Sending business payments from the US to India
A US company pays an Indian supplier by SWIFT wire in US dollars to the supplier's EEFC or current account, with a clear purpose of payment, or in rupees through a provider that pays out over NEFT or RTGS. Indian banks report a purpose code for every inward payment and issue the supplier a record of it, the FIRC, which the supplier uses to close the export with its bank. This guide covers the details to collect, the RBI rules, rails, documents and fees.
- From 1 October 2026 an Indian exporter must realize export proceeds within nine months, or twelve months if the export is invoiced or settled in rupees, under notification FEMA 23(R)/(1)/2026-RB.
- An Indian supplier can credit up to 100% of its foreign exchange earnings to an EEFC account, but balances not used must be converted to rupees by the end of the following month.
- Section 2(6) of the IGST Act treats a service as an export only where payment is received in convertible foreign exchange or in rupees wherever the RBI permits it.
- SBI states that RTGS and NEFT both run 24x7, 365 days, with a Rs 2 lakh minimum for RTGS and credit to the beneficiary within 30 minutes of the message.
- SBI charges Rs 50 per export-related inward remittance up to Rs 10 lakh and Rs 500 above that, and issues e-FIRCs and e-BRCs at no charge.
Details to collect from your recipient in India
Indian accounts are held at a branch, and each branch has an IFSC, the Indian Financial System Code used for domestic transfers. A wire from abroad also needs the bank's SWIFT code. Ask whether to pay the supplier's EEFC account, an Exchange Earners' Foreign Currency account that holds dollars, or its rupee current account, and which purpose of payment applies.
| Detail | What to ask for | Why it matters |
|---|---|---|
| Account name | The supplier's registered name, exactly as on the account | Name mismatches lead to queries or returns |
| Account number and type | EEFC account for dollars, or the rupee current account | A dollar wire to a rupee account is converted on arrival |
| Bank, branch and SWIFT code | 8 or 11 characters for the SWIFT code | Routes the wire |
| IFSC | The branch code on the supplier's bank documents | Needed for rupee payouts over NEFT or RTGS |
| Purpose of payment | For example, export of goods or software services | The bank reports an RBI purpose code for each receipt |
| GSTIN, PAN and IEC | From the supplier's invoice and registrations | Lets you match the account to the invoicing company |
Sources: SBI, RTGS and NEFT FAQs (IFSC); field list compiled by the Helm Editorial Team. As published on 29 October 2026.
GSTIN is the Goods and Services Tax registration number, PAN the income tax ID and IEC the Importer Exporter Code. Wise's published list of purpose codes includes P0102 for export of goods, P0802 for software consultancy and implementation, P0807 for off-site software exports and P1006 for business and management consultancy.
USD or rupees: what the RBI rules say
The Reserve Bank of India (RBI) applies the Foreign Exchange Management Act, 1999 (FEMA) through the supplier's authorized dealer bank, which tracks each export until it is realized, meaning the full export value has been received in India through the banking channel. These rules sit with the supplier, but they explain why it cares about the currency, the purpose code and the timing of your payment. The US dollar to rupee page covers the currency.
| Rule | What it says | What it means for your payment |
|---|---|---|
| Realization period | Nine months from 1 October 2026; twelve months if invoiced or settled in rupees | Pay on the agreed term; a late payment leaves the supplier with an open export |
| EEFC account | Up to 100% of foreign exchange earnings; unused balances converted by the end of the following month | The supplier can hold your dollars for a short time |
| Export of services | Payment must be in convertible foreign exchange, or in rupees where the RBI permits (IGST Act, Section 2(6)) | Service firms usually ask for a dollar wire |
| Record of receipt | The bank issues an e-FIRC, the inward remittance certificate, and an e-BRC once the export is realized | Ask a rupee payout provider whether the supplier gets an equivalent record |
Sources: RBI notification FEMA 23(R)/(1)/2026-RB; RBI Master Direction on foreign currency accounts; CBIC Circular No. 202/14/2023-GST; SBI service charges effective 1 October 2026. As published on 29 October 2026.
CBIC Circular No. 202/14/2023-GST confirms that rupee payments from a Special Rupee Vostro Account meet the services condition, but for most US buyers a dollar wire is the clean route. The supplier-side guide is how to pay suppliers in India.
Rails and arrival times: SWIFT, NEFT and RTGS
A dollar wire settles in the United States on Fedwire, which runs from 9:00 p.m. ET on the previous day to 7:00 p.m. ET on weekdays, with a 6:45 p.m. ET deadline for customer transfers. India is 9.5 hours ahead of New York in the US summer and 10.5 hours ahead in the US winter, so a wire sent on a New York afternoon reaches the Indian bank after its working day.
| Route | What the recipient receives | Timing, as published | Notes |
|---|---|---|---|
| SWIFT wire in USD to an EEFC account | US dollars | Credited on an Indian bank working day | Standard route for dollar invoices |
| SWIFT wire in USD to a rupee account | Rupees, converted on arrival | Credited on an Indian bank working day | The supplier's bank sets the rate |
| Rupee payout over RTGS | Rupees | 24x7; SBI states credit within 30 minutes of the message | Minimum Rs 2 lakh (200,000 rupees) |
| Rupee payout over NEFT | Rupees | 24x7 in half-hourly batches; credit expected within two hours of the batch | Minimum Rs 1; no maximum |
Sources: SBI, RTGS and NEFT FAQs; Federal Reserve Financial Services, Fedwire operating hours. As published on 29 October 2026.
SBI also states that an RTGS payment that cannot be credited comes back within an hour or by the end of the RTGS business day, and a NEFT payment within two hours of its batch. SWIFT credits, conversions and purpose code checks still wait for a bank working day, so a wire sent on a US Friday afternoon is credited in India on the next working day.
Documents, screening and why payments to India are held
The supplier's bank needs to know what each receipt is for before it can report the purpose code and issue the e-FIRC. For goods, it matches the payment to the shipping bill; for services, to the invoice and contract. A wrong or missing purpose is the most common reason a credit is held. Agree the purpose code with the supplier before the first payment and state it plainly in the payment details.
On the US side, sanctions screening applies to every payment: OFAC states that all US persons, including US-incorporated entities and their foreign branches, must comply with its sanctions, so check the payee and its bank against OFAC's lists (OFAC FAQ 11).
| Problem | What happens | How to prevent it |
|---|---|---|
| Wrong or missing purpose of payment | The bank holds the credit while it asks | Agree the purpose code first |
| Dollars sent to a rupee account | Converted at the bank's rate | Ask for the EEFC account for dollar invoices |
| Wrong correspondent bank | Delayed or returned | Use the inbound instructions the supplier's bank publishes |
| Wire sent as SHA | Amount realized is less than the export value | Use OUR charges |
| Payment late against the contract | The supplier's nine-month window runs down | Pay on the agreed terms and tell the supplier of any delay |
Sources: Wise, INR purpose codes; RBI notification FEMA 23(R)/(1)/2026-RB; SBI. As published on 29 October 2026.
Costs: SHA, OUR and Helm's fees for payments to India
SBI's schedule effective 1 October 2026 charges Rs 50 per export-related inward remittance up to Rs 10 lakh and Rs 500 above that, nil for export credit customers, plus GST, and nothing for the incoming SWIFT message, e-FIRC or e-BRC. A short payment costs the supplier more than the fee: if intermediaries deduct charges from a SHA wire, the realized amount no longer matches the declared export value. Send with OUR for invoices that must be paid in full. For the supplier's account options, see USD business accounts in India.
From a Helm account you can send international supplier payments by SWIFT and by local rails in the recipient's currency where available, confirmed by your account manager, with the rate, fee and expected arrival shown before you confirm. Helm is a financial technology company, not a bank; US dollar account services are provided by Bridge Building, Inc. (NMLS ID 2450917), a licensed money transmitter, with funds held at Lead Bank.
Helm agrees pricing with each business in writing before the account opens, and shows the rate, the fee and the expected arrival before you confirm each payment. See how Helm pricing works.
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How do I send a business payment from the US to India?
For a dollar invoice, send a SWIFT wire to the supplier's EEFC or current account with a clear purpose of payment and OUR charges. For a rupee invoice, a provider can pay out over NEFT or RTGS using the branch IFSC.
What details do I need to pay an Indian supplier?
You need the account name, account number, bank, branch and SWIFT code, the IFSC for rupee payouts, and the purpose of payment. Ask whether to pay the EEFC dollar account or the rupee account.
What is a FIRC?
A FIRC is the Foreign Inward Remittance Certificate an Indian bank issues to record a payment received from abroad. SBI issues e-FIRCs and e-BRCs, the electronic realization certificates, at no charge.
Why does my Indian contractor want dollars?
Section 2(6) of the IGST Act treats a service as an export only where payment is received in convertible foreign exchange or in rupees where the RBI permits it. A dollar wire through a bank clearly meets that condition.
How long does a payment to India take?
SBI states that RTGS credits should arrive within 30 minutes and NEFT credits within two hours of the batch, both running 24x7. A SWIFT wire is credited on an Indian bank working day.
What does Helm charge to send money to India?
Helm agrees pricing with each business in writing before the account opens, and shows the rate, the fee and the expected arrival before you confirm each payment.
References
- Reserve Bank of India: Notification FEMA 23(R)/(1)/2026-RB, Export and Import of Goods and Services (Amendment) Regulations, 2026
- Reserve Bank of India: Master Direction, foreign currency accounts by a person resident in India
- CBIC: Circular No. 202/14/2023-GST on export of services and Special Rupee Vostro Accounts (27 October 2023)
- State Bank of India: RTGS and NEFT FAQs
- State Bank of India: Foreign exchange transaction related service charges, effective 1 October 2026
- Wise: INR purpose codes
- Federal Reserve Financial Services: Fedwire Funds Service operating hours
- Office of Foreign Assets Control: FAQ 11, Who must comply with OFAC sanctions?
This guide is general information for businesses, not financial, legal or tax advice. Rules, fees and timings were checked against the sources listed on the review date and may change.