NEW DELHI: Fintech major Razorpay on Monday announced the expansion of its 'MoneySaver Export Account' to offer international payments for Indian freelancers.
This feature will now enable freelancers to open a 'Smart Account' in any country of their choice and accept payments locally via bank transfers on the Razorpay platform, all while benefiting from zero withdrawal fees.
The company said it aims to empower more than 15 million Indian freelancers by saving them up to 50 per cent in fees and commissions on international bank transfers.
"Freelancers face formidable challenges, particularly with direct bank transfers that can carry fees as high as $30 per transaction, compounded by additional currency conversion charges. As a result, they lose up to 25 per cent of their income," Rahul Kothari, Chief Operating Officer, Razorpay, said in a statement.
"By addressing these challenges, our solution aims to significantly reduce the burden of high transaction fees and currency conversion charges that freelancers often face, thereby empowering this community with the unparalleled benefit of seamless, border-free global banking," he added.
International payments for exporters largely rely on International Bank Transfers, with SWIFT being one of the primary modes. However, these transactions come at a significant cost, as per RBI reports, with approximately $13 spent on SWIFT charges for every $200 remitted.
The MoneySaver Export Account adheres to the latest RBI guidelines, incorporating video KYC ensuring a safe and secure experience for freelancers, the company said.
The account will allow freelancers to receive international bank transfers from over 160 countries within 5 seconds, eliminating the need for additional paperwork.
This account can be created across the US, UK, Canada, Europe, and other priority export markets, enabling the use of preferred banking networks like ACH, SEPA, SWIFT, and FPS.