Compare

Wise, Remitly or Western Union: Which Can Indian Exporters Use to Receive USD in 2026?

Author:: Editorial team, serviceexportguide.com
Verified by:: Editorial team
Published: 31 October 2026
Last modified: 31 October 2026
Fees checked on: 28 October 2026
Reading time: 7 min read

Short answer

In 2026, Wise is an RBI-authorised PA-CB that lets Indian businesses receive USD as INR.¹² Western Union's terms limit its transfers to personal accounts.³ RBI's Money Transfer Service Scheme bars trade remittances and caps each at USD 2,500.⁴ Remitly Business lets US businesses, and businesses in Canada, pay Indian contractors.⁵⁶⁴⁰ On published fees, Skydo, Razorpay and Karbon cost least for USD 5,000.⁷⁸⁹

Applies to	Rules involved	Platforms compared	Last verified
Indian freelancers and exporters paid in USD by foreign clients¹⁰	FEMA 2026 Regulations; RBI MTSS Master Direction; RDA trade limit; PA Master Direction 11(d)¹¹⁴¹²¹³	Skydo, Razorpay, Karbon Business, Remitly, Western Union, Wise¹	31 October 2026

Invoice amountCurrencyHow the client pays

1,000 USD = ₹94,243 at the reference rate for 13 November 2026 (European Central Bank data).

Estimated rupees received, on published fees

Sorted by estimated rupees received, highest first. Only providers that publish both their fee and their conversion markup for this currency and method can be estimated.

#	Provider and route	Best for	Fee (+GST)	Markup	You receive	Cost
1	Karbon BusinessLowest estimated costBank transfer to a Karbon virtual USD account	US bank transfers and marketplace payouts	₹942plus GST, rate not stated	0%	₹93,131 to ₹93,301	1.00 to 1.18%
2	RazorpayMoneySaver Export Account: bank transfer to virtual account details (Standard plan)	Local transfers from the US, UK and eurozone	₹1,000plus GST, rate not stated	0%	₹93,063 to ₹93,243	1.06 to 1.25%
3	WinvestaGlobal Collections Account, standard plan (up to 2,000 a month per currency)	Local transfers with a published per-payment fee	₹1,435	0%	₹92,809	1.52%
4	SkydoPayment link (InstaLinks) paid by ACH debit	Local bank transfers from major markets	₹1,885plus GST, rate not stated	0%	₹92,019 to ₹92,358	2.00 to 2.36%
5	PayoneerLocal bank transfer to Payoneer receiving account details	Marketplace payouts such as Amazon or Upwork	₹0no GST stated	1 to 4%	₹90,473 to ₹93,301	1.00 to 4.00%
6	PayPalInternational commercial transaction received into a PayPal account (PayPal checkout or invoice)	Clients paying by card or PayPal balance	₹4,175no GST stated	3 to 4%	₹86,465 to ₹87,366	7.30 to 8.25%

Not estimated because pricing is not fully published: Cashfree Payments, Dodo Payments, PingPong, Stripe, Tazapay, TransFi, Wise.

Where a provider says GST applies to its fee but not at what rate, the range runs from no GST to 18%, the rate Skydo, Stripe and Winvesta state on their pages. Estimates use each provider's published fee, conversion markup, GST on fees and FIRA charge, checked 2026-10-28, against the reference rate. They exclude charges taken by intermediary banks and your own bank, and the rate a provider actually applies at the time of conversion. Check the provider's pricing page before you choose. The order is calculated only from these published numbers; no provider can pay to change its position, and there are no affiliate links.

People searching for the cheapest way to receive USD in India often compare Wise, Remitly and Western Union side by side. For an Indian freelancer or company paid by a foreign client, the three are not the same kind of service, so this page starts by sorting out which of them can carry an export payment at all.

For a fee-by-fee breakdown of every USD route, read the cheapest way to receive USD in India. For Remitly in detail, read the Remitly review.

How do Wise, Remitly and Western Union compare for receiving USD in India?

Wise, Remitly and Western Union compare as one export receiving service and two personal remittance services, so the original question "which is cheapest" only applies fully to Wise.²¹⁸³ The heading is corrected for that reason: Western Union's terms limit transfers to personal accounts, Remitly's personal service bans business use, and Remitly Business is offered to businesses in the US and Canada.³¹⁸⁵⁴⁰ The table lists the three lowest-cost providers on published fees for USD 5,000 first, cheapest first, then the rest A to Z.

Platform	Best for	Fee	FX markup	Settlement	FIRA	RBI status	Source
Skydo	Local bank transfers from major markets	USD 19 plus GST up to USD 2,000; USD 29 plus GST to USD 10,000; 0.3% plus GST above	0% markup on the mid-market rate (product page); retail rate set by Skydo or its partner banks (terms)	Within 24 hours (product page); T+1 to T+3 business days (terms)	Free FIRA on every payment	Authorised PA-CB-I and O, 8 January 2026	²³⁷²⁰¹³⁹
Razorpay	Local transfers from the US, UK and eurozone	1% per bank transfer plus GST; flat ₹1,000 below ₹1,00,000	Razorpay says 0% on bank transfers	T+1 for bank transfers	FIRS emailed within 24 hours of settlement	Authorised PA-CB I and O	²⁴⁸²⁵¹
Karbon Business	US bank transfers and marketplace payouts	1% transaction fee on its comparison page	0% on its freelancer page; 0.5% to 1.0% on its comparison page	Karbon says 24 to 48 hours	FIRA for every transaction from a banking partner	Not on the RBI list itself; its terms run export receipts under a partner the RBI lists as a PA-CB	²⁶⁹²⁷¹
Remitly	US business clients already using Remitly	No fee for the receiver; the sender pays, for example USD 3.99 below USD 1,000	Remitly may earn from the rate difference; no percentage published	Business transfers typically within the hour, per Remitly	Not published	Not on the PA-CB list; processes India transfers under RBI Rupee Drawing Arrangements	⁵⁶¹⁷²⁸¹⁸¹
Western Union	Personal transfers to individuals in India	Receiving is free; the sender pays all fees	Western Union says it makes money from FX; margin not published	A bank transfer may take up to five days, per its US page	Not published	Authorised cross-border money transfer operator, inbound only, under MTSS, 31 March 2009	³¹⁹²⁹¹
Wise	Bank transfers to local account details	Equivalent of 2 USD per transfer to the INR account (help article); free e-FIRC (receive pricing page); 18% GST on fees	Mid-market rate plus a fee; no INR percentage published	INR within 1 to 2 days	e-FIRC per transfer within 3 working days	Authorised PA-CB-I, 12 March 2026	²¹⁴¹

Wise and Remitly are compared head to head in Wise vs Remitly.

Which RBI rule governs USD received in India?

USD received in India for services is governed by the FEMA 2026 Regulations, while personal transfers through Western Union fall under RBI's Money Transfer Service Scheme (MTSS) and Remitly's India transfers run under Rupee Drawing Arrangements (RDA).¹¹⁴¹⁸

Rule	Best for (who it applies to)	Plain meaning	Source
FEMA 2026 Regulations, regulations 3 to 5	Every service exporter from 1 October 2026	EDF to the AD bank and realisation within nine months of the invoice	¹¹³⁰
RBI MTSS Master Direction, paragraph 1.1	Families receiving personal money	Only inward personal remittances, such as family maintenance, and remittances to foreign tourists	⁴
RBI MTSS Master Direction, paragraph 3.4	Anyone receiving through an MTSS operator	USD 2,500 cap per remittance, 30 per beneficiary per calendar year, cash up to ₹50,000, no trade related remittances	⁴
RBI Circular No. 9 dated 20 October 2016	Trade payments through exchange house RDAs	A trade transaction under RDA may not exceed ₹15 lakh	¹²
RBI PA Master Direction, paragraph 11(d)	Exporters paid through a PA-CB such as Wise or Skydo	₹25 lakh cap per transaction	¹³

MTSS is the main reason a personal remittance service does not fit an export invoice: the scheme itself excludes trade related remittances.⁴

What does each option charge to receive USD in India?

Each option charges to receive USD in a different way: export platforms charge the Indian business, while Remitly and Western Union charge the sender and earn from the exchange rate.⁷¹⁷¹⁹³

Platform	Best for	Who pays	Fee	Exchange rate	Source
Skydo	Local bank transfers from major markets	Indian business	USD 19 to USD 29 per payment up to USD 10,000, plus GST	0% markup on the mid-market rate (product page); retail rate set by Skydo or its partner banks (terms)	⁷³¹²⁰³⁹
Razorpay	Local transfers from the US, UK and eurozone	Indian business	1% plus GST	Razorpay says 0% markup on bank transfers	⁸
Karbon Business	US bank transfers and marketplace payouts	Indian business	1% listed	0% (freelancer page); 0.5% to 1.0% (PayPal alternative page)	²⁶⁹
Remitly	US business clients already using Remitly	Sender	USD 3.99 below USD 1,000, USD 0 at USD 1,000 or more, on its personal USD to INR page	Shown before the sender confirms	²⁸¹⁸
Western Union	Personal transfers to individuals in India	Sender	Set by Western Union for each transfer	Interbank rate plus a margin Western Union keeps	¹⁹³
Wise	Bank transfers to local account details	Indian business	2 USD equivalent per transfer (help article), plus 18% GST; free e-FIRC (receive pricing page)	Fee varies by currency, no INR percentage	²¹⁴

A free receive on the Indian side does not mean a free transfer, because the sender's fee and the exchange margin still reduce the rupees that arrive.³¹⁸

Which option is cheapest at $500, $2,000 and $5,000?

The cheapest option at $500, $2,000 and $5,000 changes with the amount, because Skydo charges a fixed fee per band while Razorpay and Karbon charge a percentage.⁷⁸⁹ The table works out INR received at today's rate from published fees for the export platforms.

Platform	Best for	INR on USD 2,000	INR on USD 5,000	INR on USD 10,000	Cost on USD 5,000
SkydoMost INRTransfer to Skydo local account details or international SWIFT account	Local bank transfers from major markets	₹1,86,373	₹4,67,991	₹9,39,206	0.68%
Karbon BusinessBank transfer to a Karbon virtual USD account	US bank transfers and marketplace payouts	₹1,86,262 to ₹1,86,601	₹4,65,655 to ₹4,66,503	₹9,31,311 to ₹9,33,007	1.00 to 1.18%
RazorpayMoneySaver Export Account: bank transfer to virtual account details (Standard plan)	Local transfers from the US, UK and eurozone	₹1,86,262 to ₹1,86,601	₹4,65,655 to ₹4,66,503	₹9,31,311 to ₹9,33,007	1.00 to 1.18%

Not estimated because pricing for USD is not fully published: Wise.

Ranked by INR received on USD 5,000. Reference rate: European Central Bank data for 13 November 2026. Fees, conversion markup, GST on fees and FIRA charges as published by each provider, checked 28 October 2026. Ranges appear where a provider publishes a range or does not state its GST rate. Intermediary bank charges are excluded. See the methodology.

For example, on USD 5,000 Skydo's USD 29 fee plus 18% GST is about 0.68% of the invoice, while Razorpay's 1% plus GST is 1.18%; on a USD 2,000 invoice Skydo's USD 19 plus GST is about 1.12%.⁷⁸

What documents do you get from Wise, Remitly and Western Union?

Wise gives an e-FIRC for each transfer, while Remitly and Western Union do not publish any FIRA or FIRC for the Indian recipient.²¹⁷¹⁹

Document	Best for	Wise	Remitly	Western Union	Source
FIRA or e-FIRC	GST and bank proof per payment	e-FIRC within 3 working days	Not published	Not published	²¹⁷¹⁹
Purpose code	Bank reporting under FETERS	Entered with the business profile	Remitly asks the sender the purpose; RBI codes not mentioned	Purpose of remittance asked for bank deposits	³²⁶³³³⁴
e-BRC	Proving realisation	From the bank's IRM data on DGFT	From the bank's IRM data on DGFT	From the bank's IRM data on DGFT	³⁵

Export purpose codes: Service receipts use codes such as P0802 for software consultancy or P1006 for business and management consultancy, while P1301 covers family maintenance from Indian non-residents.³⁶
EDF: Every service exporter files an EDF from 1 October 2026, whichever route the money takes.¹¹
Export test: A receipt counts as export of services for GST only when all five conditions of section 2(6) of the IGST Act hold, including payment in convertible foreign exchange.¹⁰

Read what an inward remittance is for how banks report each receipt.

What changes in 2026 for receiving USD in India?

The 2026 changes for receiving USD in India are the FEMA 2026 Regulations from 1 October 2026, the EDF for every service exporter, nine-month realisation, new PA-CB authorisations and an update to the MTSS Master Direction.¹¹³⁰¹⁴

FEMA 2026 Regulations: In force from 1 October 2026, replacing the 2015 Regulations.¹¹
EDF: RBI Circular No. 20 supersedes the SOFTEX circulars from 1 October 2026.³⁷
Realisation: Nine months from the invoice date, or twelve months in rupees.³⁰
Wise authorisation: Wise Payments India Private Limited was authorised as a PA-CB-I on 12 March 2026.¹
MTSS: RBI's MTSS Master Direction was last updated on 29 September 2026, and still caps each remittance at USD 2,500.⁴
Income tax: The Income-tax Act, 2025 applies from 1 April 2026.³⁸

The receive USD payments in India page covers every USD route in more depth.

How did we verify this?

We checked this page against the sources below on 31 October 2026. Provider fees, conversion markups and RBI payment aggregator (PA-CB) status were checked on 28 October 2026. Rupee amounts use European Central Bank reference rates for 13 November 2026. Read our methodology or report an error.

Frequently asked questions

What is the cheapest way to receive USD in India from a client?+

On published fees for a USD 5,000 bank transfer, Skydo is about 0.68% of the invoice and Razorpay and Karbon Business about 1.00% to 1.18%.⁷⁸⁹ Wise does not publish an INR conversion percentage, so it cannot be placed on the same basis.¹⁴ Check your own invoice size, because fixed fees change the order.

Can I use Western Union to receive freelance payments in India?+

Western Union's US, UK and Canada terms say it sends money only to accounts used for personal, not business, purposes.³¹⁵¹⁶ RBI's Money Transfer Service Scheme, under which Western Union is authorised in India, does not allow trade related remittances.¹⁴ Freelance invoices are better paid through an export route.

Is Remitly good for receiving USD in India?+

Remitly suits a US or Canadian business client that already uses Remitly Business to pay contractors in India.⁵⁶⁴⁰ The Indian recipient cannot open an account to invoice through Remitly, and Remitly's pages do not mention a FIRA or purpose code for the recipient.⁶¹⁷ Its personal service prohibits business use.¹⁸

How much can I receive through Western Union in India?+

Western Union India's FAQ says you can receive up to USD 2,500 or the INR equivalent per transfer and a maximum of 30 transfers per year.¹⁹ These match RBI's Money Transfer Service Scheme, which caps each remittance at USD 2,500 and allows 30 per beneficiary in a calendar year.⁴

Do I get a FIRC when money comes through Remitly or Western Union?+

Neither Remitly nor Western Union publishes a FIRA or FIRC for the Indian recipient on the pages checked.¹⁷¹⁹ Platforms built for export receipts publish one: Wise emails an e-FIRC per transfer and Skydo says it issues a free FIRA on every payment.²²⁰

Can I receive USD in India with a Wise personal account?+

No. Wise says personal accounts in India cannot receive money.²¹ Receiving in India needs Wise Business, which onboards sole traders with a personal PAN, sole proprietorships, private limited companies, LLPs and general partnerships, and pays out in INR to the Indian bank account.²²²

Is there a limit on USD payments through a payment aggregator?+

RBI caps each inward or outward transaction through a cross-border payment aggregator (PA-CB) at ₹25 lakh.¹³ Wise says payments above ₹25 lakh or equivalent per transaction are returned to the sender, along with those under 5 USD.² Split large invoices only where the contract genuinely allows instalments.

This page is general information for Indian service exporters, not tax or legal advice. Rules change and outcomes depend on your facts, so confirm with a chartered accountant before acting.

Keep reading