Is XOOM legal in India if used for Business transactions to receive money from USA/AUS/UK? I am asking becuase WU is Not legal...
Any money transfer system that deposits money in currencies other than INR and doesnot use the proper banking system (SWIFT) is not legal for business use. This includes XOOM, WU, Remit2India, MoneyGram etc. That is why there is a cap on the amount of funds you can transfer in a single transaction and the number of times you can transfer in any given financial year. Paypal is different since they send you the money in INR using the domestic NEFT network. For this purpose they use a bank in India to do the transfers to our accounts. Which is not the case with WU, XOOM, Remit2India etc. If you want to transfer unlimited number of funds in foreign currencies and unlimited number of times for business or personal purposes you will have to use SWIFT Wire transfer, which almost all banks provide and you have to sign a FEMA declaration form at the bank.
then how come they claiming . There are 4351 locations in India for Punjab National Bank. You can find locations by city. Please select your recipient state to narrow down the list of cities.
Same as WU has tie-ups with SBI. In case of money transfer companies like WU , XOOM etc, the actual foreign currencies does not enter India, they just give you INR from their accounts at their own exchange rates which is almost always lower than the current rates. Since the foreign currency does not enter India, RBI cannot regulate it hence the limits on number of transactions and limit on the amounts.
Punjab National Bank is their partner and so they give locations of all Punjab National Banks. Do you guys know how it works ? I once saw a cheque from Bank Of Bahrein deposited in bank for clearance.
Xoom can deposit funds to maximum Indian Banks from their PNB account via NEFT and it's same as the PayPal way. Anything illegal would be banned before you post here, they are in business since long and have never had any issues. There is a limit, you can't send >= $3000 in one day, and that's the limit of being legal. You can withdraw upto $2999 from xoom using your PayPal account and that is legal. Also, don't forget it is the cost effective way and you wont see much difference if you are used to withdraw via NEFT from PayPal. Check this thread - http://forums.digitalpoint.com/showthread.php?t=1687500 Thanks, -Vijay
Well this is right question ? Xoom or any other remittance service like remit2india, icici money2home and SBI etc are perfectly legal but can not be used for your business... as per RBI guidelines all these services are for NRI and not for us who are sitting in india and doing freelancing.. @Vijay - I doubt that xoom will give you the money in indian bank account, specially if they find that you are in india. even if you get the money this time it will not be long when they will stop transferring ...
Mr Jalan, I guess you also chosen Pickup while you withdrawn money. Check this post http://forums.digitalpoint.com/showthread.php?t=1687296#16 He has done that already! Also, the Remit2India terms says we cant send from India to India is all about Cash pickup I guess and the service is for NRI exclusively. But Xoom is not about Money to India but, it's about from anywhere to Anywhere in the world. And a PayPal account is same as a CC/DC for them whether it is from India or abroad. I am waiting for my funds tomorrow, as the bank I used is not PNB, otherwise I could have got today itself Thanks, Vijay
so best is to give paypal funds to any other nation friends and ask them to pay via remit2india / xoom ?
Have you noticed? Ref: https://www.xoom.com/sendmoneynow/home?receiveCountryCode=IN this is confusing too.