Want to send money from your State Bank of India (SBI) account to a Bank of America account in the US? Whether it's for family support, educational expenses, or business transactions, navigating international money transfers can seem a bit daunting. But don't worry, this comprehensive guide will walk you through every step of the process, ensuring a smooth and successful transfer.
Are you ready to bridge the financial gap between India and the USA? Let's get started!
Before we dive into the specifics, it's crucial to understand that international wire transfers involve multiple banks and regulations. Patience and accuracy are key.
 |
| How To Transfer Money From Sbi To Bank Of America |
Step 1: Gather All Necessary Information for the Beneficiary
This is the most critical initial step. Any error here can lead to delays, rejections, or even loss of funds. So, grab a pen and paper, and meticulously collect the following details from the recipient in the USA:
Sub-heading: Essential Beneficiary Details
- Full Name of the Beneficiary: Exactly as it appears on their Bank of America account. No nicknames or abbreviations.
- Beneficiary's Complete Address: This includes street number, street name, city, state, and ZIP code.
- Bank of America Account Number: The full account number of the recipient.
- Bank of America SWIFT/BIC Code: This is an international code that identifies banks and branches globally. For Bank of America, there are two primary SWIFT codes you might need:
- BOFAUS3N (for wires sent in U.S. Dollars or unknown currency)
- BOFAUS6S (for wires sent in foreign currency – though for a transfer from SBI to BofA, USD is the typical currency)
- Always double-check with the recipient or Bank of America directly to ensure you have the correct SWIFT code for their specific account and the currency you're sending.
- Bank of America's Address (for the SWIFT code used):
- For BOFAUS3N: Bank of America N.A., 222 Broadway, New York, NY 10038
- For BOFAUS6S: Bank of America N.A., 555 California St., San Francisco, CA 94104
- Purpose of Remittance: You will need to state why you are sending the money (e.g., family maintenance, education expenses, gift, medical treatment, etc.). This is a regulatory requirement under India's Liberalised Remittance Scheme (LRS).
- Relationship with Beneficiary (if applicable): If it's for a family member, specify the relationship (e.g., son, daughter, parent).
Step 2: Understand SBI's International Transfer Methods
SBI offers a couple of ways to send money abroad. You can choose the one that best suits your convenience and transfer amount.
Sub-heading: Online Transfer (REMXOUT facility via SBI Net Banking)
This is generally the most convenient method for sending smaller amounts.
QuickTip: Read a little, pause, then continue.
- Eligibility: You must be a resident Indian with an SBI savings or current account and have activated SBI's internet banking (INB) facility with transaction rights. Your PAN number must also be registered with your home branch in CBS.
- Limitations:
- You can send up to USD 5,000 equivalent per transaction.
- There's a limit of 4 transactions per month.
- For new beneficiaries, there might be a cooling-off period (e.g., INR 1,00,000 in the first 4-5 days after activation).
- The overall annual limit under LRS is USD 250,000 for various purposes combined.
Sub-heading: Branch Visit (FXOUT facility / Wire Transfer)
For larger amounts, or if you prefer a personal touch, visiting an SBI branch is an option.
- Eligibility: Applicable to all SBI account holders.
- Limitations:
- You can send up to USD 25,000 per transaction in various currencies.
- For amounts exceeding the online limits, a branch visit is often necessary.
Step 3: Registering the International Beneficiary (Online Method)
If you're opting for the online transfer, you'll first need to add and activate your international beneficiary in SBI Net Banking.
- Log in to SBI Net Banking: Go to the official SBI online portal (onlinesbi.sbi) and log in using your user ID and password.
- Navigate to Beneficiary Management:
- Once logged in, look for the "Payments/Transfers" tab.
- Under this, you'll usually find an option like "Manage Beneficiary" or "Add & Manage Beneficiary."
- Add International Beneficiary:
- Select "International Beneficiary" or "Foreign Outward Remittance Beneficiary."
- You will be prompted to enter your PAN number, which will be validated.
- Carefully enter all the beneficiary details gathered in Step 1:
- Beneficiary Name
- Beneficiary Account Number
- Beneficiary Bank Name (Bank of America, N.A.)
- Beneficiary Bank SWIFT/BIC Code (BOFAUS3N is most common for USD transfers)
- Beneficiary Bank Address
- Beneficiary Full Address
- Purpose of Remittance (choose from the dropdown list)
- Review all details meticulously before proceeding.
- Confirm and Activate Beneficiary:
- After submitting the details, you'll likely receive an OTP (One Time Password) on your registered mobile number. Enter this OTP to register the beneficiary.
- Beneficiary Activation: This is a crucial step for security.
- OTP Approval (recommended for speed): You will receive another OTP on your registered mobile. Entering this will activate the beneficiary, typically within 4 hours to 1 business day.
- Branch Approval: If you choose this option, you'll need to visit your nearest SBI branch with the beneficiary details to get them approved. This offers immediate activation.
- Note: For security reasons, there might be a restriction on sending large amounts immediately after activating a new beneficiary online.
Step 4: Initiating the International Money Transfer
Once your beneficiary is active, you can proceed with the transfer.
Sub-heading: Online Transfer via SBI Net Banking (REMXOUT)
- Log in to SBI Net Banking: Again, log in to your account.
- Go to International Funds Transfer:
- Under the "Payments/Transfers" tab, look for "International Funds Transfer" or "Foreign Currency Transfer/Remittance."
- Fill the Remittance Application Form (RAF):
- Select the activated beneficiary from the list.
- Enter the amount you wish to transfer in USD. SBI will display the equivalent INR amount based on their prevailing exchange rate.
- Pay close attention to the exchange rate offered. It's important to understand that banks often add a markup to the interbank exchange rate.
- Re-confirm the purpose of remittance.
- Select the source of funds (your SBI account).
- Review all charges (service fees, GST, potential intermediary bank charges – more on this below).
- Authorize the Transaction: You will likely need to enter a high-security password or another OTP to authorize the transfer.
- Confirmation: After successful submission, you will receive a confirmation message and possibly an email. Keep the transaction reference number handy for tracking.
Sub-heading: Branch Visit for Wire Transfer (FXOUT)
- Visit Your SBI Home Branch: Go to the branch where your account is held. It's advisable to inform them beforehand if you plan a large transfer.
- Fill the International Remittance Form: You will be provided with a physical form to fill out.
- Provide all the beneficiary details (as gathered in Step 1) accurately.
- Specify the amount and currency.
- Clearly state the purpose of remittance.
- Provide your account details and sign the form.
- Submit Required Documents:
- Your PAN Card (mandatory)
- Proof of Address (e.g., Aadhar Card, Passport, Driving License)
- Purpose of Remittance Supporting Documents (if required for large amounts or specific purposes): For example, for education, you might need admission letters; for medical, hospital bills; for gifts, a declaration. The bank official will guide you on specific requirements based on the amount and purpose.
- Payment of Funds and Charges: The funds will be debited from your account along with applicable charges.
- Receive Acknowledgment: You will receive a transaction receipt or acknowledgment.
Step 5: Understanding Charges and Exchange Rates
International money transfers involve several fees and considerations that impact the final amount received by the beneficiary.
QuickTip: Scan the start and end of paragraphs.
Sub-heading: SBI's Charges
- Service Fees: SBI charges a fee for international transfers, which can vary based on the transfer amount. For outward remittances, it can range from around ₹299 to ₹550, but it's best to confirm the latest charges with SBI directly or on their website.
- GST: Goods and Services Tax (GST) will be applied to the service fee. This is typically 18% of the service charge.
- Forex Conversion Markup: This is a crucial, often hidden, charge. SBI, like most banks, applies a markup on the interbank exchange rate when converting INR to USD. This means the rate you get is less favorable than the actual market rate. This markup can be anywhere from 1.5% to 3% or more.
- Intermediary Bank Charges (Correspondent Bank Charges): International transfers often pass through one or more intermediary banks before reaching the final destination. These banks also levy their own charges, which are typically deducted from the transferred amount. These can range from USD 15-30 or equivalent. This means the beneficiary might receive slightly less than the amount you sent.
Sub-heading: Bank of America's Charges (Receiving Bank)
- Bank of America may also levy a fee for receiving an international wire transfer. It's advisable for the beneficiary to check their bank's schedule of fees.
Sub-heading: Exchange Rate Fluctuation
- The exchange rate you get will be the one prevalent at the time SBI processes your transaction, not necessarily when you initiate it. Rates can fluctuate, so keep an eye on them.
Step 6: Tracking Your Transfer
Once the transfer is initiated, you'll want to track its progress.
- Online Tracking: If you used SBI Net Banking, look for a "View Transaction Status" or "International Fund Transfer Status" option. You can typically track it using your transaction reference number.
- Branch Inquiry: If you made the transfer at a branch, you can inquire about its status by providing your transaction details.
- SWIFT MT103 (Optional): In case of significant delays, you can request an MT103 message from SBI. This is a standardized SWIFT message that contains all the details of the transfer and its journey through intermediary banks. This can help in tracing the funds.
Step 7: What to Expect: Processing Time
The time it takes for money to transfer from SBI to Bank of America can vary.
- Typical Timeframe: Generally, international wire transfers take 2 to 5 business days.
- Factors Affecting Time:
- Cut-off Times: Transfers initiated after the bank's daily cut-off time will be processed on the next business day.
- Weekends and Holidays: Transfers are not processed on weekends or public holidays in either India or the USA.
- Currency Conversion: Conversion from INR to USD adds a step.
- Intermediary Banks: The involvement of multiple banks can add to the processing time.
- Compliance Checks: Both SBI and Bank of America have robust fraud prevention and compliance checks (e.g., OFAC screening for US transfers), which can sometimes lead to delays, especially for large amounts or if details are flagged.
- Accuracy of Information: Any incorrect detail will cause significant delays or even lead to the funds being returned (with associated charges).
Step 8: Post-Transfer Communication
- Inform the Beneficiary: Once you've initiated the transfer, inform the recipient in the USA, providing them with the approximate amount, date of transfer, and the transaction reference number. This allows them to monitor their Bank of America account.
- Be Patient: While most transfers go smoothly, international transfers require a bit of patience. Avoid panicking if it doesn't reflect immediately.
- Contact Support: If the transfer is significantly delayed beyond the estimated timeframe, first check your online banking status. If there's no update, contact SBI customer support with your transaction details. The beneficiary can also contact Bank of America to inquire about incoming wire transfers using the provided transaction reference.
This step-by-step guide covers the primary methods and considerations for transferring money from SBI to Bank of America. Remember, due diligence in gathering information and understanding the charges involved will make your experience much smoother!
 |
10 Related FAQ Questions
How to find the correct SWIFT code for Bank of America?
The primary SWIFT code for Bank of America for US Dollar transfers is BOFAUS3N. However, always confirm with the recipient or directly with Bank of America as specific branches or foreign currency transfers might use different codes.
Reminder: Take a short break if the post feels long.
How to add an international beneficiary in SBI online banking?
Log in to SBI Net Banking, go to "Payments/Transfers," then "Manage Beneficiary," select "International Beneficiary," and fill in all the required details. You'll need to activate it via OTP or a branch visit.
How to check SBI international transfer limits?
For online transfers (REMXOUT), the limit is typically USD 5,000 equivalent per transaction, with a monthly cap of 4 transactions. For branch transfers (FXOUT), it can go up to USD 25,000 per transaction. The overall annual LRS limit is USD 250,000. Check SBI's official website or contact your branch for the most current limits.
How to track an international money transfer from SBI?
You can track online transfers via your SBI Net Banking portal under "View Transaction Status" or "International Fund Transfer Status" using the transaction reference number. For branch transfers, inquire at your branch.
How to get a better exchange rate for SBI international transfers?
Banks generally apply a markup to the exchange rate. To get a potentially better rate, you can compare SBI's rates with other authorized money transfer services or specialized forex providers. However, for direct bank-to-bank transfers, you're usually limited to SBI's quoted rate.
Tip: Patience makes reading smoother.
How to avoid intermediary bank charges?
Intermediary bank charges are often unavoidable in international wire transfers, especially when multiple banks are involved. These charges are deducted from the transferred amount, meaning the recipient might receive slightly less. Some services or direct bank relationships might minimize them, but it's not always possible to eliminate them entirely.
How to provide the purpose of remittance to SBI?
When initiating the transfer, you will be required to select the specific purpose of remittance from a predefined list (e.g., family maintenance, education, gift, medical, etc.). This is a regulatory requirement under India's FEMA (Foreign Exchange Management Act) and LRS.
How to cancel an international money transfer from SBI?
If you've just initiated an online transfer, you might have a short window to cancel it through your online banking. Once processing has begun (especially for branch transfers), cancellation might not be possible, or it may involve significant charges and a lengthy reversal process. Contact SBI immediately if you need to cancel.
How to ensure a smooth international transfer with SBI?
Double-check all beneficiary details (name, account number, SWIFT code, address) for accuracy. Understand the charges, exchange rates, and limits. Provide all necessary supporting documents promptly. Inform the recipient about the transfer details.
How to handle delays in SBI international money transfer?
First, check the status online or with your branch. If the delay persists beyond the expected timeframe, contact SBI customer service with your transaction reference number. You can also ask for the SWIFT MT103 message for detailed tracking. The beneficiary can simultaneously check with Bank of America for incoming wire transfers.
 |
