions about remittances, currency exchange, or payments. But you will have to bear spreads and additional fees, which can reduce the value you receive.

Platforms like Xflow offer a faster and more transparent option. With support for many currencies, next-day withdrawals, and rates linked to inter-bank benchmarks, Xflow lets you know exactly how much will reach your account.