Business & Finance
How to Transfer Money from your Forex Card to your Bank Account?
The forex card allows you the flexibility to load money from your bank account and spend it in any other foreign currency. However, there is a tight protocol and a set of procedures to move this Forex card balance to your bank account.
How to transfer money from a forex card to a bank account?
You must head to your nearest bank branch for a fund transfer from your forex card to your bank account to finish the necessary paperwork. In case identity verification is required, you must have the following documents handy:
- Forex Card
- Bank Account Number
- Valid ID Proof/ Passport
- Canceled cheque of your bank account.
Steps to follow to transfer money from Forex Card to a bank account
Once you visit the bank branch, here’s what you need to do:
- Provide your proof of identity and bank account number.
- Transfer the leftover funds from your Forex card via NEFT by submitting and canceling a check.
- The amount will only be transferred post verification.
After an official procedure, the funds from your Forex can be mobilized to your bank account.
Advantages of forex cards
Forex cards have the edge over cash, credit cards, debit cards, and traveler’s checks when traveling. Here are a few advantages of using Forex cards:
1. Better exchange rates
Loading currencies into your Forex Cards offers a better exchange rate than purchasing foreign currency in cash. The difference between buying foreign currency in cash and via a bank forex card is 50 paise, whereas the Forex card offers a lesser rate. Even for banks, providing a Forex card is a better and more economical option.
2. Fixed exchange rates
Foreign currency is put onto Forex Cards at fixed rates. Hence, they remain unaffected by forex market fluctuations. For instance, if you load your Forex card with 1000 USD, the value will remain unaltered, irrespective of INR-USD exchange rate movements.
3. Safer to use
Forex cards are safer than cash as they are equipped with chip and pin technology to safeguard the money. If a Forex Card is lost, it can instantly be disabled and freezes the balance on the card.
4. Multiple foreign currencies can be carried
The money will be transferred to the secondary Forex Card issued along with the original. Forex cards allow you to have different foreign currencies on one card simultaneously.
5. No additional charges
Unlike Debit and Credit Cards, forex cards have no additional fee or commission when used in any other country. Additionally, when you use a debit or credit card overseas, you are charged obnoxiously higher conversion rates, roughly 5 to 11 percent of the transaction fee.
6. No Dynamic Currency Conversion Fee
Since Forex cards are pre-loaded with the currency of a foreign nation, there is no charge for currency conversion when used. However, that is not the case with debit or credit cards.
Transferring funds from your Forex card to your bank account is pretty straightforward. Hence, carrying a Forex card when traveling overseas is always recommended for secured transactions and low to negligible conversion charges!
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