The Reserve Bank of India’s Liberalised Remittance Scheme (LRS) allows resident individuals to remit money abroad for personal purposes. Sandeep Batra, Head, International Wealth & Premier Banking, HSBC India, said, “LRS allows resident Indians to remit money for purposes such as studies abroad, travel and tourism, medical treatment, family support, going overseas to work, emigration, donations and others.”
Which capital account transactions are permissible under LRS?
The following are the permissible capital account transactions:
∙ Opening a foreign currency account abroad with a bank outside India
∙ Purchase of immovable property abroad
∙ Investments in overseas shares, securities, mutual funds, etc.
∙ Extending INR loans to NRIs who are relatives as defined in the Companies Act
What is the maximum a resident Indian can remit under LRS? What if I need to remit more than the limit?
As an Indian Resident, you can remit a maximum of USD250,000 in a Financial Year. You can remit more than the USD 250,000 limit for medical treatment, and overseas education if it is required by the medical institute offering treatment, or the university respectively. However, this is subject to certain conditions. In other cases, you will need prior permission from the RBI to remit above USD 250,000.
Can I consolidate LRS remittances with family members?
Yes, you can consolidate your LRS remittances with family members (including minors), provided each person complies with the LRS terms and conditions. However, you cannot make consolidated remittances for capital account transactions (such as opening a bank account, investment, or purchase of property) with family members who are not co-owners or co-partners of the overseas bank account, investment, or property.
Why should one choose HSBC India for their LRS transactions?
HSBC is a leading international bank that ensures seamless international fund transfers in 20 currencies to 200+ countries. (Please check if this is allowed in LRS for the 200+ countries)Our robust global network and strong digital capabilities ensure your transactions are completed transparently, swiftly and securely.
How does one make an LRS remittance through HSBC?
If you’re an HSBC customer and resident of India, you can conveniently place a request for an LRS transfer through HSBC Internet Banking over the Internet Browser using Global Transfers or the HSBC Mobile Banking app via HSBC Global Money Transfers.
What is HSBC’s Advantage?
The following are the advantages of HSBC Global Money Transfer:
∙ Transfer in 20 currencies to 200+ countries/ territories
∙ Add your international payees instantly
∙ Secure, quick, transparent & fee-free* transfers
∙ Fee-Free fund transfers via HSBC Global Transfers (to HSBC and Non-HSBC bank accounts)
∙ Benefit from multi-currency offerings, global fixed-income solutions, and global equity income opportunities
∙ Access global wealth insights and a global team of wealth experts
∙ Get complete transparency with upfront information on estimated time for transfers, real-time foreign exchange rates and charges
How does one make global education payments?
For LRS transfer for overseas education, HSBC Mobile App has a new feature called Global Education Payments (GEP). You can simplify your child’s overseas education payments with GEP and Global Money Transfers. Here’s how it works:
- Transfer to a list of 600+ universities across 5 regions with pre-verified bank account details
- Enjoy competitive pricing for education payments
- Make instant, secure transfers on your mobile
What is Global Premier status?
As an HSBC India Premier customer, your status is recognised worldwide, giving you Premier banking services in all markets where you bank with HSBC.
Visit your nearest branch or call us today at 1800 266 3456 / 1800 120 4722 to learn more.
Disclaimer: Terms and Conditions Apply. *Most HSBC to HSBC transfers are fee-free, but some intermediary banks may charge fees.
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