Can an Indian exporter accept payment by card from a foreign client?

Many foreign clients prefer to pay by card: a startup in Austin paying an Indian UI designer, a parent in Dubai paying an online maths tutor, or a small business in Leeds paying a bookkeeping consultant. Card payment is allowed for exports, but it travels through regulated channels, and the export rules of the Foreign Exchange Management Act, 1999 (FEMA) still apply.¹ This page sets out what the Reserve Bank of India (RBI) rules say as of October 2026.

What is export payment by card under RBI rules?

Export payment by card under RBI rules is a foreign client paying an Indian exporter's invoice by credit or debit card, with the money reaching India through an Authorised Dealer (AD) bank in the manner FEMA allows.¹⁴

• Manner of receipt: the FEMA (Export and Import of Goods and Services) Regulations, 2026 (the 2026 Regulations), in force from 1 October 2026, say receipts for exports must be made in the manner set out in the Foreign Exchange Management (Manner of Receipt and Payment) Regulations, 2023.¹
• Genuineness: the AD bank credits the exporter only after satisfying itself the transaction is genuine.¹
• Channel: the Manner of Receipt and Payment Regulations require receipts from abroad to come through an Authorised Bank or Authorised Person, in Indian rupees or any foreign currency for countries outside the Asian Clearing Union.⁴
• Cards: neither set of regulations names or bars card payments.¹⁴

Who can accept a card payment from a foreign client?

An Indian exporter can accept a card payment from a foreign client through a bank or a payment aggregator, and RBI treats these channels differently.³

The framework column is from RBI's Master Direction on Regulation of Payment Aggregator, dated 15 September 2025.³ To check a provider, see how to check RBI authorisation.

For KYC, a PA can use a simpler process for merchants whose annual export turnover does not exceed ₹5 lakh: PAN or Form 60 verified with the issuer, a contact point verification of the business address, and one officially valid document.³ Larger exporters go through the full due diligence route.

How do you accept card payments from a foreign client as an Indian exporter?

You accept card payments from a foreign client by choosing a regulated channel, checking its terms, and then following the same EDF and realisation duties as any other export.¹³

1. Channel: check the provider's Indian legal entity and its RBI category (inward PA-CB, or a bank).³
2. Fees: compare fees as published, including any foreign exchange margin. Write "not published" in your comparison if a provider does not publish a figure.
3. Settlement: check settlement time in the written agreement. See PA-CB settlement timelines.
4. Documents: confirm whether you receive a FIRA or another document your bank and accountant accept.
5. Chargebacks: check how chargebacks are recovered from you and how long funds may be held.
6. Invoice and EDF: raise a proper export invoice and file the EDF on time.¹ See the export invoice format.

What documents, deadlines and limits apply to card export payments?

The channel does not change your FEMA duties: card export payments need an EDF, realisation within nine months and EDPMS closure.¹²³

What limits apply to card payments for exports through a PA-CB?

The limit for card payments for exports through a Payment Aggregator, Cross Border (PA-CB) is ₹25 lakh for each inward transaction.³ RBI also says a payment aggregator shall not place limits on transaction amount for a particular payment mode; that is for the issuer, for example the client's card-issuing bank.³ In practice the client's card limit is often the real ceiling. See the PA-CB transaction limit.

Can a PA-CB pay an exporter's card receipts to someone else?

A PA-CB cannot pay an exporter's card receipts to someone else. For a domestic escrow account, RBI allows a PA to pay a third party on the merchant's direction in limited cases, but for the Inward Collection Account used for export receipts the permitted debits are the same as the domestic escrow account "except" that third-party payment.³ RBI also requires PAs to have validation checks so that funds due to a merchant are credited only to the merchant's bank account.³

What happens if a card export payment is refunded or charged back?

If a card export payment is refunded or charged back, the reversed amount is money not realised for FEMA, and you ask your AD bank for a reduction in export value.¹ Under RBI's Master Direction:³

• Refund route: refunds go to the original payment method unless the payer asks for another mode belonging to the same payer.³
• Dispute mechanism: the aggregator's dispute mechanism must cover refunds and chargebacks, with proper reason codes.³
• Payer's rights: the payer's chargeback rights remain unaffected by the aggregator's arrangements.³
• Reduction: under regulation 6 of the 2026 Regulations, your AD bank can allow a reduction in export value when satisfied with your reasons; for an invoice up to ₹10 lakh, on your declaration alone.¹

Keep the dispute record. See chargebacks on international payments.

Which RBI rule allows export payment by card?

Export payment by card is allowed under regulation 4 of the FEMA (Export and Import of Goods and Services) Regulations, 2026, read with the Manner of Receipt and Payment Regulations, 2023, and RBI's Master Direction on Regulation of Payment Aggregator covers the aggregator channel.¹⁴³

Until 30 September 2026, RBI's Master Direction on Export of Goods and Services said expressly that AD banks "may also receive payment for exports made out of India by debit to the credit card of an importer where the reimbursement from the card issuing bank/ organization will be received in foreign exchange".⁵ That Master Direction was superseded from 1 October 2026 by A.P. (DIR Series) Circular No. 20, whose directions are short and general.⁶ Ask your bank how it documents card receipts under its own policy.

What are the common mistakes with export payments by card?

The common mistakes with export payments by card come from treating a card receipt as outside the export rules.¹³

• Skipping the EDF: card receipts need the same EDF as any export.¹
• Ignoring chargebacks: a reversed amount is not realised and needs a reduction request.¹
• Wrong channel category: assuming a domestic gateway taking international cards is a PA-CB.³
• Third-party settlement: asking a PA-CB to settle to someone else's account.³
• Large invoices on card: a single PA-CB transaction is capped at ₹25 lakh.³

Card acceptance is common for exporters with many small clients, such as tutors, coaches, template sellers and SaaS businesses. Agencies and consultants with large invoices often find a bank wire simpler.